Seoul City and Land Ministry to Hold First Director-Level Meeting on the 21st... Redevelopment Projects and Housing Supply on Agenda

First Director-Level Communication Channel Launched
Possibility of Discussing Revitalizing Redevelopment Projects
Mayor Oh Addresses Relocation Loan Issues

Director-level officials from the Seoul Metropolitan Government and the Ministry of Land, Infrastructure and Transport will hold their first meeting on November 21 to discuss expanding housing supply in Seoul. The meeting aims to convey on-the-ground feedback regarding government measures implemented after the October 15 policy announcement and to explore avenues for cooperation on housing supply.

On November 19, Seoul Mayor Oh Sehoon visited the groundbreaking site of the Noryangjin Redevelopment Promotion District and made this announcement.

Choi Jinseok, Director of Housing for the Seoul Metropolitan Government, and Kim Gyucheol, Director of Housing and Land at the Ministry of Land, Infrastructure and Transport, will attend the meeting to discuss pressing issues in the housing market. The main agenda is expected to focus on regulations hindering redevelopment projects, such as restrictions on the transfer of union member status and limits on the number of housing units supplied to union members, which have become contentious since the October 15 policy. Previously, on November 13, Mayor Oh also conveyed various challenges faced at redevelopment sites to Minister Kim Yoonduk during a meeting with the Ministry of Land, Infrastructure and Transport.

On this day, Mayor Oh reiterated his intention to continue discussions with the Ministry regarding the reduction of relocation loan limits and the restriction on the transfer of union member status. Since the government’s June 27 loan regulations, relocation loans for union members who own multiple homes have been restricted, and the maximum loan amount has been reduced to 600 million won, making delays in redevelopment projects inevitable. At the site, complaints were raised as 70% of union members in Noryangjin District 1 fall under the scope of these relocation loan restrictions and are facing difficulties.

Mayor Oh stated, "There are concerns that construction may be delayed due to difficulties in securing funds following the reduction in relocation loans," and emphasized, "We plan to discuss with the Ministry of Land, Infrastructure and Transport the issues of relaxing LTV regulations for the transfer of union member status, relocation loans, and balance loans."

He added, "Especially in the case of loan restrictions, we will request the Ministry to temporarily ease them, even if only for a set period, to alleviate the inconvenience faced by union members who need to secure funding."

Previously, on November 13, Mayor Oh and Minister Kim held a private luncheon meeting at a restaurant near Jeong-dong, Jung-gu, Seoul. During the meeting, both sides agreed to establish a director-level communication channel and to cooperate practically on expanding housing supply in Seoul.