Busan Dosi Gongsa Moves to Acquire 200 Youth-Type Public Rental Homes

Applications accepted from February 26...Rents set at 40% to 50% of market rates

Busan Dosi Gongsa (BMC, President Shin Changho) announced on February 13 that, starting February 26, it will purchase 200 existing housing units (youth type) as part of its acquisition-based public rental housing program to stabilize housing for young people in the Busan area.

Acquisition-based public rental housing refers to public rental homes supplied at around 40% to 50% of prevailing market rents after the corporation purchases existing housing in urban areas and carries out repair and maintenance work.

BMC purchases about 200 housing units every year and, as of the end of last year, was managing and operating 3,121 units. This year as well, it plans to prioritize the acquisition of 200 high-quality homes located in areas with strong living infrastructure and convenient transportation, in order to support housing stability for young people.

Eligible properties for acquisition include multi-household homes with exclusive floor areas between 15 and 60 square meters within Busan Metropolitan City, as well as multifamily and row houses, apartment buildings, and residential officetels.

For homes submitted for consideration, BMC will conduct on-site due diligence and comprehensively review location conditions and housing quality, after which the decision on whether to acquire will be made by an acquisition review committee composed of external members. For properties approved for acquisition, BMC will conclude contracts through negotiations with the seller, based on the lower of two figures: the arithmetic average of appraisal values from two appraisal agencies and the maximum acquisition price.

Application documents will be accepted by email from February 26 until 6 p.m. on March 5, and supporting documents such as the building ledger must be submitted by registered mail. Detailed information can be found in the public notice on the Busan Dosi Gongsa website.

Shin Changho, President of Busan Dosi Gongsa, said, "We hope that youth-type acquisition-based public rental housing will become a reliable home for young people who are leaving Busan because of housing problems," adding, "We will continue our efforts to promote housing stability for citizens and improve residential welfare."