SH Corporation Purchases Rental Housing in Autonomous Housing Maintenance Project to Supply Rental Housing for Youth and Newlyweds

[Asia Economy Reporter Donghyun Choi] Seoul Housing and Communities Corporation (SH Corporation) announced on the 16th that it will purchase houses built through the Autonomous Housing Renovation Project as rental housing and supply them as rental housing for youth and newlyweds.

The Autonomous Housing Renovation Project is a project under the "Special Act on the Maintenance of Vacant Houses and Small-scale Housing," implemented since February 2018, where owners of old detached and multi-family (row) houses form a resident consensus group through unanimous agreement and renovate or construct houses by themselves.

SH Corporation plans to purchase 1,400 rental housing units through the Autonomous Housing Renovation Project by 2022. On this day, SH Corporation announced the purchase of 300 units for this year and began accepting purchase applications.

When homeowners renovate or construct their old houses through the Autonomous Housing Renovation Project and provide more than 20% of the floor area ratio or number of units as public rental housing, incentives are given by allowing the maximum floor area ratio permitted by law. Additionally, low-interest project financing is available through the Housing and Urban Guarantee Corporation (HUG). According to SH Corporation, this project improves the residential environment of low-rise old residential areas and secures public rental housing through the increased floor area ratio.

Furthermore, SH Corporation gives priority to purchasing rental housing when homeowners aged 60 or older carry out renovation projects under the "Pension-type Autonomous Housing Renovation Project" in this recruitment. The pension-type method allows homeowners to forgo housing sale rights, receive the settlement amount as a pension, and move into rental housing within the project implementation area.

Jung Yooseung, Head of Urban Regeneration at SH Corporation, said, "This rental housing purchase recruitment through the Autonomous Housing Renovation Project is the first opportunity to sell new houses generated from small-scale housing renovation projects as public rental housing," adding, "The Autonomous Housing Renovation Project will be promoted, and housing supply for youth and newlyweds in Seoul will expand."

This content was produced with the assistance of AI translation services.