Pre-Subscription of 3,300 Units in Yongin Platform City, Conflict with Landowners from the Start

Large Urban Development Project with a 6 Trillion Won Budget
Yongin City "Priority for Relocation Measures if Land Use Consent Form Submitted Early"
Landowners Oppose Due to Lack of Legal Basis

[Asia Economy Reporter Donghyun Choi] The Yongin Platform City project in Gyeonggi Province, one of the pre-sale housing sites in the Seoul metropolitan area designated by the government, is facing friction from the early stages due to conflicts between local governments and landowners. In particular, controversy has arisen as Yongin City announced that it would give priority in relocation measures to landowners who submitted consent forms early during the land use consent process, despite lacking legal grounds.

According to industry sources on the 23rd, Yongin City Hall recently sent the third official letter requesting cooperation for land use consent forms to landowners within the Yongin Platform City project area. In the letter, Yongin City Hall stated, "For landowners who submit consent forms by September 25, we plan to review priority for relocation measures such as relocation housing sites or special housing supply when establishing future compensation plans."

The Yongin Platform City project is an urban development project investing approximately 5.9646 trillion KRW over about 2,757,000 square meters in Bojeong, Mabuk, and Singal-dong areas of Giheung-gu, Yongin City. It aims to create an economically self-sufficient city equipped with advanced industry, commercial, residential, cultural, and welfare functions. The project is jointly implemented by Gyeonggi Province, Gyeonggi Housing & Urban Corporation (GH), Yongin City, and Yongin Urban Corporation. The plan is to designate the urban development zone and approve the development plan within the year, with construction scheduled to begin in 2023. Notably, the government announced through the August 4 supply plan that 3,300 housing units in Yongin Platform City would be offered as pre-sale housing, the second-largest pre-sale volume from a single project site.

The problem lies in the fact that Yongin City's policy to review priority for relocation measures lacks legal grounds. The 'differential allocation system,' which differentiates the supply order among compensation recipients when selecting relocation housing site beneficiaries, was revised following criticism during the 2015 National Assembly audit of the Korea Land and Housing Corporation (LH). Previously, landowners who negotiated land and building transfers and demolished within the deadline set by LH or other corporations were given first priority for relocation housing sites. After the legal revision, priority was given to those who moved out by the deadline after receiving compensation. In other words, only after landowners receive appropriate compensation through negotiation can the project operator grant priority for relocation measures based on demolition within the deadline. Yongin City, however, has moved ahead prematurely.

Bird's-eye view of Yongin Platform City.

Landowners immediately protested. Landowner A said, "Yongin City set a deadline for submitting consent forms and threatened disadvantages if not submitted within the period," adding, "This is an overreach not stipulated by law."

Industry experts also pointed out that Yongin City is abusing administrative power. Attorney A from a law firm said, "Neither the Urban Development Act, GH internal regulations, nor LH rules provide incentives for early submission of land use consent forms," interpreting, "There is a high possibility of illegal administrative abuse." An urban development expert commented, "It seems Yongin City is rushing the schedule excessively to secure housing supply in the metropolitan area," and added, "Since the land compensation process has legally prescribed procedures, the issue should be resolved through negotiations with landowners."

Yongin City also acknowledges these facts. However, the city explained that in the practical situation where it is difficult to quickly collect consent forms without incentives, it sent the letter after receiving a response from GH, which holds 95% of the project shares, that it would 'consider' granting differential rights through future revisions. A Yongin City official said, "The authority of the Central Land Acquisition Committee (CLAC) was strengthened under the Land Compensation Act enforced on July 1 last year, and securing a 50% land use consent rate is one of CLAC's evaluation criteria," adding, "Without incentives, it is very difficult to secure consent forms, and many project sites are complaining about difficulties." CLAC is an organization that mediates disputes arising during land acquisition. Before the revision of the Land Compensation Act, administrative agencies were required only to 'listen to' CLAC's opinions without mandatory compliance, but under the new law, CLAC can request improvements such as 'establishment, modification, or abolition of projects' to administrative agencies, which must 'reflect them unless there is a justifiable reason.'

Meanwhile, Yongin City is also recently clashing with Suwon City and Suwon residents over the planned incineration plant within Platform City. Since the planned site borders Gwanggyo in Suwon, Suwon City has requested a review, and local residents have taken collective action.

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