[2·4 Supply Measures] Introduction of 'Jugeo Jaesaeng Innovation District'... Housing Proportion in District Set at 70%

Strengthening Housing Maintenance Functions in Urban Regeneration Projects
Easing Resident Consent Rate to Two-Thirds to Accelerate Project Speed
New 'Specialized New Deal Projects' Linking Urban Regeneration with Redevelopment and Reconstruction Established

Minister Byeon Chang-heum of the Ministry of Land, Infrastructure and Transport is delivering opening remarks at the ruling party-government meeting on revolutionary measures to expand housing supply in metropolitan areas held at the National Assembly on the 4th. Photo by Yoon Dong-joo doso7@

[Asia Economy Reporter Kim Hyemin] On the 4th, the government's supply measures included the introduction of a 'Residential Regeneration Innovation District' to increase the proportion of housing supply within the stagnant urban regeneration districts.

Previously, in November 2019, the government introduced the Innovation District system to accelerate urban regeneration projects, but it was only utilized for creating industry-centered complex hubs, resulting in a limited housing proportion.

Through this measure, the government added 'residential regeneration' as a type of innovation district to strengthen the housing maintenance function of urban regeneration projects. Within the Residential Regeneration Innovation District, the housing ratio will be expanded up to 70%.

To expedite the projects, the requirements were relaxed so that if two-thirds of the land area and two-thirds of the residents agree, the project can proceed. A Ministry of Land, Infrastructure and Transport official stated, "Since these are declining residential areas, securing land is not easy," adding, "We will introduce limited expropriation rights to allow the public sector to carry out residential area maintenance."

However, to be designated as a Residential Regeneration Innovation District, about two-thirds of the area must consist of old and deteriorated housing. The project area, excluding national and public land, is limited to less than 20,000㎡. The Ministry plans to select 35 Residential Regeneration Districts (800,000㎡) over five years.

Along with this, the Ministry will newly establish a 'Residential Regeneration Specialized New Deal Project' that links redevelopment, reconstruction, and small-scale maintenance inside and outside urban regeneration areas. Financial support will be strengthened by increasing national funding by up to 10 billion KRW, and the currently limited support period of 3 to 5 years per project type will be applied flexibly. The plan is to select a total of 80 sites, including 12 in Seoul, by next year.

Through this, the scale of housing supplied over five years will be 80,000 units in Seoul, 110,000 units in Gyeonggi and Incheon, and 110,000 units in metropolitan cities, totaling 300,000 units. A Ministry official said, "We plan to complete the legal amendments by March and start full-scale implementation in the second half of the year," adding, "This year, including existing projects, we expect to supply a total of 4,000 units."

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