Kim Young-chun "Public" vs Park Hyung-joon "Private"

In-Depth Analysis of the 3 Major Pledges in the April 7 By-Election - ▶Real Estate ②Jobs ③COVID-19 Support

Busan Mayor By-Election Also Centers on Real Estate Policy Battle

Park Hyung-jun, the People Power Party candidate for Busan mayor (left), and Kim Young-choon, the Democratic Party candidate for Busan mayor (Photo by Asia Economy DB)

[Asia Economy Reporter Hyunju Lee] The Busan mayoral by-election, which experienced a round of controversy over the legislation of the new Gadukdo Airport, also centers on a showdown over real estate policies. Both Kim Young-chun, the Democratic Party candidate, and Park Hyung-joon, the People Power Party candidate, have announced plans to expand supply and ease loan regulations for youth and newlyweds. However, the difference lies in Kim’s focus on public sector supply, while Park emphasizes private sector-led supply.

Kim has pledged to provide ‘half-price housing’ for youth and newlyweds. This means supplying 10,000 homes where residents pay only the housing cost without land costs and can live there for 30 years. Additionally, there are plans to supply 30,000 public rental homes and 10,000 publicly supported homes. Over five years, 1,000 shared housing units for youth will also be provided. These facilities will be built so that young people share restaurants, libraries, and sports facilities while having individual bedrooms. A representative from Kim’s campaign said, "We will announce additional pledges on the 18th that were delayed due to the Korea Land and Housing Corporation (LH) speculation controversy."

Park has promoted supply expansion and deregulation but did not specify exact supply numbers, as it is likely to be led by the private sector. Instead, he stated an intention to raise the housing supply rate from 103% to 110%. The overall concept includes creating compact youth towns integrating workplaces and residences in urban areas, a complex town for middle-aged people restarting their careers priced around 100 million won, and safe complex towns for single women households. He also plans to supply low-cost housing by utilizing public land such as sewage treatment facilities and closed schools. There is also a plan to supply youth residential and startup complex towns through existing subway station developments.

Regulations will be significantly eased. The lengthy 15 to 20 years or more required for redevelopment and reconstruction will be drastically shortened by simplifying administrative procedures. Park said, "Even without changing the law, it is entirely possible by setting processing deadlines and reducing unnecessary steps through integration."

Both candidates have also announced pledges to lend housing funds interest-free up to 200 million won to youth and newlyweds. Kim’s loan pledge covers funds usable not only for jeonse (key money deposit) but also for home purchases. Park’s policy is closer to a jeonse loan, allowing relatively long-term residence in the desired home, with a maximum period of five years.

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