Ministry of Land, Infrastructure and Transport Announces Bidders for 4,000 Publicly Supported Private Rental Housing Units

(Photo by Yonhap News)

[Asia Economy Reporter Moon Jiwon] The first public-supported private rental housing private proposal project for 2021, aiming to supply 4,000 units of public-supported private rental housing, is underway.

The Ministry of Land, Infrastructure and Transport and the Housing and Urban Guarantee Corporation (HUG) announced on the 18th that they will accept letters of intent to participate in the 'public-supported private rental housing' private proposal project, which offers rental rates lower than the surrounding market prices and allows residents to live with peace of mind for over 10 years, from the 26th of this month until the 8th of next month.

The public-supported private rental housing private proposal project is a method where a real estate investment trust (REIT), established through joint investment by the Housing and Urban Fund and private entities, purchases or constructs rental housing on privately proposed project sites to carry out the project.

The private proposal project contest was introduced to more effectively select excellent private rental business sites and targets sites where housing construction can begin immediately without urban planning changes or sites currently under construction.

HUG plans to promote a total of 8,000 units of private proposal projects within the year, starting with the first contest recruiting around 4,000 units.

For selected projects, support such as fund investment, loans, and rental REIT housing project finance guarantees will be provided after HUG's fund investment review.

Detailed information about the contest can be found on the HUG website starting from the 19th. Only businesses that submit letters of intent will be able to submit project applications by May 28, and priority negotiation candidates will be selected in June.

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