Assemblyman Shin Jeong-hoon Introduces Bill to Prevent Speculation and Illegal Leasing of Knowledge Industry Centers

New Regulations Prohibit Resale Within One Year After Sale... Expected to Close Existing Real Estate Regulation Blind Spots

[Asia Economy Honam Reporting Headquarters Reporter Park Seon-gang] Legislation to eradicate real estate speculation and illegal occupancy using knowledge industry centers is being promoted through the "Knowledge Industry Center Speculation and Illegal Leasing Prevention Act."

On the 3rd, Shin Jeong-hoon, a member of the National Assembly's Industry, Trade, Energy, Small and Medium Business Committee (Democratic Party of Korea, Jeonnam Naju Hwasun), introduced a bill to amend the "Act on the Activation of Industrial Complexes and Factory Establishment," which prohibits subleasing of knowledge industry centers, bans resale within one year of purchase, and requires local governments and management agencies to periodically verify and inspect whether tenants belong to appropriate business categories.

Although knowledge industry centers are industrial facilities that receive policy support such as acquisition tax reductions to promote the concentration and activation of high-tech industries, many problems have been pointed out, including widespread illegal occupancy by inappropriate businesses and being placed in a blind spot of real estate regulations, even being openly promoted as real estate speculation products.

In fact, during last year's national audit, Assemblyman Shin Jeong-hoon obtained data from the Korea Industrial Complex Corporation and revealed illegal occupancy and leasing of knowledge industry centers by groups such as the Shincheonji religious group, ballet academies, and suspected multi-level marketing companies.

Furthermore, the actual transaction price per pyeong (approximately 3.3 square meters) of major knowledge industry centers in Seoul has doubled over the past five years, causing a balloon effect due to real estate speculation demand exploiting the fact that these centers are not subject to various housing regulations.

Assemblyman Shin Jeong-hoon pointed out, "Despite receiving policy support such as acquisition tax reductions, inappropriate businesses continue to be illegally occupied and detected in knowledge industry centers, and recently some centers have been transformed into means of real estate speculation, causing prices to soar. Ultimately, the biggest victims are the companies with genuine demand."

He added, "For knowledge industry centers to operate according to their original purpose, it is urgently necessary to eliminate blind spots in real estate regulations and strengthen management of tenant business types through institutional improvements."

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