70-80% of Gangnam Area Development Profits to Be Used Throughout Seoul

Amendment to the Enforcement Decree of the National Land Planning Act Passed at the Cabinet Meeting on the 29th

[Asia Economy Reporter Kangwook Cho] From now on, 70-80% of the development profits generated within a single autonomous district can be used throughout the entire city. For example, 70-80% of the cash contributions collected from development projects in the Gangnam area of Seoul can be used in areas outside the district, such as Gangbuk.

The Ministry of Land, Infrastructure and Transport announced on the 29th that a partial amendment to the Enforcement Decree of the “National Land Planning and Utilization Act” containing this content was approved at the Cabinet meeting.

The amendment expands the usage area of cash contributions from development profits generated by changes in land use zones within district unit planning areas of special and metropolitan cities from the original “within the autonomous district” to “within the special/metropolitan city.” The proportion of development profits allocated to the autonomous district is to be set by the district unit plan within a range of a minimum of 20% to a maximum of 30%.

As a result, 70-80% of the cash contributions can be used in areas outside the respective autonomous district. For instance, cash payments contributed from large-scale development projects in the Gangnam area can be utilized for creating urban parks or supplying public rental housing in the Gangbuk area.

Additionally, to expedite the expansion of hydrogen charging stations, the building coverage ratio for gas stations and LPG charging stations in natural green areas that add hydrogen charging stations will be relaxed from the existing 20% to a maximum of 30% until the end of 2024. This applies only to applications for expansion permits for hydrogen charging stations submitted before December 31, 2024.

Along with this, the designation targets for minimum location regulation zones, which are subject to relatively fewer regulations, will be expanded. Newly included areas are urban high-tech industrial complexes under the “Act on Industrial Location and Development,” small-scale housing maintenance project implementation zones under the “Special Act on Vacant Houses and Small-scale Housing Maintenance,” and neighborhood regeneration-type activation plan establishment areas under the “Special Act on Urban Regeneration Activation and Support.” Minimum location regulation zones are areas where location regulations based on land use zones do not apply, and where permitted uses, floor area ratio, building coverage ratio, and height of buildings can be separately determined.

Furthermore, in growth management plan zones, the building coverage ratio in natural green and production green areas will be relaxed from 20% to 30%. Temporary structures with a retention period within three years, such as temporary buildings or disaster recovery buildings designated by local government ordinances, will be excluded from the regulation of district unit plans.

The amended Enforcement Decree of the National Land Planning Act will take effect on the 13th of next month.

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