LH To Break Ground on 26,000 Units via Private Participation Projects... 8,000 Units to Be Directly Implemented

Pushing Ahead with Groundbreaking Across 42 Blocks Nationwide
New Projects to Complete Bidding in the First Half of the Year

On February 12, Korea Land and Housing Corporation (LH) announced that this year it will seek to break ground on 26,000 housing units across 42 blocks nationwide through private participation projects.

On the same day, LH held the "2026 LH Public-Private Cooperation Governance Forum" at its Gyeonggi Southern Regional Headquarters and made this announcement.

The private participation public housing project (private participation project) is a project jointly implemented by LH and private construction companies. It is carried out jointly with private builders and supplies a variety of public housing by utilizing private-sector technology and brands.

Including the previously announced competitive bidding volume (around 10,000 units, totaling approximately 2.7 trillion won), LH plans to push ahead with groundbreaking for 26,000 units across 42 blocks nationwide this year. To accelerate the pace of housing supply, LH plans to complete the bidding process for about 18,000 new units in the first half of the year. Of these, 16,000 units are targeted to break ground within this year.

Of this year's project pipeline, LH has decided to promote projects for about 8,000 units through a direct implementation method. In line with the September 7 housing supply measures announced by the Ministry of Land, Infrastructure and Transport last year, LH will supply housing by directly developing public housing sites instead of selling the land to the private sector.

Previously, on January 30, LH for the first time invited private project operators for public housing projects that had been converted to direct implementation. A total of six blocks (about 3,000 units) in four districts - Incheon Yeongjong, Incheon Geomdan, Yangju Hoecheon, and Osan Osan - are aiming to break ground within this year, and LH plans to complete the selection of private project operators by March.

In addition, in April, a total of 21 blocks with 15,000 units, including idle urban sites such as Wirye commercial land and districts such as Suwon Dangsuk that are undergoing land-use conversion, will be put out for bidding.

Meanwhile, LH will strengthen public-private cooperation in line with the government's housing supply policy. It will institutionalize a two-stage bidding process in the first and second half of the year and reflect a 6.9% increase in construction costs.

To fully implement the new financial support model that was piloted last year, LH will finalize the "HUG guarantee product" in April. The support measures are focused on easing the funding burden of private construction companies participating in private participation projects. LH also plans to broaden participation by preparing packages tailored to project size (large, medium, and small) and characteristics, thereby expanding the range of eligible private operators.

Oh Juhun, Head of the Public Housing Division at LH, said, "Through diverse cooperation with private project operators, we will faithfully implement the government's housing supply policy and do our utmost to ensure that safe, high-quality public housing is supplied in a timely manner."

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