As the Lee Jae-myung administration prepares housing supply measures for the metropolitan area, Seoul Mayor Oh Se-hoon reiterated that accelerating ongoing redevelopment and reconstruction projects is a realistic solution to the city's housing issues.
In an interview on KBS's 'Sasa Geon Geon' on August 10, Mayor Oh stated that there has been "almost no concrete practical discussions" regarding potential housing supply sites in Seoul that the government is reviewing. He recently met with Kim Yong-beom, head of the presidential office's policy office, and Kim Yun-deok, Minister of Land, Infrastructure and Transport, to convey Seoul's position, but there were no practical discussions about the sites or the scale of supply.
He firmly opposed the development of Yongsan Park and additional greenbelt areas, citing that apartment construction is prohibited by special law in Yongsan Park and that Seoul lacks sufficient green spaces for residents' daily use.
Regarding the release of additional greenbelt land, he stated, "I agreed to supply about 20,000 housing units in the Seoripul area during the Yoon Suk-yeol administration, and I made it clear that this would be the last such agreement." He argued that existing projects are not progressing properly due to resident consultations and that it is essential to execute existing plans before damaging new green spaces.
Mayor Oh identified redevelopment and reconstruction as key sources for housing supply in Seoul. He directly countered President Lee Jae-myung's perception that housing supply through maintenance projects is insufficient, calling it "completely misinformed."
A recent comprehensive survey by the Seoul city government of maintenance projects completed in the last three years revealed that the number of housing units increased by an average of 44% for reconstruction and 27% for redevelopment compared to existing homes.
Oh noted that approximately 400 maintenance projects are currently underway in Seoul, and if they proceed as scheduled, 310,000 housing units could begin construction by 2031. He explained that about 220,000 existing homes will be demolished, and 310,000 new units will be built, resulting in a net increase of approximately 87,000 units.
He emphasized that the 87,000 units that will be added through maintenance projects would be more beneficial for market stability than the 50,000 new units the government is discussing, urging the government to provide support in terms of finance and taxation.
While he acknowledged that rental prices may rise during the relocation process of maintenance projects, he argued that blocking these projects would make long-term supply increases impossible and could actually stimulate housing prices due to supply shortages.
He also highlighted the achievements of the rapid integrated planning initiative. The Seoul city government stated that it has reduced the designation period for maintenance zones from the usual five years to about two and a half years by integrating urban planning, architecture, transportation, and environmental reviews that were previously conducted separately. The goal is to shorten the overall maintenance project duration from an average of 18 years and six months to 12 years through additional system improvements.
In response to criticism from the ruling party regarding the decrease in construction starts, he countered that the impact of the cancellation of 389 maintenance zones, which involved about 430,000 housing units during former Mayor Park Won-soon's tenure, is now being felt. He also noted that the decline in non-apartment construction due to rising material and labor costs and interest rates is a nationwide phenomenon.
He stated that underutilized industrial areas, aging residential neighborhoods, and transit-oriented developments should also be utilized. The Seoul city government has increased the floor area ratio in industrial areas around Yeongdeungpo, Guro, and Geumcheon, creating conditions for the supply of about 27,000 housing units, and is also promoting urban public complex projects involving LH and SH, targeting about 20,000 units.
Mayor Oh remarked, "While it is necessary for the Seoul city government to assist the government's efforts, I hope the government will support the redevelopment and reconstruction initiatives that the Seoul city government is pursuing." He argued that accelerating the construction of existing public land, third-phase new towns, and Seoul's maintenance projects would be more effective for market stability than announcing new supply numbers.
* This article has been translated by AI.
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