Seoul Mayor Oh Se-hoon acknowledged that housing permits and construction outside the Gangnam area have decreased during his tenure. However, he attributed this decline to the impact of large-scale redevelopment zone deregulations during the administration of former Mayor Park Won-soon, distancing himself from claims of policy failure.
On October 19, during a National Assembly audit of the Seoul Metropolitan Government held by the Land, Infrastructure and Transport Committee, Democratic Party lawmaker Jang Jong-tae presented an analysis of data from the Seoul city government and the Ministry of Land, Infrastructure and Transport. He pointed out that housing supply performance has diverged between the Gangnam area and other districts since Oh took office.
According to Jang's analysis, the average monthly housing completion figures before and after Oh's inauguration showed an increase of 11.5% in the three Gangnam districts—Gangnam, Seocho, and Songpa—from 924 units to 1,030 units. In contrast, the remaining 22 districts saw a 43% decrease, dropping from 5,767 units to 3,286 units.
By district, Yangcheon saw an 88.4% decrease in average monthly completions, while Yeongdeungpo and Yongsan experienced reductions of 77.8% and 72.7%, respectively. During the same period, Gangnam district's completions increased by 77.3%.
As a leading indicator of supply, the number of permits also showed a larger decline in areas outside Gangnam. The average monthly permit figures decreased by 5.3% in the three Gangnam districts, from 603 to 571 units, while the other 22 districts fell by 14.5%, from 4,292 to 3,671 units.
Jang stated, “While the number of homes in Gangnam has increased, the number outside Gangnam has decreased significantly. The mayor must explain the reasons for the sharp decline in permits outside Gangnam during his tenure.”
In response, Mayor Oh acknowledged the decrease in permits and construction outside Gangnam but attributed it to the deregulation of redevelopment zones during Park's administration.
Oh explained, “During Park Won-soon’s tenure, 389 redevelopment and reconstruction zones were deregulated, eliminating the supply base for approximately 430,000 units. Most of these deregulated areas were concentrated in northern Seoul, which means that the number of project approvals, management decisions, relocations, constructions, and completions will inevitably decline over the next 5 to 15 years.”
He added, “Redevelopment and reconstruction projects are long-term processes that can take anywhere from 12 to 21 years. The outcomes observed during any specific mayor's term are influenced by decisions made by previous mayors.”
Oh noted that a significant portion of the housing completed during Park's administration was approved during his first term. He expressed hope that the government and the National Assembly would support ongoing redevelopment projects as he works to cultivate and nurture the housing supply.
* This article has been translated by AI.
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