LH Senior Executive Vice President Chang Choong-mo makes an inspection tour to ensure the safety of the construction site of the Gwacheon Knowledge & Information Town on Jan. 22. (Photo: LH)

Korea Land & Housing Corp. (LH) has unveiled a plan to expand Seoul’s housing supply and improve the overall housing environment by implementing pilot housing development projects, according to the Ministry of Land, Infrastructure and Transport (MOLIT) and the Seoul Metropolitan Government (SMG).

The government announced steps to ramp up infrastructure for housing supply in the Seoul metropolitan area last May. LH will participate in public housing redevelopment projects put on hold to support their stable execution, improve housing environment and spurring the housing supply.

Seventy sites participated in public housing redevelopment project contests. LH announced a list of eight pilot public housing development projects among existing sites whose refurbishment plan had already been drawn on Jan. 15.

The pilot public housing development project zones are offered with a variety of public support steps such as urban regulation relaxation, such as the raising of the cap on the floor area ratio to 120 percent; improving feasibility such as the excluding of the distribution price cap system, the financing of project costs; and simplifying permits and licenses.

Half of the allocations will be designated for public rentals and profit-sharing rentals for original site residents and the underprivileged, such as youth, newlywed couples and the elderly, a move designed to meet feasibility and public interests.

 
Even though public developers such as LH participate in the projects, contractors favored by residents will be allowed to participate along with experts joining forces in all processes, ranging from design to permission and construction, to enable the efficient implementation of projects.

Among the merits of the projects is the raising of transparency and stability.

LH plans to minimize gentrification, a side-effect of redevelopment projects, implemented by the private sector.

To this end, LH plans to provide support for the smooth resettlement of original site residents after redevelopment through diverse relocation steps such stake-style housing and supply methods tailored to their needs.

Shin Young-jin, chairman of the committee of implementing the pilot Shinseol No. 1 District, said, “There were no breakthroughs due to low feasibility and conflicts among residents, but the designation of the district as one of the pilot project candidates has paved the way for solving the long-standing issues.”

He added that his committee will support the project in a swift and successful fashion.

Kim Baek-yong, head of LH’s Urban Renewal Division, said: “We will do our best to spread public redevelopment through the successful implementation of the pilot projects down the road and contribute to expanding housing supping in urban areas.”

LH, 1st Public Entity under Umbrella of Ministries to be Certified for Practicing Fair Trade

LH became the first public entity under the umbrella of central government ministries to be certified for practicing fair trade. Twenty-two entities, including 11 local autonomous bodies, four companies, and four schools, have so far received a certificate of practicing fair trade from Fair Trade Town Korea.