15,000 units for youth, 3,400 for newlywed couples
The Korea Land and Housing Corporation announced it will supply 20,000 purchased rental housing units in central Seoul over the next three years. Units on the scale of the Bucheon Daejang district project will be distributed across the city, with 15,000 units set aside for young people and 3,400 for newlywed couples.
LH held a field meeting on Tuesday at a newly built purchased youth housing unit in Jongno-gu, Seoul, to discuss solutions to housing problems facing young people. At the gathering, LH officials discussed ways to swiftly supply quality youth housing in the city center.
The meeting was arranged to hear directly from young people about their housing concerns and to explore solutions together, with the aim of maximizing the effectiveness of youth housing supply in the city center.
Attendees included Kim Yi-tak, first vice minister of the Ministry of Land, Infrastructure and Transport; Democratic Party of Korea lawmakers Kim Nam-geun, Oh Gi-hyeong and Lee Yong-sun; LH President Lee Seong-hoon; and roughly 20 people in total, including young city council members.
Participants toured the newly built purchased youth housing units LH has secured in central Seoul, checking floor plans, finishes and built-in appliances, before moving on to the field meeting and discussion.
Purchased rental housing is a rental system offering several advantages. Units are located in city centers, near transit stations and close to workplaces. Rent for first-priority applicants is set at 40 percent of market price. Residents can stay for up to 10 years, or up to 20 years for married couples, with rent increases capped at 5 percent. Units come with built-in appliances and a simple application process.
LH has been putting significant effort into expanding its supply of purchased rental housing. This includes running a public call for a "nonresidential-use conversion remodeling" purchase-agreement project that repurposes vacant commercial spaces and offices in city centers.
Purchased rental units in Seoul are particularly popular among young people because of their excellent access to public transportation and affordable rental terms. The average subscription competition rate for youth purchased rental housing in Seoul reached 130 to 1 last year.
In response to this demand from young people, LH is focused on significantly improving its newly built purchase project and speeding up supply so it can quickly secure quality housing in city centers.
At the meeting, LH presented the progress of various system improvements, including providing initial support for land-purchase funds and disbursing purchase payments in installments. The corporation said it is also working to secure valuable sites by giving extra points to locations with high demand from young people, such as areas near university campuses.
hss@heraldcorp.com
