Prime Minister Han: "Housing Permitting and Demolition Take Too Long... We Must Speed Up Private-Sector Redevelopment"

Prime Minister Han Seongsuk said on the 13th, “The time required for permitting and demolition (to supply housing) is extremely long,” adding, “Conditions, including costs, are bound to change considerably during that time, so it is important to shorten the time it takes to begin construction.”

Prime Minister Han Seongsuk receives a briefing on the status of the 6th Suwon City redevelopment project at the project site in Yeongtong-gu, Suwon, Gyeonggi Province, on Oct. 13, 2026. jeong@yna.co.kr (End) Yonhap News Agency

Han made the remarks after visiting a redevelopment project site in Yeongtong-gu, Suwon, Gyeonggi Province, that afternoon. “I came to find practical ways to speed up private-sector redevelopment projects,” she said. The visit was attended by public- and private-sector officials, including Democratic Party lawmaker Kim Jun-hyeok (Suwon Jeong), First Vice Minister of Land, Infrastructure and Transport Kim Yi-tak, Financial Services Commission Director General of Financial Policy Jeon Yo-seop, and Daewoo Engineering & Construction Managing Director Song Ho-jun.

At the Yeongtong District 1 redevelopment site, demolition work is currently underway, with construction 70% complete. The area was designated for redevelopment in January 2017, and the project has since gone through permitting and the relocation of existing residents. Daewoo Engineering & Construction and SK ecoplant are carrying out the construction. The project is scheduled to file a construction-start notice in January 2027, followed by an announcement inviting applications from prospective residents in February. Completion and move-in are expected in June 2030. In other words, a full 13 years will have passed between the area’s designation for redevelopment and residents’ move-in.

This timeline is reportedly faster than those for nearby redevelopment areas. Choi Jong-yeol, director of Suwon City’s Urban Development Bureau, who gave the site briefing, said, “Compared with other redevelopment areas in Suwon, Yeongtong District 1 is among the faster ones,” adding that “some other projects take around 20 years.” He continued, “The relevant laws have also been revised considerably, and there has been less conflict among existing residents, so this has been a very exemplary project.”

“Private-sector redevelopment accounts for a very large share of housing supply, but it is true that progress has been somewhat slow,” Han said. “The government is also working on this, led by the Ministry of Land, Infrastructure and Transport. We will look for ways to support private construction companies, including with financing.”

Prime Minister Han Seongsuk speaks at a meeting at the Suwon Youth Culture Center after visiting the site of the sixth Suwon redevelopment and renewal project in Yeongtong-gu, Suwon, Gyeonggi Province, on Oct. 13, 2026. jeong@yna.co.kr (End) Yonhap News

After touring the site, Han moved to the meeting venue and said, “The government is focused on increasing housing supply to stabilize the housing market, but government efforts alone are not enough. Given that the private sector accounts for more than 80% of total housing supply in the Seoul metropolitan area, it will be difficult to meet the government’s goals without swiftly advancing private-sector redevelopment projects.” She added, “We will identify any gaps in institutional improvements and financial support needed to expedite private-sector redevelopment projects, and develop various measures to ensure these efforts deliver tangible results on the ground.”

To this end, Han said the government would soon launch an “Integrated Housing Supply Support Center” with the Ministry of Land, Infrastructure and Transport and financial authorities taking part. Addressing the meeting participants, she said, “I ask you to share a wide range of views on speeding up permitting and consultations with relevant agencies, easing financing difficulties such as securing project funds, and resolving conflicts among stakeholders, such as disputes over construction costs.” She urged them to “focus discussions on issues that can be improved immediately under the current system and effective measures to increase the number of projects starting construction during the time remaining.”

She also stressed that “speeding up private-sector redevelopment projects requires mutual cooperation among all parties, including not only the central and local governments but also redevelopment associations, the construction industry, and financial institutions.” She urged the relevant agencies to “actively review the proposals and swiftly pursue feasible improvements, starting with those that can be implemented.”

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