Lee Calls for a 'Blitz' in Housing Supply... "The Standard for Housing Supply Is 'Move-In'"

Seoul Metropolitan Area Housing Starts Target Achievement Rate Forecast at 81%–88%... Rebukes Delays in LH Hiring

Orders Shorter Land Compensation and Acquisition Procedures, Expanded Financial Incentives

Land Compensation Procedures to Be R

President Lee Jaemyung ordered a dramatic acceleration in housing supply for third-generation new towns, saying, "The standard for housing supply should be immediate occupancy." After the government reported that housing starts in the Seoul metropolitan area this year would fall short of the original target, he criticized delays in hiring and called for every available measure to be mobilized, including shortening land compensation procedures and expanding financial incentives. His remarks appear to reflect concern that public confidence in real estate policy overall could be shaken if the supply shortfall caused by a decline in permits in previous years is not made up quickly.

On October 20, President Lee visited the Incheon Gyeyang public housing district to inspect the development of a third-generation new town and held a meeting with prospective residents and experts. "Rapid housing supply in third-generation new towns will be a critical turning point that determines the success or failure of real estate policy," he said. "If it appears that the supply policies we have already announced are not being properly implemented, public confidence in real estate policy overall will inevitably decline."

He noted in particular that new housing permits and starts had fallen by nearly half from 2022 through 2025, saying, "We must bring forward new supply as much as possible to close that gap." On the goal of starting construction on about 90% of the public housing planned for third-generation new towns by 2030, he urged swift implementation, saying, "We have to do what we said we would."

President Lee Jaemyung speaks at a meeting on housing supply held in the Incheon Gyeyang public housing development zone on Oct. 20, 2026. Yonhap News Agency

Seoul Metropolitan Area Housing Starts Set to Miss This Year's Target... Lee Says "It's a Matter of Trust"

Land, Infrastructure and Transport Minister Hong Jiseon reported that 99,000 homes had begun construction by the second week of October, out of this year's target of 268,000 homes in the Seoul metropolitan area, putting the achievement rate at just 37%. The government expects the rate to reach only 81% to 88% by year-end. It is pursuing a target of starting construction on more than 1.5 million homes in the Seoul metropolitan area over the next five years.

However, the government said it plans to start construction on 218,000 of the 245,000 public housing units planned for third-generation new towns by 2030, and to shorten the average time from announcing a candidate site to starting construction from 68 months to 28 to 37 months.

In response, President Lee said, "Even if we fall 1% or 2% short of the projection, this is still a matter of trust," and criticized delays in inter-ministerial discussions on hiring at the Korea Land and Housing Corporation, saying, "Every day counts." He also ordered officials to consider dramatically expanding financial incentives for early construction starts and permits.

Land Compensation Procedures to Be Reexamined from Scratch... Lee Urges Improvements to Public Rental Housing Policy

He also called for a review of the entire project process. He proposed pursuing negotiated land compensation and compulsory expropriation in parallel, and beginning construction on the remaining land even if compensation for some parcels is delayed. He also called for consideration of selling undeveloped land before it is fully prepared for development.

Regarding the current procedure, which requires a civil lawsuit if residents refuse to leave even after receiving compensation, he said, "It seems there is a gap in the legislation," and ordered officials to examine the possibility of amending the law and report back separately. President Lee stressed that, "This is an emergency," and that the supply timeline must be shortened as much as possible, departing from existing administrative practices.

He also stressed the need to improve public rental housing. He called for rental housing in the 20- to 30-pyeong range in well-located areas, such as near subway stations, where middle-income households could live for extended periods, and ordered officials to consider increasing floor-area ratios and adopting a new policy name. He also emphasized the need for institutional safeguards to prevent rental housing from being sold off in the future in response to demands for conversion to ownership or policy changes. He further urged officials to ensure that employees are not disadvantaged during the organizational separation of the Korea Land and Housing Corporation.

First Move-In at Third-Generation New Town to Include 1,285 Homes... Lee Calls for Expanded Transport and Education Infrastructure

President Lee Jaemyung visits the Incheon Gyeyang public housing district on October 20 to inspect the site of a third-generation new town. 2026.10.20 Yonhap News Agency

The day's schedule began at 3 p.m. on the rooftop of the 15th floor of an apartment building in Block A3 of the Incheon Gyeyang district. Comparing a panel showing the new town's development status with the actual site, President Lee asked detailed questions, including, "What is the plan for the railway?" and "When will construction begin?" He also pointed out the problem of land sold to private buyers remaining undeveloped for an extended period.

At a meeting held afterward in an underground community room, he received reports on housing supply plans from the Ministry of Land, Infrastructure and Transport and the Korea Land and Housing Corporation, and heard proposals from experts and prospective residents. The Korea Land and Housing Corporation said that 1,285 households would move into the Incheon Gyeyang district at the end of December, marking the first move-in at a third-generation new town. These comprise 747 publicly sold homes in Block A2 and 538 homes in the Newlywed Hope Town in Block A3.

Experts called for reducing the time lag between residents moving into homes and the construction of transport and education infrastructure. In particular, concerns were raised about a gap in educational facilities: move-ins are set to begin in December 2026, but the elementary school is not scheduled to open until 2029.

Prospective residents requested expanded bus and rail services for commuting to Seoul. Incheon Mayor Park Chan-dae said the city would pursue short-term measures, including shuttle buses and chartered buses, while gradually expanding the Bus Rapid Transit (BRT) system and rail network. President Lee ordered the city of Incheon and the central government to quickly coordinate their rail plans.

They also discussed shortening construction timelines through the use of modular housing. President Lee called for a comprehensive review of the potential to reduce construction costs through mass production, improve safety, and lower financing costs. In response to a proposal to raise the deposit conversion limit to help Happy Housing residents build assets, he said that the asset criteria and timing of resident selection should also be considered.

After the meeting, President Lee was told that the event had not been broadcast live. He urged officials, saying, "Please broadcast live whenever possible, and take our citizens' participation into account as well."

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