60 Homes Destroyed in Fire... SH Considers Withdrawing Eviction Lawsuits
Residents Vow Further Legal Action Regardless of Lawsuit Withdrawals
Dispute Over Priority Purchase Rights... Supply of 3,739 Homes at Risk of Delay

The H Firstier I-Park apartment complex can be seen behind the area of Guryong Village in Gangnam-gu, Seoul, where only the charred remains of homes were left after a fire on the 2nd. Photo by Moon Jewon

The H Firstier I-Park apartment complex can be seen behind the area of Guryong Village in Gangnam-gu, Seoul, where only the charred remains of homes were left after a fire on the 2nd. Photo by Moon Jewon

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Conflict between the Seoul Housing & Communities Corporation (SH) and residents has intensified following the fire in Guryong Village, Gangnam-gu, Seoul. SH is considering withdrawing its eviction lawsuits concerning homes destroyed by the fire and reviewing the next steps, while residents say they are prepared to seek injunctions and file administrative lawsuits to block construction from starting without additional compensation measures. Concerns are growing that construction, scheduled to begin in 2027, will be delayed.


When visited on November 2, the area around Guryong Village was still filled with a acrid smell, six days after the fire was extinguished. In District 2 of Guryong Village, which was swept by the flames, only charred building debris remained. Residents who had lost their homes and gathered at an evacuation shelter directed their anger at SH, which is pursuing redevelopment. One resident who said they had lived in District 2 for 28 years said, "A fire couldn't just break out in a place where access is restricted and the electricity has been cut off," adding, "I suspect it was arson related to the redevelopment."


Redevelopment of Guryong Village has been pursued since 2012, but not a shovel has yet been put in the ground because of conflicts with residents. About 140 of the total 1,107 households remain in the area, refusing to move, and SH filed eviction lawsuits against them in March. SH had initially planned to begin construction in early 2027 after a court ruling expected around September, followed by compulsory eviction and relocation procedures. But as the eviction lawsuit ruling was delayed, the construction schedule was pushed back to the second half of the year.


Amid this, the fire on October 27 destroyed some homes, creating a new variable. According to the Guryong Village Landowners and Residents' Council, about 60 homes in Districts 2 and 3 were destroyed in the fire. An SH official said, "We are consulting with the law firm representing us in the lawsuit on whether to withdraw the cases involving households whose homes were destroyed by the fire." This is seen as reflecting the reduced practical benefit of pursuing the eviction lawsuits now that the buildings have been destroyed.


Residents are concerned that the fire will accelerate the redevelopment schedule. One resident said, "The homes involved in ongoing eviction lawsuits have all burned down, leaving only traces behind," adding, "We couldn't even properly argue our case in court, and all that's left is a sense of injustice." Another resident said, "There were around 31 homes in District 2, where the fire broke out, and people were living there," adding, "To dispute relocation compensation, the value of property such as building materials has to be assessed. But everything has burned down, so I don't know what to do."


A house in Guryong Village, Gangnam-gu, Seoul, destroyed by fire. Photo by Moon Jaewon.

A house in Guryong Village, Gangnam-gu, Seoul, destroyed by fire. Photo by Moon Jaewon.

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SH also plans to proceed with compulsory eviction if it wins its eviction lawsuits concerning homes that were not destroyed. Residents, however, say they will oppose SH's attempts at compulsory eviction regardless of the lawsuit outcomes. Lee Kang-il, head of the Guryong Village Landowners and Residents' Council, said, "If SH attempts compulsory eviction, we plan to ask the court for an injunction to suspend it and file an administrative lawsuit arguing that SH has failed to provide proper relocation measures. We will ask the court to suspend compulsory eviction until the lawsuits are decided."


The central point of contention between SH and the residents is whether they should be granted priority purchase rights for rental housing. SH has said it will provide relocation compensation of at least several million won per household, as well as temporary relocation housing where residents can stay for monthly rent of 80,000 to 210,000 won without a deposit. Residents, however, are demanding the right to live in rental housing for five to 10 years and then receive priority to purchase it.


SH has rejected the demand, citing the lack of a legal basis. Providing additional compensation to persuade residents could set a bad precedent and raise issues of fairness. In particular, granting priority purchase rights for homes to be built as part of the Guryong Village redevelopment could prompt controversy over excessive compensation. The latest transactions for 59-square-meter units at The H Firstier I-Park, located across a road from Guryong Village, have reached 2.8 billion to 2.9 billion won.


Lee said, "We aren't asking to be given homes outright; we're asking for the right to live in rental housing and then receive priority to purchase it," adding, "Residents who can't afford to buy can sell that right and use the proceeds to cover relocation costs." He continued, "If priority purchase rights in Guryong Village are considered excessive, we can also discuss homes SH owns in other areas," adding, "It's frustrating that SH is simply telling us to leave without any discussion."



Industry observers fear that if the legal conflict over the Guryong Village redevelopment drags on, the project could be delayed for years. In that case, the planned supply of 3,739 homes, including long-term rental housing for newlyweds, would inevitably be disrupted. Eom Jeong-suk, a lawyer at Beopdo Comprehensive Law Office, said, "If the court grants the residents' request for an injunction suspending compulsory eviction, enforcement will be halted and the case will be contested in an appeal," adding, "It will typically take another one to two years for the ruling to become final."


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