Ilsan Gangseon, Pyeongchon Hangaram, etc.
Metropolitan area remodeling promotion complex
When safety diagnosis regulations were eased
Calls for reconstruction grow louder
“Remodeling is in progress, but these days people who want to rebuild come out and fight every day. I wanted to live in a new house, but it is frustrating to see the conflict only deepen.”
Mr. Kim, an office worker who lives in an apartment building undergoing remodeling, said, “As the government announced deregulation centered on reconstruction, remodeling complexes are in a very difficult situation.”
The apartment where Mr. Kim lives is a small apartment with less than 300 households in Jeil-ro, Sadang-dong, Seoul. However, the promotion of remodeling was gaining momentum as the scale was small and the safety diagnosis score was expected to be high. The agreement to establish a remodeling association was also received by 63%, but when the government recently announced deregulation for reconstruction, the atmosphere changed. Some residents began to oppose the remodeling, saying that it should be reconstructed. Mr. Kim said, “It took a lot of time and effort from the residents for the remodeling promotion to gain momentum, but now the fight is growing between reconstruction and remodeling.” Mr. Kim also regretted that “only reconstruction-oriented deregulation came out, and remodeling complexes were left out.”
As the government promoted the deregulation of reconstruction, remodeling complexes faced a ‘crisis’. In particular, when the special law for first-phase new towns, which drastically increases the floor area ratio, comes out, complexes preparing for remodeling within the first-phase new towns are protesting, saying ‘remodeling kills’. Remodeling complexes claim that “as remodeling improves the residential environment, deregulation incentives are needed.”
According to the real estate industry on the 19th, remodeling complexes in the metropolitan area, such as Ilsan Gangseon Village Complex 14, Anyang Pyeongchon Hangaram Complex, Pyeongchon Mokryeon Complex 2, and Sanbon Sejong Jugong Complex 6 in Gunpo, Gyeonggi Province, are swaying as internal voices insisting on reconstruction grow louder.
Remodeling has emerged as an alternative to ‘reconstruction’ in the past administration, when reconstruction regulations were strengthened due to its lower safety diagnosis hurdles and faster business speed than reconstruction.
However, as the government recently eased reconstruction regulations, complexes that were promoting remodeling are considering turning to reconstruction. In particular, when the government announced the ‘Special Act on Maintenance and Support for Older Planned Cities (Special Act on New Towns in the 1st Phase)’ on the 7th, which increases the floor area ratio, remodeling organizations in the 1st phase of the new town were upset.
The special law contains content that increases the floor area ratio up to 500% and relaxes safety diagnosis standards for housing districts in the metropolitan area, including first-phase new cities such as Ilsan, Bundang, and Pyeongchon, and aging cities in the provinces. The Ministry of Land, Transport and Maritime Affairs took 20 years, which is shorter than the 30-year period for reconstruction, as the standard for applying the special law.
Cooperatives that had already turned to remodeling projects because of the floor area ratio that was close to 300% found it difficult to reconstruct, but when the government announced that they would raise the reconstruction floor area ratio to 500%, a voice burst out from within, saying, “Let’s rebuild in this situation.”
Anyang, where there are many remodeling complexes, was thrown into chaos. According to Anyang City, 28 out of 54 complexes in Anyang are undergoing remodeling.
A resident of an apartment complex in Pyeongchon, which is undergoing remodeling, said, “Everyone knows that reconstruction is good, but the floor area ratio and business feasibility were not so good, so I was going to remodel. Another resident said, “Before the announcement of the special law, there was a strong atmosphere to remodel and live in a new building, but after the announcement of the law, residents are confused about whether remodeling or reconstruction will be better.” It does,” he said.
In recent years, as construction costs have risen due to rising raw material prices and house prices have fallen, the driving force for reconstruction or remodeling has weakened significantly. In this situation, as the dispute over remodeling or reconstruction between apartment residents intensifies, there is a lamentation that “the remodeling project, which has been difficult to promote due to fights between residents, is eventually stranded.” A resident of Ilsan said, “Even if we agreed to remodeling, there are people who say not to worry about the cost sharing these days, but now that the floor area ratio is also giving more reconstruction, isn’t it different from saying not to remodeling?” I have to give it.”
