Public support for direct establishment of associations is increasing to shorten the deadline for establishing associations in Seoul's reconstruction and redevelopment maintenance projects. Using the public support direct establishment system allows for the establishment of an association at maintenance project sites without going through an association promotion committee. Establishing an association through this system can shorten the average establishment deadline by more than a year. In addition, the Seoul City government provides 300 million won in operational support funds for the association.
Last year, it was announced that 13 maintenance projects in Seoul would push for the establishment of associations using this method. Since the system was implemented in 2016, 17 business sites have applied this system to establish or promote associations, with most utilizing the system since last year. This year, there have been continuous announcements of business sites pushing for association establishment using this method. The Seoul City government expects about 10 business sites to utilize this system this year.
According to the maintenance industry on the 11th, there are three business sites that have announced plans to promote the establishment of associations using the public support direct establishment system this year. This system targets public support maintenance planning areas designated by the Seoul City government, allowing for the establishment of associations without forming promotion committees. Since 2016, the Seoul City government has established operational standards to support this process. To create an association using this procedure, a plan for establishing the association must be announced, and a residents' committee must be formed. The chairperson of the residents' committee must be an external expert with over three years of practical experience in maintenance projects, while the vice-chairperson is appointed from among resident representatives.
On Jan. 23, plans for public support association establishment were announced for the housing maintenance-type redevelopment zone at 23 Changsin-dong, Jongno-gu. The area covers 64,822.4 square meters, and currently, the number of landowners is 342. The goal is to establish the association by October this year. On the 24th of last month, the plan for the establishment of an association for the urban maintenance-type redevelopment project in Jeonnong-dong, Dongdaemun-gu, located on a land area of 21,381 square meters, was also announced. The redevelopment area in Jeonnong is planning to build 949 multifamily dwellings, including 154 public housing units, with a maximum height of 49 floors, and aims to form a residents' advisory committee next month, targeting association establishment in September.
This month, even on the 3rd, the housing maintenance-type redevelopment project in Sinrim 7-dong, Gwanak-gu, unveiled its direct establishment plan for the association and began selecting a chairperson for the residents' committee. This business site plans to supply 1,402 dwellings over an area of 76,880 square meters near 675 Sinrim-dong.
Park Mi-young, head of the public support implementation team at the Seoul City Housing Maintenance Division, said, "Typically, it takes about three years and six months from the designation of a maintenance zone to the establishment of an association, but using this system can shorten that by more than a year," adding, "Once the association is established, 300 million won in support funds will also be provided by the city." Park noted, "Recently, major owners of maintenance projects who are looking to shorten the establishment timeline have shown increased interest in this system," and added, "It is expected that about 10 business sites will utilize this system again this year."
Song Seung-hyun, CEO of Urban and Economy, said, "In many maintenance projects, disputes arise among owners during the promotion committee stage, leading to legal disputes, or the committee stage is prolonged, resulting in continuous operational costs. If the timeline is delayed, the timing of the maintenance project can be missed, losing momentum for the project, so this system is utilized to speed up the process without going through the promotion committee stage."