Park Hap-su, co-chair of the Korea Real Estate Experts Club (adjunct professor at Konkuk University Graduate School of Real Estate), said, "In the Sept. 7 measures, there is relatively a lack of deregulation for redevelopment and reconstruction, which lead the supply in downtown areas, so supplementary steps such as abolishing the reconstruction excess profit recapture system are needed."
Chair Park said this at the 7th forum of the Real Estate Experts Club, held on the afternoon of the 15th under the theme "Outlook for the real estate market in the second half of 2025."
At the event, Park referred to the recently announced Sept. 7 supply measures, saying, "A plan was introduced in which the public sector becomes the main agent of supply, centered on new towns, and expands it," adding, "In the private sector, only fine points such as contributed acceptance of school sites and noise standards were improved, and it is essential to substantially increase the supply volume of the third-phase new towns (an additional 200,000 households)."
The government announced on the 7th that it will supply a total of 1.35 million households over five years through 2030, an annual average of 270,000 new dwellings. First, to swiftly supply sufficient dwellings to public housing sites in the greater Seoul area, it said it would strengthen the public role and improve delay factors in business procedures to supply more than 372,000 dwellings.
The government significantly strengthened the role of the Korea Land & Housing Corporation (LH). LH will not sell land for multi-family housing to the private sector but will directly carry out dwelling construction projects. LH plans to accelerate the supply pace and pursue floor area ratio increases to add 60,000 households in the greater Seoul area by 2030. In addition, commercial-business land (non-dwelling land), such as commercial parcels that have not been used for a long time or were excessively planned, will be converted to residential land after review to supply more than 15,000 dwellings.
Park said, "Officetels are excluded from the types of buildings that can be built on commercial-business land," adding, "If officetels are included, it would be much easier to dispose of unsold plots."
He went on to say, "Typically, government real estate policy has not left out 'stabilizing housing for ordinary people,' but this time was different," adding, "Instead, the creation of a real estate supervisory agency, investigations into illegal funding sources, and checks on actual residency were included; measures to stabilize housing for ordinary people, including young people, should also be prepared."
Meanwhile, the Korea Real Estate Experts Club, a group formed by developers, architects, appraisers, tax accountants, lawyers, financiers, builders, licensed agents, and investment firms—experts in the real estate field—was launched in February. Chair Park, Mo Hyun-suk, head of the Korea Real Estate REITs Investment Advisory Association, and Cho Yong-mun, CEO of the real estate artificial intelligence (AI) service "Paran-gom," serve as co-chairs, and the group holds one real estate-related lecture each month.