Seoul Mayor Oh Se-hoon announced "Fast-Track Integrated Planning 2.0," which includes cutting the redevelopment project timeline by up to 6.5 years. He said about 200,000 homes will break ground in the preferred Han River Belt in Seoul by 2031. The number of homes breaking ground across Seoul will be 310,000.
According to the Seoul city government on the 29th, the city will fully push "Fast-Track Integrated Planning (FTIP) 2.0" to move up the redevelopment timeline by up to 6.5 years through streamlined permits and regulatory innovation. Through the existing FTIP program, the city had already shortened the project period from 18.5 years to 13 years, a reduction of 5.5 years. This time, by improving permitting and innovating regulations, the plan is to extend the reduction to 6.5 years and complete redevelopment in 12 years.
"FTIP" is a flagship initiative of Mayor Oh Se-hoon. The press briefing held this morning will also be conducted directly by Mayor Oh. FTIP 2.0 is built on three key strategies: ▲procedural simplification ▲faster consultations and reviews ▲and relocation promotion. The previous FTIP applied only up to the designation of a redevelopment zone, but the core this time is to expand it through the management and disposal stage. The goal is to supply faster and more in places with demand, centered on private-sector supply.
First, the city will shorten the project period by about one year by measures such as skipping the draft environmental impact assessment review meeting in the permitting process. This includes changing the repeatedly conducted "eligibility check for tenants of redevelopment rental housing" at both the project implementation approval and the management and disposal stages to a single check at the management and disposal stage. In addition, the "estimated cost-sharing verification procedure," which had been conducted before the association member sales notice, will be shortened from four to three by eliminating duplicate verification at the management and disposal stage. The "demolition comprehensive plan" will be simplified, and improvements will require drafting a demolition plan and undergoing review only in areas where actual demolition is needed.
To shorten interdepartmental consultation and verification during the project implementation approval process, the city will set up a "consultation opinion coordination window" within the Seoul Metropolitan Government. Until now, when departments disagreed, the project implementer (association) had to coordinate each opinion individually, creating inconvenience the city aims to remove. Starting in the first half of next year, the "feasibility review of the management and disposal plan," which had been handled only by the Korea Real Estate Board (REB), will also be processed by SH Corporation to speed things up.
Tenants who had been excluded from legal compensation for losses will also be compensated for relocation costs. During redevelopment, project implementers are required to compensate tenants for losses, but when tenants changed, they were excluded from compensation, often causing conflicts during relocation. The city plans to revise the local government ordinance so that if an association provides additional compensation, it will receive corresponding floor area ratio incentives.
The city will also expand authority to the autonomous districts so that district chiefs can directly approve minor changes, including the area of the redevelopment zone and the scale of redevelopment infrastructure. To this end, Seoul plans to revise the "Urban Redevelopment Ordinance" within the year.
Through "FTIP 2.0," the city plans to break ground on a total of 310,000 homes by 2031. By 2035, 377,000 homes will be completed. In particular, it aims for tangible stabilization of home prices by concentrating 198,000 homes, or 63.8% of total groundbreakings, in high-demand areas such as the Han River Belt. The city believes that if it adds projects awaiting redevelopment zone designation, small-scale redevelopment such as "Moah Housing," and remodeling volumes, it can supply more than 390,000 homes by 2031.
Mayor Oh said, "The key to solving Seoul's housing supply problem is private-sector-centered redevelopment, especially supplying sufficient dwellings in major areas, including the three Gangnam districts," adding, "We will dramatically accelerate the pace of supply to deliver housing supply and real estate market stabilization effects that residents can feel across Seoul."