At COEX in Gangnam-gu, Seoul, on Sep 30, visitors look over a model of the nation's largest modular dwellings complex that LH is creating in the Sejong Smart Complex. /Courtesy of News1

Public dwellings in the "modular" format, built in factories and assembled on-site, are expected to increase in earnest. Following Uiwang in Gyeonggi Province, a 20-story public rental housing complex will also be built in Ansan. This reflects the government's intent to promote modular dwellings, which have relatively shorter construction periods, amid a worsening housing supply crunch. Modular (OSC) dwellings are homes assembled on-site by transporting factory-made module spaces such as rooms, kitchens and living rooms.

According to Korea Land & Housing Corporation (LH) on the 29th, LH on the 28th began inviting private operators for a private-participation public dwelling construction project using modular dwellings at the Ansan Singil 2 A-5 block (BL) in Danwon District, Ansan. The invitation runs until Dec. 5.

The project calls for building modular multifamily dwellings up to 20 stories on a 12,666-square-meter site. It will supply a total of 446 units of integrated public rental dwellings, including 312 units under 45 square meters of exclusive area and 134 units of 45 square meters or larger. Private project costs total 120.4 billion won.

LH plans to select a preferred bidder around Jan.–Feb. next year and break ground in Dec.

Graphic = Jung Seo-hee

Cases of applying modular methods to public dwellings are increasing. In Uiwang, Gyeonggi Province, the Uiwang Chopyeong A-4B district, proceeding as a private-participation public dwelling project, is being built as modular dwellings with 381 units of integrated public rental dwellings. Its height is 22 stories, the tallest among modular dwellings in Korea.

This stems from the government's intent to expand modular dwellings. Modular dwellings can cut construction time by up to 50% compared with conventional on-site construction. They also reduce on-site labor input, lowering the risk of industrial accidents, and offer uniform construction quality. Accordingly, the Ministry of Land, Infrastructure and Transport on Sept. 7 announced in its dwelling supply plan that it would promote modular dwellings.

The Ministry of Land, Infrastructure and Transport (MOLIT) is currently working to enact a special law on off-site construction (OSC) and modular building. Through the special law, it plans to establish legal standards related to OSC and modular building for design, supervision and quality control. Afterward, to serve as a primer for the modular dwelling market, it plans to secure annual public dwelling orders for 3,000 households.

However, the expansion of the modular dwelling market faces limits due to high construction costs and other factors. Modular dwellings become cheaper per unit with mass production, but because dwelling demand is not yet large, construction costs are about 30% higher than conventional methods. To secure economic feasibility, additional technology development is needed to safely build high-rise structures with modular methods.

In particular, as modular dwellings are expanding mainly through public dwellings at present, some say that institutional support from the government should be accompanied by changes in consumer perception so the modular method can also be applied in the private market.

Yoo Il-han, senior research fellow at the Construction & Economy Research Institute of Korea's New Growth Strategy Research Office, said, "To promote the construction of modular dwellings, measures are first needed to build a regulatory environment suitable for the characteristics of the domestic modular industry," and added, "To induce corporations' technology development and investment, it is necessary for the government to present mid- to long-term ordering plans." Yoo also noted, "It is also necessary to promote improvements in the social perception of modular construction and to expand its base within the construction industry."

A construction industry official said, "The modular dwelling market is still in its initial stage, and the government is trying to activate modular dwellings through public dwellings," adding, "Modular dwellings can be an alternative to solve current construction industry problems such as shortening construction periods and improving safety, but for the market itself to take off, institutional support from the government is needed so the private sector can invest in modular dwellings."

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