Korea Land & Housing Corporation (LH) said on the 7th that it signed a "basic agreement to swiftly expand public-led supply of dwellings" with Korea Housing & Urban Guarantee Corporation (HUG).
The agreement was prepared to build a support system that links key project-specific financial support with project execution capabilities so the two institutions can work together to quickly advance the government's public-led policy to supply dwellings.
The agreement covers: ▲ speeding up financial support for dwelling supply projects ▲ cooperation on tailored financial support ▲ supporting swift decision-making through a consultative body.
Based on this agreement, LH and HUG plan to establish a cooperative financial support system across dwelling supply projects and to prepare tailored financial guarantees and financing measures for smooth project execution.
In particular, through HUG's provision of guarantees for various dwelling supply projects implemented by LH—such as public housing sites, newly built purchase-for-lease dwellings, and urban renewal projects—the plan is to secure both reduced financing costs and project stability.
In addition to dwelling supply based on public housing sites, they will also pursue the development of new financial products to invigorate dwelling supply projects that utilize urban renewal initiatives and aging facilities and idle sites.
After signing the agreement, the two institutions will draw up detailed implementation plans and form and operate a regular consultative body. They will promptly resolve project execution difficulties and actively identify institutional improvements to support policy adoption.
On the day, Acting President Jo Kyung-sook of LH and President Choi In-ho of HUG visited the public redevelopment project district in the Geoyeo Saemaeul area of Seoul, inspected the project site, and also held a joint roundtable with local residents and private developers to hear opinions.
Acting President Jo Kyung-sook of LH said, "This agreement is intended to raise both the speed and stability of dwelling supply by combining the two institutions' capabilities to promote public dwelling projects with financial support functions," adding, "We will do our best to activate various supply methods—such as public housing sites, urban renewal, and newly built purchases—so we can produce dwelling supply outcomes that people can feel."
HUG President Choi In-ho said, "This agreement will serve as an important foundation for strengthening financial support and business cooperation for dwelling supply projects in urban areas so that dwelling supply can be carried out more swiftly on the ground," adding, "HUG will continue to remove obstacles to project execution through guarantees and policy financing support and actively contribute to producing housing stability outcomes that people can feel."