Korea Research Institute for Human Settlements President: "It Is Questionable Whether Demand Can Be Absorbed Even if Housing Supply in the Seoul Metropolitan Area Is Increased"

[Financial News] Newly appointed Korea Research Institute for Human Settlements President Lim Jae-man emphasized that balanced national development would be the institute’s top priority and that it would also focus on stabilizing the housing market.
At a press briefing held in Sejong City on the 15th, Lim said, "With resources and capital concentrating in the Seoul metropolitan area, I wondered whether the demand flowing into the region could be accommodated even if a large number of homes were built there."
Regarding expanded housing supply in the Seoul metropolitan area, Lim pointed out, "If we indiscriminately build homes simply because there is a shortage in the metropolitan area, doesn’t that amount to telling people from the provinces to come live in Seoul?" He added, "Such a contradictory situation is possible."
He continued, "The housing market cannot be stabilized through micro-level policies," adding, "To properly pursue balanced national development, we must assess whether every policy, including those concerning education and healthcare, contributes to balanced development and ensure that policies are changed when necessary so they do."
Lim explained that after taking office, he formed the Special Research Group on the Fundamental Right to Housing. The group is studying housing stability from various perspectives, including not only home prices but also security of tenure, housing affordability, and the adequacy of housing.
Regarding the Korea Land and Housing Corporation Reform Committee, which Lim chairs as its private-sector chair, he said, "The reform committee is a body for discussion, not a decision-making body," adding, "Given that the organizational restructuring has now been announced, we should consider the committee’s role to have ended." He explained that the Ministry of Land, Infrastructure and Transport is responsible for drafting and announcing the reform plan.
Regarding the revision of the comprehensive master plan for Yongsan Park being carried out by the Korea Research Institute for Human Settlements, he said the institute was waiting for discussions between the government and the Seoul Metropolitan Government on housing supply within the park to be concluded.
Regarding the second relocation of public institutions, he explained that the institute was studying links between the institutions slated for relocation and regional industrial bases, as well as locations that could maximize the effects of the relocations.
However, he said, "We are not discussing where any specific institution should be relocated."

[email protected] Jung Kyung-soo Reporter