LH deferred 14 public housing projects outside capital region on weak demand, data shows
In short
Data submitted to the National Assembly by state housing developer LH shows 14 public housing projects included in last year's start plan were not begun because of insufficient local demand, all of them outside the Seoul metropolitan region. The projects total 7,346 households, including 1,689 public-sale units. Only three of the deferred projects are in this year's start plan, two of them pushed to next year or later, while capital-region apartment starts remain below their 10-year average.
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Fourteen public housing projects that state developer Korea Land and Housing Corporation (LH) had included in its start plan were not begun because of insufficient demand, and all of the sites lie outside the Seoul metropolitan region, according to data LH submitted to the National Assembly. Lawmaker Kang Dae-sik of the People Power Party, a member of the National Assembly's Land, Infrastructure and Transport Committee, released the figures, which both Yonhap and Maeil Business reported. [ 1 , 2 ]
The deferred projects are Ulsan Daun 2 A-3 and B-7; Jeungpyeong Naeseong and Goesan Mini Complex Town A3 in North Chungcheong; Seongmun National Industrial Complex B-3, Janghang National Ecological Industrial Complex B1, Hongseong Namjang, Gongju Wolsong A-1 and Asan Onyang in South Chungcheong; Gunsan New Station Area B-1 in North Jeolla; Gumi Innovation B-2 in North Gyeongsang; Seongdang A in Daegu; and Yangsan Sasong A-3 and Gimhae Jinrye B2 in South Gyeongsang. Together they total 7,346 households, including 1,689 public-sale units plus general and integrated public rental housing. [ 1 , 2 ]
Of the projects deferred last year, only three are included in this year's start plan, and two of those — Ulsan Daun 2 B-7 and Goesan Mini Complex Town A3 — are now scheduled to start next year or later. LH said it decided whether to start by comprehensively reviewing housing demand in the area and the unsold and vacant unit situation in the project district and nearby areas. [ 1 , 2 ]
LH's start plan for non-capital areas this year totals 5,477 households. Daegu accounts for the largest share at 1,394, followed by North Gyeongsang at 1,025, South Chungcheong at 860 and Ulsan at 494, while Busan and Daejeon have no volume planned this year. In the capital region, apartment starts were 136,000 households in 2022, 108,000 in 2023, 150,000 in 2024 and 153,000 in 2025 — well below the 10-year average of 185,000 — which the reports say has contributed to a recent shortfall in move-in supply. [ 1 , 2 ]
Kang said the contrast showed “a cross-section of the regional mismatch in supply policy,” noting that the capital region worries about undersupply while local areas cannot start even planned public housing for lack of demand. He called for supply volume and timing to be adjusted to reflect regional housing demand, unsold units and vacancies and population change, and for limited public housing funds to be directed on time to places with actual demand. [ 1 , 2 ]
Why it matters
The documents present the figures as evidence of a regional mismatch in government housing supply policy, which has concentrated on expanding supply in the capital region while planned public housing elsewhere stalls. LH's own start plan for non-capital areas this year is 5,477 households, with no volume planned at all for Busan or Daejeon, the data show.
Key facts
- Fourteen public housing projects in LH's start plan were not begun because of insufficient demand, all of them outside the capital region, according to data the state developer submitted to lawmaker Kang Dae-sik of the People Power Party. [ 1 , 2 ]
- The 14 projects total 7,346 households, including 1,689 public-sale units and general and integrated public rental housing. [ 1 , 2 ]
- Only three of the deferred projects are in this year's start plan, and two of them — Ulsan Daun 2 B-7 and Goesan Mini Complex Town A3 — are now scheduled to start next year or later. [ 1 , 2 ]
- LH said it judged demand by reviewing housing demand in the area and unsold and vacant units in the project district and nearby areas. [ 1 , 2 ]
- LH's non-capital start plan for this year totals 5,477 households: Daegu 1,394, North Gyeongsang 1,025, South Chungcheong 860 and Ulsan 494, with no volume planned for Busan or Daejeon. [ 1 , 2 ]
- Apartment starts in the capital region were 136,000 households in 2022, 108,000 in 2023, 150,000 in 2024 and 153,000 in 2025, below the 10-year average of 185,000, which the reports link to a recent shortfall in move-in supply. [ 1 , 2 ]
- Kang said the situation shows a regional mismatch in supply policy and called for supply volume and timing to be adjusted to local demand, unsold units, vacancies and population change. [ 1 , 2 ]
Confirmed by several sources
- Fourteen public housing projects outside the capital region were not started last year because of insufficient demand, covering 7,346 households. [ 1 , 2 ]
- Only three of the deferred projects appear in this year's start plan, with two pushed to next year or later. [ 1 , 2 ]
- LH's non-capital public housing start plan for this year totals 5,477 households, with no planned volume in Busan or Daejeon. [ 1 , 2 ]
- Capital-region apartment starts have stayed below the 10-year average of 185,000 households. [ 1 , 2 ]
- LH said the start decisions followed reviews of local housing demand, unsold units and vacancies. [ 1 , 2 ]
Still unclear
- What happens to the deferred projects that are not in this year's start plan. Both documents list the 14 projects and say only three returned to this year's plan, but neither says whether the others have been cancelled, are being re-planned or will be decided later.
- Whether the land ministry or another government body disputes or endorses LH's demand assessment. Only LH's explanation and lawmaker Kang's comments appear in the documents; no ministry response is included.
- The exact start timing for the one re-included project not reported as delayed. The documents name only Ulsan Daun 2 B-7 and Goesan Mini Complex Town A3 as pushed to next year or later, without detailing the third re-included project's schedule.