Uiwang City Approves Management and Disposition Plan for Naesonda District Redevelopment Project...Expectations to Resolve Housing Supply Imbalance

[Suwon Ilbo=Reporter Hong Seong-gil] Following the recent approval of the management and disposition plan for the Naesonda District residential redevelopment project in Uiwang City, expectations are rising for resolving the local housing supply imbalance.

According to the city on the 1st, the Naesonda District Cooperative's application for approval of the management and disposition plan underwent a validity verification process by Korea Appraisal Board, and on the 12th of last month, the management and disposition plan for the Naesonda District residential redevelopment project received approval.

The Naesonda District was developed as a single-family residential area in the Poil District in 1985, but due to the construction of multi-family and multi-unit buildings, it has become a deteriorated and dilapidated residential area with poor living conditions concentrated with old housing. Currently, 7,298 residents live in 2,810 households within the redevelopment area.

The Naesonda District redevelopment project has completed all administrative procedures necessary for the redevelopment project, following the city's designation of the redevelopment area in June 2011, cooperative establishment approval in July 2014, project implementation approval in April 2018, and finally receiving management and disposition plan approval in June.

Jung-wo Jeong, the representative of the Naesonda District Cooperative, stated, "Following the approval of the management and disposition plan this time, we are consulting with HUG Korea Housing Finance Corporation regarding issuance of a guarantee certificate, and are in consultation with financial companies to secure compensation funds for landowners' moving expenses and cash settlement recipients. Once consultations are completed, we plan to begin relocation starting October of this year."

Meanwhile, since February of this year, the city has seen the start of occupancy at Baegun Valley District with approximately 3,000 households, Bugok Jangan District with 1,076 households, and Ojeon-dong Seohae Grand Blu with 536 households, totaling approximately 4,500 households moving in simultaneously. This resulted in temporary over-supply, and following the September 13 comprehensive real estate measures, jeonse prices showed a decline rate of approximately 25%, higher than the provincial average.

When consultations on student allocation plans including the expansion of Naesonda Elementary School necessary for redevelopment were delayed, the city held urgent emergency response meetings and made swift efforts through active task promotion to expedite the approval of the management and disposition plan.

Uiwang City Mayor Kim Sang-don stated, "When the existing 2,810 households in the Naesonda District begin relocation from October, the housing supply imbalance within the city that resulted from the large-scale apartment occupancies at Jangan District, Baegun Valley, and Poil Central Prugio apartments is expected to be resolved."

Meanwhile, the newly constructed Naesonda District residential redevelopment area will feature apartments with 19 buildings and 2,633 units spanning 4 basement floors and a maximum of 29 stories above ground. Construction is scheduled to commence in January 2021 and completion and occupancy are planned for October 2023.

Among these units, 1,583 units will be supplied to cooperative members, while the remaining 898 units are planned for general supply. Additionally, 132 rental units will be supplied to tenants who have been residing in the area three months prior to the designation of the redevelopment zone, and 20 reserved units are held.