Suwon's Gosaeok-dong Public Redevelopment Project Candidate Site Designated as Land Transaction Approval Area

[Suwon Ilbo=Park No-hun] Gyeonggi Province announced on the 4th that it will designate an area of 91,964㎡ in Gosaeok-dong, Suwon, a public redevelopment project candidate site designated by the government, as a land transaction approval area from the 9th to November 8, 2023.

The area around Lot 88-1, Gosaeok-dong, Suwon was selected on October 29 as one of 17 candidate sites for the Ministry of Land, Infrastructure and Transport's '3080+ Private Proposal Integrated Contest,' and a public redevelopment project reflecting residents' development demands will proceed.

Gyeonggi Province determined that speculative demand targeting various incentives of public redevelopment projects, including increased floor-area ratios, would flow into the area, and designated it as a land transaction approval area after consulting with the Ministry of Land, Infrastructure and Transport.

To conduct transactions of residences, commercial spaces, land, and other properties above a certain scale in a land transaction approval area, approval from the mayor or county head is required. Concluding a land transaction contract without permission is subject to imprisonment of no more than two years or a fine of up to 30% of the land price.

For residential land, buying and selling or leasing are restricted for two years and the land must only be used for owner-occupied purposes.

In particular, the province plans to strengthen the land area in residential zones requiring approval to 10% (18㎡) of the minimum standard area (exceeding 180㎡) under the Enforcement Decree of the Real Estate Transaction Reporting Act, maximizing the purpose of the land transaction approval area system, which is "speculation suppression."

An official from Gyeonggi Province stated, "With the selection of the public redevelopment project candidate site, interest from investors and others is concentrated, and speculative transactions in the area may become prevalent," adding "We will respond carefully according to market conditions to stabilize the real estate market."