[Anchor]

The project to redevelop the Jjokbangchon (impoverished guesthouse district) in Dongja-dong, in front of Seoul Station, into public housing is moving forward in earnest 5 years and 8 months after its initial announcement. As the project has been delayed due to opposition from landowners, how the authorities will handle land compensation negotiations remains a key issue.

Here is a report by reporter Baegun.

[Reporter]

Old buildings stand densely packed amid a forest of high-rises in front of Seoul Station.

This is the Dongja-dong Jjokbangchon, where tiny rooms measuring just one or two pyeong are clustered together.

The government will officially designate and announce this area of approximately 47,000 square meters—close to the size of seven soccer fields—as a public housing district tomorrow (October 21).

The government plans to supply a total of 2,150 households in the Jjokbangchon area, including 1,000 public rental housing units and 1,150 for-sale housing units.

The goal is to begin construction in 2029 and complete move-ins by 2032, with public rental housing equipped with private bathrooms and cooking facilities to be provided to current Jjokbangchon residents on a priority basis.

[Oh Gye-soon / Dongja-dong Jjokbangchon Resident: It would be a bit more comfortable to live over there (in the rental housing) than living in a place like this. No matter what, it's better to live in an apartment.]

The public development project in Dongja-dong was first announced in February 2021, but has faced delays as some landowners and property owners resisted, opposing the forced acquisition and demanding private development instead.

Residents, who have cycled between hope and disappointment in the meantime, have largely welcomed the news.

[Jung Dae-chul / Dongja-dong Jjokbangchon Resident: I had a thought that I wanted to live in a proper home just once, but because it kept getting delayed, over 170 people have passed away.]

The government has also introduced complementary measures to appease property owners, such as allowing private construction firms to jointly participate in the project and easing the capital gains tax burden when owners sell the pre-sale rights received as compensation.

However, owners argue that because the area has remained a Jjokbangchon, they have suffered losses as land prices were suppressed compared to surrounding areas, and that realistic compensation must come first.

[Baek Gi-seung / Senior Advisor, Seoul Station Dongja-dong Residents Emergency Committee: Because (Dongja-dong) is densely populated with people living in poor housing conditions, it was relatively undervalued compared to other areas. Shouldn't there be fair compensation and recognition?]

Having cleared its first hurdle in about 5 years and 8 months, careful government engagement will be necessary to minimize conflict during the compensation and relocation process.

(Video by Park Choon-bae, Design: Byun Da-young, Lee Ga-jin, VJ: Lee Ji-hwan)