Opportunities in Shifting Paradigm: Hyundai E&C Starts Development of Large-scale Low Density Housing Complex
The steep upward trend in housing prices has long been a key social and economic issue in Korea. This is a particularly severe problem in the Seoul metropolitan area. The Korean government has thus introduced measures to relax land planning to allow higher density buildings to be developed on publicly owned land and introduced regulations and taxation measures to promote housing development in other parts of the country. The intent is to supply a large number of quality, affordable homes in the surrounding areas of Seoul Metropolitan Area, especially outside Seoul in Incheon and Gyeonggi in the form of large-scale new town developments. This has led to a changing paradigm of the real estate market with more and more of the South Korean middle-class looking to the suburbs.
A recent good example is the detached housing development in Yangju Ojeong (45 km from Seoul’s city hall) which will be the largest in the city. The project is being constructed by Hyundai E&C, one of the top five construction companies in the country. The Okjeong District, where the complex will be built, has recently emerged as a new center in the northern region of Gyeonggi due to various infrastructure improvements, including transportation, business and education. Branded as Hillstate Yangju Okjeong Patio Forest, the project offers large-scale block-type detached houses with a specialized design that provides residents with optimal residential living along with various community facilities.
Traditionally, Canada Wood Korea has been engaging with small builders to promote wood construction in single-family home markets. Our strategy has since expanded to embrace larger builders such as Hyundai Construction because their scale of activity will have more meaning impact on wood use in Korea’s real estate market.