PPP Proposes Cross-Party '3+3' Real Estate Consultative Body

The People Power Party proposed on the 30th that the Democratic Party form a cross-party '3+3 real estate consultative body' — comprising policy committee chairs, the floor's senior policy deputy, and secretaries of the Land, Infrastructure and Transport Committee — to discuss housing supply and measures to stabilize jeonse and rental markets.

The proposal is rooted in the differences between the two parties over floor area ratio policy. The Democratic Party decided on the 28th to raise the floor area ratio for private redevelopment and reconstruction projects to up to 1.2 times the legal cap, but it maintains the position of restricting the benefits of the increase to small housing units of 60 square meters or less in exclusive-use area.

Yim I-ja, the People Power Party's policy committee chair, criticized at a National Assembly audit preparation meeting that day: "If you pretend to ease regulations on the surface while filling them with all sorts of constraints and shackles behind the scenes, it will have no effect in the market." She pointed out, "Perfunctory easing will not improve the feasibility of redevelopment projects and will only end up missing the golden window for housing supply in urban centers."

The proposal represents the People Power Party's move to extend its discussions on responding to the Democratic Party's floor area ratio plan into the formation of a cross-party consultative body, with the process expected to depend on whether the Democratic Party accepts the offer.