<Slum Upgrading Module 6>
 
So until the 1970’s the basic idea of slum upgrading was for the dwellers who provide housing and the government providing the public services. But because of the lack of financial resources it was not that successful.  So in the 1980’s there was a big change to a more private oriented development.  This is called a partnership redevelopment.
 
It is based on a voluntary contract between property owners’ association and a construction company. The property owner provides the land and the company providing the costs of redevelopment from clearance to construction. So in this case, private firms are introduced in place of the government and more over the private company will build the houses and handle all financial issues.
 
In return for the land provided, each property owner was given a new apartment unit and the construction secured its profit through the sale of the remaining extra units. As for the Seoul government, urban redevelopment became possible without additional government budget and new revenue from the selling of public land that had been occupied free of charge.
 
So the association would hire a construction firm and build new high rise apartments and necessary common facilities as required by the approval standard. An SHR district was cleared and new high rise apartments were built. The SHR was no longer a public redevelopment.
 
It became, by and large, a private enterprise. I will show you some example using the case of Wolgok 3. This is one of the SHR districts. This area is in the north eastern part of Seoul and it is a slum with illegal occupants. And as the owner is another private entity and some parts owned by the public so we tried to develop this area.

In that time, the number of residing households were 1,401 households with about 800 owners and the tenants at around 600 households. The total population of the area was 4,400 people, of which the owners were 2,600 and 1,800 tenants. But interestingly, the number ownership right holder was bigger than the owner residents.

The total number of ownership holders are around 1,900 because some people lived outside the slum area but still owned some right in the slum area. So the land owners are about 1,000 and the building owners are at 900, which is a little bigger than the current owner resident numbers.

The area is about 9.4ha and the ratio of substandard structures is 819 over 881. So about 93% of the housing in the area were substandard. The situation of land and industry. That time, as you can see, the number of government owned land is 8 lots at 14%. The other parts are privately owned but the private owner here does not mean that the land is owned by the slum dwellers.

A big piece of land is owned by other people and many are illegally occupying the area. In terms of the industry, despite being a slum area there are some active businesses such as small local shops and services. As these are the income generating resources for the slum dwellers

we need to think about preserving such economic activities for slum upgrading. These pictures show the situation of Wolgok 3 back then. You can see some steep stairs that have difficult access. And also, the housing units that are small and inadequate structure or sometimes you can see that the gas is exposed to the air which is quite dangerous.

So the area needed to be upgraded not only physically but also in terms of tenureship, ownership and socioeconomic situation. This is the outcome after the redevelopment. You can see better housing, better public facilities, footpaths, areas for sports, and there is also a common public area for children to play in,

All of which have been made possible with the partnership redevelopment scheme. As the outcome of the case of Wolgok 3 is increased number of housing units and size. As you can see there are now total of 1,660 housing units which is more than the preexisted number of housing units.

The association of owners received 1,049 housing units and there are 313 housing units for market sale. This revenue goes to the developer, or the company. There were 10 housing units that were retained, and you can see that there is about 300 housing units of rental housing

which are available especially for low income people. And also you can see the housing units by the net living area. Housing sizes have been varied to provide for residents of mixed social status. And in terms of buildings, the height is about 10-20 stories, which is quite high, in 27 buildings. Construction area totals at 11,233 m².
 
Building-to-land ratio is about 16.78%, which means that about more than 80% is open space. Open space for footpaths, playgrounds, sports centers have been successfully secured. And the floor area ratio is around 240%. Partnership redevelopment was very popular in the 1980’s until recently.
 
Out of the 458 districts, about 85%, around 400 districts, use partnership redevelopment. And in terms of the housing units, 94% of housing had been supplied through partnership redevelopment. In terms of supplying and upgrading housing units, it was a big success.