Table of Contents
Announcement of the Yongho 12 District Redevelopment Project's Maintenance Plan Decision and Designation of the Maintenance District
News about the redevelopment in the Yongho-dong area of Nam-gu, specifically at 375-15 Yongho-dong, is attracting attention. Let's look at the changes in Yongho-dong through the district and number of units, current progress, and location analysis. Detailed information on the redevelopment project can be found here.
The 'Yongho 12 Redevelopment Project' being carried out in the Yongho-dong area of Nam-gu, Busan, completed the designation of the maintenance district and the decision on the maintenance plan after an 8-month process, following a residents' briefing and public display in December 2024.
The designated area is 26,970㎡, and with the zoning change from the Type 2 General Residential Zone to the Type 3 General Residential Zone, the groundwork for increasing development density has been laid. Consequently, it is expected to have a positive impact on regional development.
The project plan entails constructing a building with a total of 505 units, along with community facilities, spanning 3 underground and 26 above-ground floors. The floor area ratio is set to be within 240%, and the building coverage ratio is limited to below 20%. Inside the complex, a new 832㎡ neighborhood park and 5,798㎡ of roads are being established and expanded, which is anticipated to improve the residential environment and traffic flow.
Total revenue is estimated at approximately 270.2 billion won, with project costs estimated at around 215.2 billion won, and the final asset is expected to be around 52.3 billion won. In this case, the ratio is about 105.28%. While this figure may change depending on the management plan in the future, it is currently assessed that sufficient feasibility has been secured.
With the announcement phase completed, the next steps will include the establishment of a promotion committee, formulation of a cooperative, selection of a construction company, and approval of the project implementation plan within the maintenance district. Currently, a construction company has not yet been selected; however, with construction costs in Busan's redevelopment market exceeding 7 million won per 3.3㎡, it is expected that cost estimation and feasibility reevaluation will be important factors in the selection of the construction company.
The Yongho 12 District is located close to Juhyang High School and Yongho Middle School, providing an excellent educational environment. In particular, some high-rise units offer views of Igidae and Gwangandaegyo Bridge, allowing residents to enjoy the seaside scenery. Additionally, it has good vehicular access through Yongho-ro and Seokpo-ro, enhancing transportation convenience.
Looking at nearby prices, a 128㎡ unit at GS Heights Jais was traded between 840 million won and 875 million won as of June 2025. Based on units of 84㎡, LG Metro City Phase 1 has recently traded between 515 million won and 595 million won, forming a mid-range price around 20 million won per pyeong.
Considering these prices, if the Yongho 12 District is completed, it is expected that there will be greater potential for price increases due to brand value and new construction premiums, compared to surrounding market prices. This could present an attractive opportunity for investors.
From an urban planning perspective, this project will include not only a site for 20,340㎡ of multi-family housing but also the creation of a 832㎡ park and the construction of roads varying from 4m to 26m in width. This is expected to contribute to solving the narrow road and parking problems in the adjacent old downtown area.
In terms of housing supply, more than 40% will be set as units of 85㎡ or less, and more than 10% will be designated as rental housing, aiming to enhance the stability of various demand groups.
This project is planned to be completed within four years from the date of announcement, and if successfully implemented, it is expected that aging buildings will be renovated, parks and roads will be developed, thus improving the residential environment of the eastern area of Nam-gu and enhancing local value. Furthermore, several redevelopment projects in the vicinity, including Yongho 1 District, Yongho 4 District, Yongho 7 District, and Yongho Area A, are in progress, raising expectations for synergistic effects with these projects.
Status of Redevelopment in Yongho-dong, Nam-gu
Announcement No. 2025-302 of Busan Metropolitan City
Decision on the Yongho 12 Redevelopment Project's Maintenance Plan and Designation of the Maintenance District
1. Regarding the Yongho 12 Redevelopment Project Maintenance District at 375-15 Yongho-dong, Nam-gu, Busan, pursuant to Article 16 of the Urban and Residential Environment Maintenance Act, the following maintenance plan decision and maintenance district designation are announced and the terrain map is made public pursuant to Article 8 of the Land Use Regulation Act and its enforcement decree Article 7.
2. Related documents (land link "http://www.eum.go.kr" for viewing) are available at the Busan Metropolitan City Urban Maintenance Division (☏ 051-888-4231) and Nam-gu Architectural Division (☏ 051-607-4616) for public inspection.
July 30, 2025
Mayor of Busan Metropolitan City
I. Designation of the Maintenance District and Decision on the Maintenance Plan
1. Redevelopment Project Maintenance District Designation Document
| Designation Type | Project Type | Name of District | Location | Area (㎡) | Remarks |
| New | Redevelopment Project | Yongho 12 Redevelopment Project Maintenance District | 375-15 Yongho-dong, Nam-gu | 26,970.0 | - |
2. Redevelopment Project Maintenance Plan
○ Land Use Plan
| Classification | Name | Area (㎡) | Ratio (%) | Remarks | |
| Urban Management Planned Land Zone | Total | 26,970.0 | 100.0 | ||
| Type 3 General Residential Zone | 26,970.0 | 100.0 | ⦁Change from Type 2 to Type 3 | ||
| Urban Management Planned Land Zone | - | - | - | ||
| Land and Maintenance Infrastructure (Urban Planning Facilities) | Total | 26,970.0 | 100.0 | ||
| Land | 20,340.0 | 75.4 | |||
| Multi-family housing land | 20,340.0 | 75.4 | |||
| Maintenance Infrastructure (Urban Planning Facilities) | 6,630.0 | 24.6 | |||
| Park | 832.0 | 3.1 | |||
| Road | 5,798.0 | 21.5 | |||
○ Plan for Zoning Changes
| Classification | Area (㎡) | Ratio (%) | Remarks | ||
| Existing | Change | After Change | |||
| Total | 26,970.0 | - | 26,970.0 | 100.0 | - |
| Type 2 General Residential Zone | 26,970.0 | Remove 26,970.0 | - | - | - |
| Type 3 General Residential Zone | - | Add 26,970.0 | 26,970.0 | 100.0 | - |
■ Statement of Reasons for Zoning Change
| Map Display Number | Location | Zoning | Area (㎡) | Floor Area Ratio | Reason for Change | |
| Existing | Change | |||||
| - | 375-15 Yongho-dong, Nam-gu | Type 2 General Residential Zone | Type 3 General Residential Zone | 26,970.0 | Less than 300% | ⦁Zoning changes are considered due to the development density related to the promotion of the redevelopment project |
○ Estimated Costs and Basis per Land Ownership
| Estimated Share Cost | Estimated Total Revenue | Estimated Total Project Cost | Estimated Total Assets | Estimated Ratio |
| 270,299,424,000 | 215,170,456,000 | 52,362,477,073 | 105.28% | |
| Basis of Calculation | ⦁Estimated total assets = sum of estimated total assets per land owner ⦁Estimated ratio = (Estimated total revenue - Estimated total project cost) / Estimated total assets ⦁Per land owner share cost = Cooperative member sale price - Value of rights | |||
※ The estimated total assets and calculations for individual contributions may change based on future management plans, etc.
(Details of estimated costs per land ownership and basis are omitted)
○ Plan for the main usage, building coverage ratio, floor area ratio, height of structures, etc.
| Classification | District Classification | Land Classification | Location | Main Usage | Building Coverage Ratio | Floor Area Ratio | Height | Remarks | ||||||||||||||||||
| Name | Area (㎡) | Name | Area (㎡) | |||||||||||||||||||||||
| New | Yongho 12 Redevelopment Project Maintenance District | 26,970.0 | 1-1 | 20,340.0 | 375-15 Yongho-dong | Multi-family housing and community facilities | 20% or less | 240% or less | Below 83m | - | ||||||||||||||||
| Scale and Construction Ratio of the Housing | ∙More than 40% of the total number of units to be constructed under 85㎡ | |||||||||||||||||||||||||
| Rental Housing Construction Plan | ∙More than 10% of the total number of units to be constructed as rental housing ∙30% or more of rental housing units or more than 5% of the total number of constructed housing units to be constructed as rental housing under 40㎡ | |||||||||||||||||||||||||
| Application of Floor Area Ratio Relaxation Criteria | ∙Application of floor area ratio evaluation criteria and relaxation criteria according to the "2030 Basic Urban and Residential Environment Maintenance Plan" ∙Standard floor area ratio: 210.0% (for residential management area) | |||||||||||||||||||||||||
| Classification | Evaluation Standard Score | ⇨ | Evaluation Standard Points | Land Use | Standard Floor Area Ratio | |||||||||||||||||||||
| Yongho 12 | 46 points | 30 points~below 50 points | Residential Management | 210% | ||||||||||||||||||||||
| ∙Application of floor area ratio relaxation ▸Calculation of incentives when providing public facility land: 20%- 1.5 × (2,868.0 ÷ 20,340.0) × 200% = 42.2% (maximum 20%) ▸Sustainable multi-family housing: 5% ▸Incentives for revitalizing the local economy: 5% → 5% (Participation rate of local firms in design: 50% or more) ※ Relaxed floor area ratio: 20% + 10% = 30% ∙Allowed floor area ratio: 210% + 30% = 240% ∙Planned floor area ratio: below 240% | ||||||||||||||||||||||||||
Classification
Announcement
Agency Type
City
Busan Metropolitan City
Announcement No.
2025-302
Title
Announcement of the Yongho 12 Redevelopment Project Maintenance Plan Decision and Designation of the Maintenance District
Date
July 30, 2025
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Frequently Asked Questions (FAQ)
Q. When was the designation of the maintenance district and the decision on the maintenance plan for the Yongho 12 Redevelopment Project completed?
The decision on the maintenance plan for the Yongho 12 Redevelopment and the designation of the maintenance district were completed on July 30, 2025.
The Yongho 12 Redevelopment Project in the Yongho-dong area of Nam-gu, Busan, reached a decision on its maintenance plan approximately 8 months after a residents' briefing held in December 2024, and the official designation of the maintenance district was announced on July 30, 2025. This announcement is designated as Busan Metropolitan City Announcement No. 2025-302 and is a critical step that provides the legal basis for the project.
Q. What are the main development plans for the Yongho 12 Redevelopment Project?
The plan is to create a building with 505 units and community facilities across 3 underground and 26 above-ground floors.
The development plan for the Yongho 12 district indicates the construction of a total of 505 units of apartments, delineated from the 3 underground floors to the 26 above-ground floors. The floor area ratio will be limited to 240% and the building coverage ratio to below 20%, aimed at ensuring a safe residential environment. The construction will also include a new 832㎡ neighborhood park and a road expansion of 5,798㎡, which will significantly enhance both the living environment and the transportation infrastructure.
Q. How is the feasibility of the Yongho 12 Redevelopment Project assessed?
The feasibility is adequately secured with an estimated ratio of about 105.28%, and there may be adjustments according to the management plan.
With total revenue estimated at approximately 270.2 billion won and project expenses about 215.2 billion won, the estimated total asset value reaches about 52.3 billion won. Based on these figures, the calculated ratio stands at approximately 105.28%, reflecting a strong assessment of feasibility. However, the figures may vary in accordance with future management plans, necessitating continuous evaluations throughout the project execution period.
Q. What plans are in place for traffic and living environment improvements in the Yongho 12 District?
A new 832㎡ park and road expansions from 4 to 26 meters will enhance living conditions and traffic flow.
The redevelopment project includes a new 832㎡ neighborhood park and extension of roads. Road width adjustments ranging from 4m to a maximum of 26m are expected to alleviate the narrow road and parking issues in the vicinity of the existing downtown. The park's establishment is set to offer pleasant green spaces for residents, greatly enhancing the overall living environment.
Q. What are the advantages of the location of the Yongho 12 apartment complex?
It boasts a superb educational environment, potential ocean views, and excellent vehicular access.
Yongho 12 District is situated near Juhyang High School and Yongho Middle School, providing a high-quality educational environment. Some high-rise units even offer views of Igidae and Gwangandaegyo Bridge, ensuring a pleasant living experience. Additionally, with good vehicular access through Yongho-ro and Seokpo-ro, the area presents excellent transportation conveniences.
Q. What property price changes are expected following redevelopment in the Yongho 12 District?
Due to new construction premiums and brand value, an increase above surrounding prices is highly anticipated.
Compared against significant apartment complexes such as GS Heights Jais and LG Metro City, the Yongho 12 District is expected to appreciate above current prices once construction is completed, thanks to the value of brand identity and the premium for newly built facilities. This prospect is likely to be appealing for investors.
Q. What will be the subsequent steps after the redevelopment project is initiated?
Formation of a promotion committee, establishment of a cooperative, selection of a construction company, and approval of the project implementation plan will proceed sequentially.
After the announcement has been finalized, the promotion committee will be formed within the maintenance area, followed by the establishment of a cooperative. Steps for selecting a construction company will follow, and subsequently, an approval for the project execution plan will be obtained to commence construction work. Currently, a construction company has yet to be determined, and given that construction costs are rising, a careful pre-analysis is essential.
Q. What is the zoning change result for the Yongho 12 Redevelopment Project?
It has been elevated from Type 2 General Residential Zone to Type 3 General Residential Zone.
The zoning for the target site has transitioned from the prior Type 2 General Residential Zone to a Type 3 General Residential Zone, enabling a higher development density. This change enhances building coverage and floor area ratios, which allows for an increase in the number of apartment units and additional community facility development, expected to positively impact regional growth.