Table of Contents
Announcement of the 2035 Busan Metropolitan City Old Urban Area Maintenance Plan (Haeundae District)
The mid-rise redevelopment project in Busan's Green City, Jwadong, is gaining attention.
There is growing interest in the project's profitability and sales schedule.
Companies such as Hwangeok Town, Byuksan, Samsung, and LG are participating, heightening expectations.
It remains to be seen how the real estate market in this area will change in the future.
The blueprint for the redevelopment of Busan Haeundae Green City has been unveiled. On April 8, 2026, the Busan Metropolitan City announced the '2035 Busan Metropolitan City Old Urban Area Maintenance Plan (Haeundae District)', officially initiating the planning phase for the mid-rise apartment redevelopment in the Jwadong area.
The redevelopment area covers approximately 3.05 million square meters, with a target year set for 2035. This project is expected to contribute to improving the urban environment and increasing real estate value in the Haeundae area.
With an allowable floor area ratio set at 360%, there is potential for an increase from the current average ratio of about 250% by about 110%p. Consequently, public contributions are expected to rise to around 10% of the floor area ratio. In effect, an approximate average increase of about 90% in floor area ratio is anticipated. However, these changes will be confirmed through future special maintenance plans and deliberations, and there may be some differences across each area. Therefore, specific figures are likely to vary significantly by local circumstances.
This project consists of a total of 18 zones, of which 14 are housing complex maintenance types. Major complexes include Hwangeok Town, Byuksan, Samsung, LG, Doosan, Daelim, among others, focusing on mid-rise complexes in Jwadong. This will result in an overall increase in the maintenance target from approximately 29,652 existing households to 42,975 households.
The most crucial element is speed. According to the plan, approximately 3,200 households will be prioritized for development in the leading district, with relocation and construction expected to take place in 2028. However, this is only an administrative plan, and the actual process involves various variables, including resident consent, integration methods, re-evaluation of project feasibility, public contribution burdens, and permit procedures, making the mid-rise redevelopment business anything but simple.
Even if there is an increase in the floor area ratio close to 100%, the burden of contributions may still remain high. This is due to the combined effect of rising construction costs, financing costs, securing infrastructure, and public contributions. Therefore, this announcement is merely a first step in improving profitability, but it does not guarantee an immediate profit structure.
Care must be taken when selecting the sales timing. Contrary to expected timelines, it is highly likely that it may take more than 10 years from the initial start of the project to actual sales.
In the case of integrated redevelopment, coordination among stakeholders is complex, and administrative coordination for large-scale living zones takes time.
Therefore, it's important to approach this with a long-term perspective rather than hasty expectations, and decisions regarding investments should be made cautiously.
This announcement aims not simply at planning for redevelopment but also at reorganizing the overall urban structure of the Haeundae area. Efforts will be made to create a Busan-type 15-minute city, expand lifestyle SOC, develop a mixed-use area centered around Jangsang Station, and create pedestrian-centered green axes simultaneously, improving urban infrastructure.
Thus, in the future market, the speed of integrated maintenance and the conditions of the project are expected to act as significant variables, potentially providing a more convenient living environment for local residents.
Announcement No. 2026-125 of the Busan Metropolitan City
Announcement of the 2035 Busan Metropolitan City Old Urban Area Maintenance Plan
(Haeundae District)
To establish a maintenance foundation for enhancing the urban function and improving the residential environment in the old Haeundae District, we have established the 'Basic Plan for Maintenance and Support of Old Urban Areas' according to the "Special Act on Maintenance and Support of Old Urban Areas," and hereby announces it according to Article 6, Clause 6 of the same law as follows.
April 8, 2026
Mayor of Busan Metropolitan City
1. Title: "2035 Basic Plan for Maintenance of Old Urban Areas in Busan Metropolitan City (Haeundae District)"
2. Reference Year and Target Year
| Category | Reference Year | Target Year |
| Year | 2024 | 2035 |
3. Main Contents
A. Overview of the Plan
○ Background and Purpose of the Plan
○ Scope of the Plan
| Category | Content |
| Temporal Scope | • Reference Year: 2024 / Target Year: 2035 |
| Spatial Scope | • Old Urban Area: Haeundae District (A=3,057,303.4㎡) |
B. Basic Direction of Maintenance
○ Vision and Goals of the Plan
C. Plan for Improving Spatial Structure
The plan for the special maintenance designated area is as follows: There are 14 housing complex maintenance types, 3 facility maintenance types, and 1 relocation support type area. Through this, efficient maintenance and development of the region can be pursued.
| Area Name | Type | Area (㎡) | Number of Households | Number of Complexes | Remarks |
| Total | 1,535,065 | 29,652 | 39 | ||
D. Projected Population and Basic Floor Area Ratio
○ Population Setting
| • The allowable population increase considering the current capacity of infrastructure is about 28,000 people |
○ Planned Population Calculation
| • The planned population is estimated to increase from the current 83,743 to 111,743, an increase of 28,000 |
| Category | Current Status (2022) | Change | Planned (2035) | Remarks | |||
| Population (people) | Number of Households (units) | Population (people) | Number of Households (units) | Population (people) | Number of Households (units) | ||
| Total | 83,743 | 36,212 | 28,000 | 13,323 | 111,743 | 49,535 | |
| Special Maintenance Designated Area | 70,842 | 29,652 | 28,000 | 13,323 | 98,842 | 42,975 | |
| Outside Special Maintenance Designated Area | 12,901 | 6,560 | - | - | 12,901 | 6,560 | |
○ Basic Floor Area Ratio Calculation
| • Applying an average population of 2.3 persons per household as proposed in the 2040 Busan Urban Master Plan for the year 2035, and the average residential area per household is applied based on the average applied in the last 10 years for maintenance projects in Busan Metropolitan City - [Residential Area Scale] Exclusive area under 60㎡: 60~85㎡: Over 85㎡ = 73㎡: 107㎡: 142㎡ applied - [Supply Ratio] Exclusive area under 60㎡: 60~85㎡: Over 85㎡ = 29.4%: 61.1%: 9.5% applied |
| Category | Calculated Value | Remarks | |||
| Number of Households in the Special Maintenance Designated Area (units) | 42,975 | ||||
| Area of maintenance projects in the last 10 years | Exclusive Area | Under 60㎡ | 60~85㎡ | Over 85㎡ | |
| Average residential area (ratio) | 73㎡ (29.4%) | 107㎡ (61.1%) | 142㎡ (9.5%) | ||
| Total Floor Area (㎡) | 4,311,617 | ||||
| Site Area (㎡) | 1,185,388 | ||||
| Basic Floor Area Ratio | 360% | ||||
E. Infrastructure Planning
| • Life SOC facilities planning - Considering feedback from resident surveys, life SOC facilities will be planned in each neighborhood center area to realize the Busan-type 15-minute city and strengthen the functions of existing urban space. • Hub complex facility planning - The use of low-utilization undeveloped land along the central north-south axis of the Haeundae area will introduce hub complex facilities for leisure, cultural, and sports activities through public contributions within the special maintenance designated area. • Jangsang Station parking lot integrated development plan - The designated urban planning facility site (parking lot) in the Jangsang Station area is planned to be designated as a facility maintenance type special maintenance designated area to enhance self-sufficiency. • Park and green space plan - For smooth business implementation, repositioning of the circulation green space axis (original 8m → adjustment 10m) will be maintained as a public pedestrian pathway to ensure continuity and create a favorable walking environment. - Development of north-south linear parks extending from Jangsang Daecheon Park to Jangsang Station to Cheongsapo Entrance, and from Sin Haeundae Station to Jangsang Station (planned north-south direction walking-centered linear park of 20m) will be established to secure open space for parks through vertical facilities of the parking lot in the commercial area centered on Jangsang Station. |
F. Density Planning of Buildings
○ Basic Direction
| • The previous floor area ratio has been determined before the establishment of the special maintenance plan, so the larger value of the currently stipulated floor area ratio in the district unit plan and the ratio recorded in the building ledger is applied. • Considering the population increase due to the relaxation of the floor area ratio in the special maintenance designated area, a density plan is established that can accommodate an appropriate development density (basic floor area ratio 360%), allowing for an estimated increase of about 28,000 people: - Apartment: 360% - Multi-family housing: 210% • If additional infrastructure and self-sustaining facilities are secured after applying the basic floor area ratio through public contributions, it may be possible to apply floor area ratio relaxation. This will be determined through deliberation by the Maintenance Committee during the establishment of the special maintenance plan. | |||||||||
| Zone Number | Zone Area (㎡) | Site Area (㎡) | Current Floor Area Ratio (%) | District Unit Floor Area Ratio (%) | Previous Floor Area Ratio (%) | Basic Floor Area Ratio (%) | Increase in Floor Area Ratio (%) | Number of Complexes (units) | Remarks |
| Total | 1,522,488 | 1,185,388 | 249.52 | - | 250.22 | 360 | 109.78 | 39 | |
| 1 | 66,611 | 55,505 | 257.5 | 254 | 257.5 | 360 | 102.5 | 3 | |
| 2 | 234,358 | 194,200 | 258.9 | 254 | 258.9 | 360 | 101.1 | 3 | |
| 3 | 163,515 | 145,853 | 257.2 | 254 | 257.2 | 360 | 102.8 | 5 | |
| 4 | 66,072 | 53,871 | 234.5 | 227 | 234.5 | 360 | 125.5 | 2 | |
| 5 | 79,748 | 77,526 | 258.5 | 254 | 258.5 | 360 | 101.5 | 2 | |
| 6 | 90,667 | 63,786 | 235.9 | 242.4(227,254) | 242.4 | 360 | 117.6 | 2 | |
| 7 | 36,301 | 27,803 | 100.0 | 100 | 100.0 | 210 | 110.0 | 3 | |
| 8 | 151,545 | 92,650 | 254.9 | 254 | 254.9 | 360 | 105.1 | 4 | |
| 9 | 78,026 | 55,080 | 259.7 | 254 | 259.7 | 360 | 100.3 | 2 | |
| 10 | 127,969 | 84,468 | 256.3 | 254 | 256.3 | 360 | 103.7 | 3 | |
| 11 | 89,278 | 88,540 | 252.5 | 254 | 254 | 360 | 106.0 | 2 | |
| 12 | 105,351 | 74,017 | 254.3 | 254 | 254.3 | 360 | 105.7 | 2 | |
| 13 | 185,257 | 146,243 | 247.3 | 244.1(227,254) | 247.3 | 360 | 112.7 | 4 | |
| 14 | 35,552 | 13,608 | 252.8 | 254 | 254 | 360 | 106.0 | 1 | |
| 18 | 12,238 | 12,238 | 233.2 | 227 | 233.2 | 360 | 126.8 | 1 | Rental |
○ Relocation Measures
○ Estimation of Annual Relocation Demand
| • There are a total of 15 zones in the special maintenance designated area in Haeundae District where relocation demand will occur, with a total of 29,652 planned relocations. It is planned that this area will start projects sequentially over 10 years (2028-2037), with an initial relocation volume of 3,200 households including the leading district, and an average of 2,900 households per year thereafter. |
| Number of Special Maintenance Designated Areas | Planned Number of Households for Relocation | Demolition Period | Average Annual Implemented Households | Average Annual Maintenance Complexes |
| 15 | 29,652 (Sales 29,232 / Rental 420) | 10 years (2028~2037) | Approximately 2,900 households (excluding leading district) | 1~2 (excluding leading district) |
○ Estimation of Annual Relocation Demand and Supply Volume
| • Considering the permits and completions of maintenance projects and development projects within 10 km of the Haeundae District, it is reviewed that a total of 57,100 households will be supplied by 2040. - Nearby autonomous districts within 10 km: Geumjeong-gu, Gijang-gun, Nam-gu, Dongnae-gu, Busanjin-gu, Suyeong-gu, Yeonje-gu, Haeundae-gu. • To accommodate the expected relocation volumes arising from the basic plan for maintenance of old urban areas in Busan City, which will be established around a similar schedule, we will review by proportionally distributing the expected relocation volume by autonomous district to ensure there is no overlap in available volumes. • It is expected that the relocation volume resulting from special maintenance projects will amount to 29,600 households, and it is possible to utilize the available volumes arising from future maintenance projects and development projects in the nearby autonomous districts for relocation measures. |
By. Stepwise Implementation Plan
| • Based on the 29,652 households in the special maintenance designated area, 3,200 households in the leading district will be prioritized. • The remaining households will be appropriately allocated by 2035, allowing for prediction of the implemented volume, thereby promoting stabilization of the real estate market. - Any unutilized maintenance volume generated in the year will be reallocated in the following year or over several years within the allowable conversion volume limit (prior consultations with the Ministry of Land, Infrastructure and Transport when selecting maintenance area targets). |
Classification
Announcement
Institution Category
City
Organization
Busan Metropolitan City
Announcement Number
No. 2026-125
Title
Announcement of the 2035 Busan Metropolitan City Old Urban Area Maintenance Plan (Haeundae District)
Date
April 8, 2026
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Frequently Asked Questions (FAQ)
Q. What are the main contents of the 2035 Busan Haeundae District Old Urban Area Maintenance Basic Plan?
It is a plan to promote mid-rise redevelopment and urban environmental improvement targeting 3.05 million square meters in the Jwadong area by 2035.
On April 8, 2026, the Busan Metropolitan City announced the '2035 Busan Haeundae Old Urban Area Maintenance Basic Plan,' targeting approximately 3.05 million square meters in the Jwadong area for mid-rise apartment redevelopment and urban function enhancement, expected to contribute to residential environment improvement and real estate value increase by 2035. The plan also aims to reorganize the urban structure and expand lifestyle SOC, including pedestrian-centered green axes to promote integrated urban development.
Q. How will the floor area ratio change for the Haeundae Green City redevelopment project?
The basic floor area ratio is set to rise to 360%, increasing by approximately 110%p from the existing ratio of around 250%, and an average effective increase of around 90% is expected.
Under this plan, the basic floor area ratio is set at 360%, which allows for a potential increase of about 110 percentage points from the existing approximately 250%. However, due to public contributions rising to about 10% of the floor area ratio, the actual effective increase in floor area ratio is expected to be around 90%. This figure may vary by area subject to the special maintenance plan and review, and may change until confirmed.
Q. What are the major complexes and firms participating in the redevelopment project?
Major complexes include Hwangeok Town, Byuksan, Samsung, LG, Doosan, Daelim, and several large construction firms are participating.
This redevelopment project consists of a total of 18 zones, 14 of which are housing complex maintenance types. Notable complexes include Hwangeok Town, Byuksan, Samsung, LG, Doosan, and Daelim, focusing on mid-rise apartment redevelopment in the Jwadong area. Major construction companies such as Hwangeok Town, Byuksan, Samsung, and LG are also involved, raising expectations for the project.
Q. What is the schedule for sales and the speed of project implementation?
3,200 households in the leading district are scheduled to be relocated and start construction in 2028, but it is highly likely to take over 10 years for actual sales.
According to the plan, approximately 3,200 households in the leading district are expected to be developed first, with relocation and construction planned for 2028. However, this is only an administrative plan, and due to various variables such as resident consent, project feasibility re-evaluation, public contribution burdens, and permit procedures, it is highly likely that it will take more than 10 years from construction to actual sales. Therefore, a long-term perspective and careful investment decisions are essential.
Q. How is the profitability and feasibility of the redevelopment project assessed?
While the increase in floor area ratio improves project feasibility, the burden of contributions and rising construction and financing costs still pose challenges.
While the rise in the basic floor area ratio contributes positively to the feasibility of the redevelopment project, the burden of contributions, along with rising construction costs, financing costs, and public contributions, implies that the contribution burden remains significant. This announcement may represent the first step in improving the profit structure, but it doesn't guarantee immediate profits, requiring investors to consider this point carefully.
Q. What plans are included in the urban restructuring of Haeundae District?
Plans will promote the development of a Busan-type 15-minute city, expansion of lifestyle SOC, mixed-use development centered around Jangsang Station, and creation of pedestrian-centered green axes.
The Haeundae District redevelopment plan aims beyond simple complex redevelopment, aiming for comprehensive restructuring of the urban framework. It seeks to create a Busan-type 15-minute city where residents can access necessary facilities within 15 minutes, expand lifestyle SOC, and develop mixed-use spaces centered around Jangsang Station, while creating pedestrian-friendly green axes, significantly improving the quality of urban infrastructure and environment to enhance the quality of life for local residents and the competitiveness of the city.