The housing improvement project in a city block, which is a part of the
small-scale maintenance project recently promoted as part of urban regeneration,
is a successful case compared to the existing maintenance projects despite legal
support, such as ...
The housing improvement project in a city block, which is a part of the
small-scale maintenance project recently promoted as part of urban regeneration,
is a successful case compared to the existing maintenance projects despite legal
support, such as the Act on Special Cases concerning the Maintenance of Vacant
Houses and Small Houses and various types of institutional support from the
government. However, there are still many cases that are being promoted. While
studies are being conducted on ways to revitalize such a street house
maintenance project, research on the members, the main body of the project, is
still insufficient.
This study conducted a survey and analysis to determine the housing
preference consciousness of union members and residents within the project area
of the housing improvement project in a city block. The results of this study are
summarized as follows:
First, finding ways to reduce the financial and risk burdens of members as
much as possible is necessary. In the general perception survey, union members
hoped that they would bear only minimal or no additional contribution.
Additionally, the majority of union members responded to the “fixed share
system” method in which the calculation of profit and loss is complicated in the
construction contract method, rather than the “contract system” method, in which
a set of additional contribution and area are provided. This shows that they are
risk-averse. Thus, there is a need for institutional support to reduce the cost
burden and ensure the stability of the project.
Second, managing and supporting the “developer/constructors” at the
government level to revitalize the street house maintenance project is necessary.
More than half of the union members participated in the street house
maintenance project through the project’s briefing session of the
developer/constructor. This shows that the role of the developer/constructor is
crucial. “Dissatisfaction with the developer/constructor proposal” was the biggest
reason for opposing the joint implementation, followed by “lack of information
about the developer/constructor,” etc. Thus, management and support are
essential. To revitalize the street house maintenance project, union members can
participate in the project with more trust if the local government makes
registration and management of the project by the relevant developer and
contractor mandatory, so that only companies that have been verified as safe by
the government can carry out the project.
Third, identifying the housing preferences of members in advance and
promoting the project to avoid trial and error are crucial. According to the
survey results, a housing preference factor is clear among union members. One
level larger than the current residential area was preferred as pre-sale area.
Additionally, the fitness center, sauna, and golf driving range were found to be
highly preferred in the present age, where auxiliary facilities for a healthy
lifestyle is a trend. In addition to the external factors, it can be seen that there is
a high interest in parking facilities and spaces instead of the current narrow and
insufficient parking space. As such, the housing preferences of members and
residents of the housing improvement project in a city block have certain
preferences. Thus, when designing and promoting the project accordingly, the
project can be successfully carried out without any disagreement.
Fourth, the will of the members who prefer the brand of a large construction
company should be reflected. It is not easy for large construction companies to
participate in projects unless the building scale exceeds a certain size. To increase
the participation of branded construction companies, the participation of local
construction companies should be increased. When the incentives for the existing
local businesses are raised along with providing practical support such as tax
reduction, it is expected that well-known businesses will be able to actively
participate.
While the participation of well-known local companies is required, a plan is
necessary to actively involve large construction companies that receive the highest
preference. For example, GS E&C established its subsidiary, Xi S&D, in 2019 to
create a small- and medium-sized complex brand, Xi rene. This can be seen as
an effort by large construction companies to target a niche market by reading
ongoing trends in line with the small-scale maintenance business which is
becoming increasingly active. Moreover, measures such as institutional support for
joint projects between large construction companies and small-and medium-sized
construction companies can be considered.