[Edaily Reporter KIM EUN KYOUNG ] Hong Ji-seon, nominee for Minister of Land, Infrastructure, and Transport, stated that she will decide whether to extend the land transaction permit zones in Seoul and Gyeonggi Province—which are set to expire at the end of this year—after reviewing market conditions. Regarding the “Basic Housing” initiative promoted by President Lee Jae-myung during his tenure as Governor of Gyeonggi Province, she refuted claims that it was a failed policy, noting that while the legislation failed to pass, the initiative itself was not a failure.

During the confirmation hearing held by the Land, Infrastructure, and Transport Committee at the National Assembly in Yeouido, Seoul, on the 16th, when Rep. Kim Jeong-jae of the People Power Party asked whether the designation of Land Transaction Permit Zones would be extended beyond the end of the year, Nominee Hong replied, “They do play a relatively positive role,” adding, “However, there are also side effects, such as rising housing prices, when regulations are imposed and then lifted, or when land transaction permits are restricted and then relaxed, even in Seoul.”

He continued, “Every policy has both advantages and disadvantages,” and replied, “I will examine this matter closely.” Nominee Hong has stated that he will assess market conditions and consult with relevant ministries before deciding whether to extend the designation. The designation period for the land transaction permit zones—currently in effect across all of Seoul and 12 areas in Gyeonggi Province—expires at the end of this year.

“Failure to Implement Basic Housing Doesn’t Mean It’s a Failure… GTX Was Opposed at First, Too”

A debate also erupted over the

“Basic Housing

” initiative promoted by President Lee during his tenure as Governor of Gyeonggi Province. Kim Jong-yang, a lawmaker from the People Power Party, asked Nominee Hong—who, as Director of the Urban Housing Bureau of Gyeonggi Province at the time, was in charge of the Basic Housing policy—“Did the Basic Housing initiative proceed smoothly and succeed?” He questioned whether Hong was merely attempting to reimplement the failed Basic Housing program under a new name.

Regarding the “Basic Housing” initiative, nominee Hong stated, “There are many hurdles to entering public rental housing, such as income, assets, and age requirements,” adding, “There are many young households where both spouses work and earn a decent income, but because they lack assets, they cannot move into rental apartments even if they want to.” He went on to explain, “The purpose was to provide rental housing where young people and the middle class could live stably.”

He directly refuted claims that the Basic Housing policy was a failure. Candidate Hong said, “The Basic Housing policy was not ultimately enacted into law and therefore could not be implemented,” citing the Greater Seoul Area Express Railway (GTX)—which was first proposed by Gyeonggi Province—as an example.

He pointed out, “When Gyeonggi Province first proposed the GTX around 2009–2010 during Governor Kim Moon-soo’s administration, the Ministry of Land, Infrastructure and Transport opposed it, and there was little support from political circles or the local community.” He added, “Although it was incorporated into the rail network two or three years later, at the time it did not even pass the preliminary feasibility study, and construction could not begin.”

He continued, “Does that mean the GTX was a failure during Governor Kim Moon-soo’s tenure? I don’t see it that way,” explaining, “After it was proposed during Governor Kim Moon-soo’s tenure, construction began under Governor Lee Jae-myung following Governor Nam Kyung-pil’s administration, and Lines B and C also passed their preliminary feasibility studies.” He emphasized, “Now, not only the Seoul metropolitan area but also regional areas are demanding the GTX and other regional express rail lines,” adding, “If you look only at the short term, you might say it was a failure or not, but from a long-term perspective, it was the right policy. The same applies to the ‘Basic Housing’ initiative.”

Referring to the current administration’s introduction of “Basic Housing” and the expansion of housing purchases and holdings by public institutions, Rep. Kim criticized, “It seems they are too fixated on implementing failed policies from socialist countries or realizing socialist philosophy.” He also raised concerns that individuals who had worked on real estate policies with President Lee during his tenure as Gyeonggi Province governor now hold key positions in the current administration’s land and housing sectors.

Regarding the proposal to visit the returned Yongsan site: “Under review”… “Consultation with Seoul Metropolitan Government is a priority”

He left the door open to the possibility of utilizing the returned U.S. military base in Yongsan, Seoul, for housing supply. Rep. Yoon Jong-gun of the Democratic Party of Korea argued that approximately 20,000 households (based on a floor area of 84 square meters) could be supplied on the returned Yongsan site and proposed that lawmakers from both ruling and opposition parties, along with housing experts, visit the currently closed-off returned site together.

Nominee Hong stated, “No specific development plan has yet been established for the returned U.S. military base in Yongsan,” adding, “Even if we were to proceed with implementation after going through a public discussion or public opinion-gathering process, the legislative process would still be necessary.” Regarding the proposal for a site visit, he replied, “I will look into it.”

Regarding the differing positions between the Seoul Metropolitan Government and his administration on the use of the returned Yongsan site, he stated, “I believe that consultation with the Seoul Metropolitan Government and building a national consensus are the top priorities.”

In response to questions from the opposition party asking for an assessment of the Lee Jae-myung administration’s real estate policies, he expressed the view that it is difficult to judge their success or failure in the short term. When Kim Eun-hye, a lawmaker from the People Power Party, asked whether he believed the current administration was handling housing policy well, Nominee Hong replied, “It has been less than a year and a half since the government took office,” adding, “I believe housing policies do not yield results immediately upon implementation; they must be pursued consistently over the medium to long term.”

He elaborated, “For any policy to have lasting effects, it must be predictable and consistent,” noting, “There is a certain time lag between the implementation of supply measures and the realization of their effects.” He diagnosed the recent instability in the housing market as stemming from “a shortage of new housing units available for occupancy, resulting from sluggish construction starts over the past three to four years.”

During the confirmation hearing that morning, a tense standoff continued between the ruling and opposition parties over the submission of documents by Nominee Hong. Representative Jeong Hee-yong of the People Power Party pointed out that sufficient documentation had not been submitted regarding his children’s educational backgrounds, Nominee Hong’s military service, and financial transactions between his spouse and mother-in-law. When the opposition demanded the submission of documents regarding Nominee Hong’s classification as a supplementary service member, the Democratic Party countered that, since military service standards in 1990 differed from those of today, the Military Service Act in effect at that time and the classification criteria for supplementary service members should be examined together.

Regarding the military service records, Nominee Hong explained that he had been informed by the Military Manpower Administration that the original records had been lost, adding, “This was something I learned for the first time while preparing for this confirmation hearing.” He also remarked regarding his alternative service, “I believe I performed my duties faithfully for 18 months.”