Busan is good

Busan Metropolitan City to Launch an Advanced Vacant Home Revitalization Policy Starting Next Year

내용

Busan Metropolitan City (Mayor Park Heong-joon) announced that it has established an advanced vacant home management plan to address urban safety risks, deteriorating aesthetics, local decline, and loss of property value stemming from the rapid increase in vacant homes, and that it will fully implement intensive policy measures starting next year (2026).

Under the vision of “establishing a sustainable maintenance system and advancing vacant home management through the use of local communities,” the City has outlined specific strategies, including:
▲ utilizing vacant homes to create community-tailored facilities and shared lodging;
▲ expanding demolition subsidies and simplifying demolition procedures for unauthorized vacant homes;
▲ introducing an AI-based predictive model; and
▲ implementing a vacant home reserve program—presenting diversified solutions across management, maintenance, and utilization.

First, beginning next year (2026), the City will invest KRW 2 billion to shift away from a “demolition-only” approach and significantly expand revitalization projects that boost the local economy.

[Community-Tailored Space Creation Project]
This project, newly launched this year, involves the City purchasing vacant homes and converting them into facilities needed by local residents. In 2026, the initiative will be substantially expanded as a local revitalization project—developing vacation-workation facilities, cultural theme spaces, and other resident-oriented amenities.
This year, five project sites were selected and are currently underway, receiving positive evaluations as successful models for vacant home utilization.

[Shared Lodging for Domestic and International Visitors]
Vacant homes near beaches and other tourist attractions will be remodeled into shared lodging facilities for domestic and international visitors. By connecting these facilities to local cultural and tourism infrastructure, the City aims to attract tourists and young people into the local economy, thereby energizing the city.

[Provisional Name: “Vacant Home Plus Dream (+Dream) Project”]
Using the Local Extinction Response Fund, the City will promote the “Vacant Home Plus Dream (+Dream) Project,” transforming vacant homes into multi-purpose cultural complexes that serve as artist studios, exhibition venues, and community cultural program spaces—boosting cultural vibrancy together with local communities.

Second, the City will strengthen its principle of promptly demolishing hazardous vacant homes and accelerate maintenance efforts through expanded budgets.

[Expansion of Demolition Subsidies]
To promote the removal of dangerous vacant homes, the demolition subsidy budget will be dramatically increased—from KRW 1.2 billion in 2024 and KRW 3.8 billion in 2025 to KRW 7.2 billion in 2026—allowing for faster progress.
[Streamlined Demolition of Unauthorized Vacant Homes]
Administrative procedures will be improved to enable rapid demolition of unauthorized vacant structures located on national or public land.

[Encouraging Voluntary Demolition]
To prevent accidents caused by abandoned vacant homes, the City will clearly apply the principle of prioritizing demolition for high-risk properties. Additionally, following the enactment of the Special Act on the Maintenance of Vacant Buildings (scheduled for 2026), property owners will be legally required to carry out management, safety measures, and demolition, thereby enabling more systematic maintenance.

Third, the City will enhance the vacant home information system, promote transactions, and strengthen citizen participation through public-private cooperation.

[AI-Based Predictive Model]
By advancing the vacant home information system using an AI-based risk prediction model—which combines external data such as population movement, in-migration, and mortality—the City will establish a preventive system that manages the occurrence and spread of vacant homes.
A transaction-support platform will also be created to publicize vacant home listings and facilitate transactions in collaboration with local real estate agents.

[Public-Private Cooperation System]
A “One-Stop Consultation Center for Vacant Homes,” staffed by private experts such as tax accountants and architects, will be operated to provide integrated counseling for vacant home owners.
In addition, a public-private consultative body composed of experts in architecture and urban planning will operate to support swift policy development and maintenance efforts related to vacant homes.

The City will also expand public awareness efforts by producing promotional videos and distributing information through social media and other media channels to encourage voluntary participation from citizens and property owners.

Fourth, ahead of the enactment of the Special Act on the Maintenance of Vacant Buildings (scheduled for 2026), the City will secure a foundation for vacant home surveys, management, and reserve projects to respond proactively.

[Enhanced Vacant Home Survey and Expanded Survey Institutions]
The current five-year survey cycle will be changed to an annual cycle, and survey institutions will be expanded to include regional expert organizations such as Busan Metropolitan Corporation and the Busan Institute.

[Vacant Home Reserve Project]
In accordance with the “Vacant Building Hub System” announced by the Ministry of Land, Infrastructure and Transport on October 2, 2025, the City will complete preparatory work so that, upon the Special Act’s enforcement, publicly funded SPCs (special-purpose corporations) can purchase vacant homes or suspended construction sites in urban regeneration areas and link them to private sales or public development.

Finally, to ensure effective vacant home maintenance prior to the Special Act’s enactment, the City will formally request the central government to improve tax benefits and institutional arrangements for vacant home surveys and management.

The requests include:
▲ expanding capital gains tax and comprehensive real estate tax reductions for vacant home transactions in depopulated areas;
▲ establishing a legal basis for involving relevant local organizations in architecture and urban planning as designated survey agencies;
▲ establishing legal procedures to allow access to information on vacant home ownership; and
▲ expanding the role of SPCs so they may handle not only acquisition and sale but also platform operation and other aspects of vacant home maintenance.

Mayor Park Heong-joon stated, “Addressing the vacant home issue is essential for urban safety and restoring local vitality. We will reduce neglected properties through systematic management and maintenance, and transform viable spaces into vibrant community assets that create changes citizens can truly feel.”