Plan to build apartments at defense institute raises concerns

Critics question whether the government and ruling party are fully committed to expanding housing supply in a meaningful way.

Chang Se-jeong The author is an editorial writer at the JoongAng Ilbo.

The Korea Institute for Defense Analyses (KIDA), a research body under the Ministry of National Defense located in Seoul’s Dongdaemun District, formed a task force on Friday to prepare emergency measures. The group was not assembled to address North Korea’s nuclear and missile threats. Instead, it was created after the government unexpectedly announced plans to build apartments on the institute’s site as part of its Jan. 29 housing supply measures.

The main building of the Korea Institute for Defense Analyses in Dongdaemun District, eastern Seoul. The government included the institute’s site as a potential housing development area in its Jan. 29 supply measures. [WOO SANG-JO]

The idea of constructing apartments within a defense-related facility has surprised employees and officials alike. A KIDA official said the workplace had been unsettled since news emerged that about 1,000 housing units could be built on the site. “There had been controversy over building apartments at Taereung Golf Course, but we never expected KIDA to be included,” the official said. The institute plans to visit both the Ministry of National Defense and the Ministry of Land, Infrastructure and Transport to understand how the decision was made.

Established in 1979, KIDA is a government-funded think tank that conducts research on military strategy, force development and weapons acquisition to support defense policy. Like the Korea National Diplomatic Academy under the Ministry of Foreign Affairs or the Institute for National Security Strategy affiliated with the National Intelligence Service, KIDA requires close communication with its supervising ministry. For that reason, its proximity to the defense establishment has long been considered essential.

When economic ministries relocated to Sejong, research institutes such as the Korea Development Institute and the Korea Institute for International Economic Policy moved with them. But if the Ministry of National Defense remains in Yongsan District while KIDA alone is relocated or repurposed outside the capital area, critics say the arrangement would be impractical.

Officials within the defense community have also expressed confusion. One official said the ministry learned that KIDA had been included only after the housing measures were publicly announced. The institute is located in Dongdaemun, the constituency of Defense Minister Ahn Gyu-back, who also serves as a lawmaker. Coincidentally, Ahn was on a two-day trip to Japan when the plan was announced, raising speculation that the ministry itself had little input.

Some observers say the proposal reflects insufficient consideration of national security concerns. They argue that any plan to build apartments on the KIDA site should be reviewed carefully, given the sensitive nature of defense-related facilities.

President Lee Jae Myung acknowledged the severity of the housing crisis on Friday, saying it was difficult to justify apartment prices of 300 million won ($205,000) per pyeong — a Korean unit equal to 3.3 square meters, or about $5,800 per square foot — and that soaring home prices in the Seoul metropolitan area were creating significant pressure.

Expanding supply is widely seen as essential to stabilizing the housing market. However, critics say the government should present large-scale measures capable of reshaping market expectations rather than relying on small parcels of land or recycled policies. The shortage of available sites in Seoul has made such efforts difficult, which may explain the search for unconventional locations.

An employee at a real estate brokerage office in Seocho District, southern Seoul, watches President Lee Jae Myung’s remarks on housing during his New Year press conference on Jan. 21. [YONHAP]

Analysts argue that a more effective approach would be to accelerate large-scale redevelopment and reconstruction projects. Many apartment complexes in southern Seoul are aging and require rebuilding, while northern districts contain extensive areas of deteriorated housing suitable for redevelopment.

Yet policy signals have been mixed. Financial tightening measures introduced under the Sept. 7 housing plan have made it harder for redevelopment and reconstruction projects to secure relocation funds. There are also concerns that proposed legal changes could allow the central government to cancel redevelopment zones designated by the Seoul Metropolitan Government.

Market participants worry that such moves could repeat past mistakes. During former Seoul Mayor Park Won-soon’s tenure, the cancellation of 389 redevelopment zones contributed to a severe housing shortage.

Given these contradictions, critics question whether the government and ruling party are fully committed to expanding housing supply in a meaningful way.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.