ACT ON DEVELOPING AND USING STATION'S SPHERE OF INFLUENCE

Article 1(Purpose) #

The purpose of this Act is to promote the development of each station's sphere of influence and thereby contributing to improving each station's sphere of influence and its adjoining urban environment by prescribing matters necessary for systematic and efficient development of the station's sphere of influence.

Article 2(Definitions) #

The definitions of the terms used in the Act are as follows: <Amended on Mar. 13, 2018; Dec. 18, 2018>

1. The term "station's sphere of influence" means a railroad station and the following adjacent railroad facilities built and operated under the Act on Railroad Construction and Railroad Facilities Management, the Framework Act on Railroad Industry Development, and the Urban Railroad Act (hereinafter referred to as "railroad station and adjacent railroad facilities") and its environs, as designated by the Minister of Land, Infrastructure and Transport as deemed necessary:

(a) Buildings and structures for the operation of railroads;

(b) A railroad maintenance base, a vehicle maintenance base, and a vehicle depot for repairing and maintaining railroad vehicles and rails;

(c) Rails of a railroad that must be installed, relocated, or removed in keeping with the development of a railroad station and adjacent railroad facilities and facilities appurtenant to such rails;

2. The term "project for developing a station's sphere of influence" means a project implemented to develop a railroad station and adjacent railroad facilities and a complex for housing, education, health care, welfare, tourism, cultural activities, commerce, sports, etc.; and to install facilities for such functions and activities in the development zone of a station's sphere of influence;

3. The term "development zone for a station's sphere of influence" means an area designated and publicly notified under Articles 4 and 9 in order to implement a project for developing a station's sphere of influence.

Article 3(Relationship to other statutes) #

Special cases concerning the regulation applicable to projects for developing a station's sphere of influence under this Act shall take precedence over provisions of other statutes; provided, if any other statute has provisions more relaxed than the special cases concerning the regulation under this Act, those provisions shall apply.

Article 4(Designation of development zones) #

(1) The Special Metropolitan City Mayor, a Metropolitan City Mayor, or a Do Governor (hereinafter referred to as "Mayor/Do Governor") may designate a development zone for a station's sphere of influence (hereinafter referred to as "development zone") if deemed necessary for a project for developing a station's sphere of influence. If an area in which a project for developing a station's sphere of influence is deemed necessary extends over two or more Special Metropolitan Cities, Metropolitan Cities, or Dos, the relevant Mayors/Do Governors shall consult with the relevant Mayors/Do Governors to determine a person who will designate a development zone. <Amended on Mar. 23, 2013; Dec. 18, 2018; Jan. 9, 2024>

1. Deleted; <Jan. 9, 2024>

2. Deleted; <Jan. 9, 2024>

3. Deleted. <Jan. 9, 2024>

(2) Notwithstanding paragraph (1), the Minister of Land, Infrastructure and Transport may designate a development zone in any of the following cases: <Added on Jan. 9, 2024>

1. Where a railroad station and adjacent railroad facilities (excluding stations built and operated by local governments under the Urban Railroad Act) are newly built, extended, or ameliorated by a scale equal to or greater than the scale prescribed by Presidential Decree;

2. Where a development zone to be designated is equal to or greater than the scale prescribed by Presidential Decree;

3. Where the Minister of Land, Infrastructure and Transport determines necessary for systematic development of a railroad station and adjacent railroad facilities.

4. Where it is necessary to implement a project for developing a station's sphere of influence in connection with the Master Plan for Railroad Industry Development under the Framework Act on Railroad Industry Development;

5. Where the head of the relevant central administrative agency makes a request;

6. Where the relevant Mayors/Do Governors fail to reach an agreement under the latter part of paragraph (1).

(3) The development zone may be designated in any of the following cases. <Amended on Jan. 9, 2024>

1. Where it is necessary to facilitate systematic and planned development for a newly built railroad station;

2. Where it is necessary to extend and ameliorate a railroad station due to the aging, etc. of facilities of the railroad station;

Article 4-2(Division and combination of development zones) #

(1) If a designating authority determines necessary for efficiently implementing a development project, they may divide a development zone into two or more project districts or may combine two or more separate areas to designate such areas as a single development zone. In such cases, a separate development zone may include an area outside a station's sphere of influence.

(2) Any area outside a station's sphere of influence, referred to in the latter part of paragraph (1), shall not exceed 1/3 of the whole area of a development zone.

(3) Matters necessary for the requirements, procedures, etc. for designating a development zone by dividing or combining areas under paragraph (1) shall be prescribed by Presidential Decree.

[This Article Added on Dec. 18, 2018]

Article 5(Proposal for designation of development zones) #

(1) A person referred to in any subparagraph of Article 12 (1) may propose that a designating authority designate a development zone.

(2) The procedures for processing proposals for designating a development zone, required documents, and other necessary matters shall be prescribed by Presidential Decree.

Article 5-2(Basic surveys) #

(1) Where a person who is designated, or intends to be designated, as a project implementer under Article 12 intends to make a request or proposal for designating a development zone pursuant to Article 4 or 5, such person may conduct an inspection or a land survey with regard to the land, buildings, structures, and other necessary matters in the area to be designated as a development zone, as prescribed by Presidential Decree.

(2) A person who intends to conduct an inspection or a land survey pursuant to paragraph (1) may request the head of a relevant administrative agency, a local government, a public institution under the Act on the Management of Public Institutions, a government-funded institution, or any other related institution to provide necessary data. Upon receipt of a request to provide such data, the head of an institution shall comply with such request, in the absence of good reason to the contrary.

[This Article Added on Jun. 1, 2012]

Article 6(Hearing of opinions from residents) #

(1) If a designating authority intends to designate a development zone or the head of a Si/Gun/Gu intends to make a request to designate a development zone under Article 4, they shall hear opinions from residents or relevant experts, etc. through public inspection or public hearings. The same shall also apply where it is intended to modify a development zone (excluding any modification of minor matters prescribed by Presidential Decree). <Amended on Aug. 16, 2023>

(2) Matters subject to public inspection or public hearings under paragraph (1) and necessary matters with regard to methods for hearing opinions from residents or relevant experts, etc. shall be prescribed by Presidential Decree.

Article 7(Formulation of project plans) #

(1) When a designating authority intends to designate a development zone, they shall formulate a plan for the project for developing a station's sphere of influence (hereinafter referred to as "project plan"), containing the following matters; provided, the matters referred to in subparagraphs 11, 11-2, 12, and 15 may be included in the project plan after the development zone is designated: <Amended on Apr. 14, 2011; Aug. 16, 2023; Jan. 31, 2025>

1. The title of the project for developing a station's sphere of influence;

2. The name, location, and area of the development zone and the purpose of designation;

3. A plan to rearrange or improve functions of the station's sphere of influence;

4. Matters concerning the method of implementing the project for developing the station's sphere of influence and the implementer of the project;

5. A plan to install urban or Gun planning facilities defined in subparagraph 7 of Article 2 of the National Land Planning and Utilization Act (hereinafter referred to as "urban or Gun planning facilities");

6. A plan to install public facilities defined in subparagraph 13 of Article 2 of the National Land Planning and Utilization Act (hereinafter referred to as "public facilities");

7. A plan for urban landscaping, environmental conservation, and disaster prevention;

8. A land use plan, a traffic management plan, and a park and green area plan;

9. The period of implementation of the project for developing the station's sphere of influence;

10. A financing plan;

11. A detailed list of the land, goods, or rights to be expropriated or used (hereinafter referred to as "land or other property") and the names and addresses of the owners and right holders of such land or other property;

11-2. Replotting plan for landowners;

12. A plan for housing tenants, etc., including construction of rental housing;

13. A plan to alter special-purpose areas in the project for developing the station's sphere of influence and matters regarding the floor area ratio and the building-to-land ratio;

14. Matters concerning the establishment of a transportation system linking railroads to other modes of transport;

Article 7-2(Organization of project council) #

(1) A designating authority may organize and operate a project council for consultation or advisory service on the following matters:

1. Matters necessary for formulating and implementing a project plan;

2. Matters necessary for coordinating local residents' opinions;

3. Other matters prescribed by Presidential Decree.

(2) A project council shall be comprised of not more than 15 members, including the designating authority, and the members shall be appointed or commissioned from among persons qualified under any of the following subparagraphs:

1. Competent public officials of the relevant local government;

2. The project implementer (including the person who proposed the designation of the development zone pursuant to Article 5);

3. Relevant experts;

4. Representatives of residents.

(3) In either of the following cases, a designating authority shall hold a meeting of a project council:

1. When a majority of members of the project council request to convene a meeting;

2. Where the designating authority determines it necessary to convene a meeting.

(4) Except as provided in this Act, matters necessary for the organization, operation, etc. of a project council shall be prescribed by public notification or by ordinance of the relevant local government.

[This Article Added on Jun. 1, 2012]

Article 8(Special cases concerning the National Land Planning and Utilization Act) #

(1) Where a designating authority determines necessary to promote the multi-purpose and intensive development of a development zone, they may modify the development zone to a special-purpose area in which highly dense development is permitted or may establish a project plan under which restrictions on the floor area ratio and the building-to-land ratio are relaxed, notwithstanding Articles 36, 77, and 78 of the National Land Planning and Utilization Act.

(2) The building-to-land ratio and the floor area ratio under paragraph (1) shall not exceed the maximum limits on the building-to-land ratio and the floor area ratio provided in Article 77 and 78 of the National Land Planning and Utilization Act for each category of special-purpose areas.

(3) Matters necessary for the alteration of special-purpose areas, the relaxation of building-to-land ratios and floor area ratios, etc. under paragraph (1) shall be prescribed by Presidential Decree.

Article 9(Public notification of designation of development zones) #

(1) In order to designate or alter a development zone, a designating authority shall publicly notify the project plan in the Official Gazette or Public Gazette, and shall send copies of relevant documents to the competent Mayor/Do Governor (limited to where the designating authority is the Minister of Land, Infrastructure and Transport) or to the head of the relevant Si/Gun/Gu. Upon receipt of such copies of relevant documents, the Mayor/Do Governor or the head of the Si/Gun/Gu shall make such copies available to residents within their jurisdiction for perusal for at least 14 days. <Amended on Mar. 23, 2013; Jun. 9, 2020>

(2) A development zone publicly notified pursuant to paragraph (1) shall be deemed determined and publicly notified as urban areas and district-unit planning zones under the National Land Planning and Utilization Act. <Amended on Aug. 16, 2023>

(3) Upon designating and publicly notifying a development zone, the Mayor/Do Governor shall notify the Minister of Land, Infrastructure and Transport of the details thereof. <Added on Aug. 16, 2023>

(4) Article 8 (2) and (6) through (9) of the Framework Act on the Regulation of Land Use shall apply to the standards and methods for preparing topographical maps for urban areas and district-unit planning zones which are deemed determined and publicly notified under paragraph (2), and the methods, procedures, etc. for public notice. <Added on Aug. 16, 2023>

Article 10(Cancellation of designation of development zones) #

(1) In any of the following cases, the designation of a development zone designated pursuant to Article 4 may be canceled after deliberation by the Urban Planning Committee:

1. Where no project implementer has been designated pursuant to Article 12 within two years from the date on which a development zone was designated under Article 4;

2. Where no application has been filed pursuant to Article 13 for approval of an implementation plan within two years from the date the project implementer under Article 12 (1) was designated as the project implementer;

3. Where a project implementer under Article 12 (1) fails to commence a project for developing a station's sphere of influence within one year from the date an implementation plan under Article 13 was approved.

(2) Where a public announcement of the completion of construction (or the disposition of replotting in the case of a project implemented by means of replotting) has been made under Article 22, the designation of the development zone shall be deemed to have been canceled on the day following the date of such public announcement. <Added on Dec. 2, 2025>

(3) In cases where the designation of a development zone is canceled under paragraph (1), the special-purpose areas and district-unit planning zones under the National Land Planning and Utilization Act shall be deemed to have been reverted to the special-purpose areas and district-unit planning zones prior to the designation of the relevant development zone or to have been abolished, respectively. <Added on Dec. 2, 2025>

(4) When a designating authority cancels the designation of a development zone under paragraph (1), they shall publicly notify the details thereof in the Official Gazette or Public Gazette, as prescribed by Presidential Decree. <Amended on Dec. 2, 2025>

Article 11(Restriction on activities) #

(1) A person who intends to construct a building, install a structure, alter the form and quality of land; collect soil and stone; partition a piece of land, store goods, lumber or plant bamboo or trees; or engage in any other activity prescribed by Presidential Decree, in a development zone designated and publicly notified under Articles 4 and 9, shall obtain permission for such activity from the competent Mayor/Do Governor or the head of the relevant Si/Gun/Gu. The same shall also apply where they intend to change permitted matters. <Amended on Jun. 1, 2012>

(2) If an activity for which permission or permission for modification is sought is likely to seriously disrupt a project for developing a station's sphere of influence, the competent Mayor/Do Governor or the head of the relevant Si/Gun/Gu shall hear the opinion of the competent designating authority before granting permission or permission for modification pursuant to paragraph (1).

(3) Notwithstanding paragraph (1), activities for emergency measures necessary for restoration or relief from a disaster may be engaged in without permission.

(4) A person who commenced construction works or a project for an activity for which permission is required under paragraph (1) but permission was already issued or not required, under relevant statutes and regulations in force as at the time the relevant development zone was designated and publicly notified under Article 4 and 9, may continue such construction works or project after submitting a report thereon to the competent Mayor/Do Governor or the head of the relevant Si/Gun/Gu, as prescribed by Presidential Decree.

(5) The competent Mayor/Do Governor or the head of the relevant Si/Gun/Gu may order a person who violates paragraph (1) to restore the area to the original state. If a person to whom such order was issued fails to fulfill their obligations, the competent Mayor/Do Governor or the head of the relevant Si/Gun/Gu may vicariously execute necessary work pursuant to the Administrative Vicarious Execution Act.

(6) Except as provided in this Act, Articles 57 through 60 and 62 of the National Land Planning and Utilization Act shall apply mutatis mutandis to the permission under paragraph (1).

(7) Permission issued under paragraph (1) shall be deemed permission issued under Article 56 of the National Land Planning and Utilization Act.

Article 12(Designation of project implementers) #

(1) A designating authority shall designate the project implementer for a project for developing a station's sphere of influence (hereinafter referred to as "project implementer") from among the following persons: <Amended on Jun. 1, 2012; Mar. 13, 2018; Jun. 9, 2020>

1. The State or a local government;

2. The Korea National Railway established pursuant to the Korea National Railway Act (hereinafter referred to as the "Korea National Railway") or a corporation established with funds invested by the Korea National Railway for the purpose of implementing projects for developing a station's sphere of influence;

3. The Korea Railroad Corporation established pursuant to the Korea Railroad Corporation Act (hereinafter referred to as the "Korea Railroad Corporation") or a corporation established with funds invested by the Korea Railroad Corporation for the purpose of implementing projects for developing a station's sphere of influence;

4. A public institution prescribed by Presidential Decree, from among public institutions under the Act on the Management of Public Institutions (hereinafter referred to as "public institutions");

5. A local public enterprise under the Local Public Enterprises Act;

6. A person who meets the requirements prescribed by Presidential Decree, from among persons who hold a license for railroad service under Article 5 of the Railroad Service Act;

7. A person who meets the requirements prescribed by Presidential Decree, among railroad construction project implementers under Article 8 of the Act on Railroad Construction and Railroad Facilities Management;

8. A person who meets the requirements prescribed by Presidential Decree, among persons issued a license for urban railroad service under the Urban Railroad Act or urban railroad constructors;

9. Any of the following persons among corporations:

(a) A person who meets the requirements prescribed by Presidential Decree, from among persons whose capability of implementing projects for developing a station's sphere of influence according to project plans are recognized, such as persons whose civil engineering business or civil engineering and construction business is registered under the Framework Act on the Construction Industry;

(b) A person who meets the requirements prescribed by Presidential Decree (limited to where such person implements a project jointly with a person who meets the requirements under subparagraphs 1 through 8), among self-managed real estate companies or entrusted management real estate investment companies established pursuant to the Real Estate Investment Company Act;

Article 13(Approval of implementation plans) #

(1) In order to implement a project for developing a station's sphere of influence, the project implementer shall prepare an implementation plan for the project for developing the station's sphere of influence (hereinafter referred to as "implementation plan") and obtain approval thereof from the competent designating authority, as prescribed by Presidential Decree. The same shall also apply where they intend to modify an approved implementation plan; provided, the same shall not apply to a modification of any minor matter prescribed by Presidential Decree.

(2) The contents of the relevant project plan shall be reflected in an implementation plan, and the following matters shall be included in the implementation plan:

1. The name of the project for developing the station's sphere of influence and the location and area of the development zone;

2. The name or trade name of the project implementer (including its address and the name of its representative);

3. The period of implementation of the project for developing the station's sphere of influence;

4. A plan for land use, traffic control, and environmental management;

5. A financing plan and an annual investment plan;

6. A plan to construct infrastructure (including a cost allocation plan);

7. A plan to dispose of the developed land;

8. Other matters prescribed by Presidential Decree.

(3) When a designating authority intends to approve an implementation plan, they shall consult with the competent Mayor/Do Governor (limited to where the designating authority is the Minister of Land, Infrastructure and Transport) and the head of the relevant Si/Gun/Gu thereon, as prescribed by Presidential Decree. In such cases, the Mayor/Do Governor and the head of the Si/Gun/Gu shall first hear the opinion of the local council, and where no opinion is presented by the local council within 60 days from the date of requesting the opinion, it shall be deemed to have no objection. <Amended on Jun. 1, 2012; Mar. 23, 2013; Jun. 9, 2020; Aug. 16, 2023>

(4) If a designating authority approves an implementation plan, they shall publicly notify the implementation plan in the Official Gazette or Public Gazette, as prescribed by Presidential Decree, and shall send copies of relevant documents to the competent Mayor/Do Governor (limited to where the designating authority is the Minister of Land, Infrastructure and Transport) or to the head of the relevant Si/Gun/Gu. Upon receipt of such copies of relevant documents, the competent Mayor/Do Governor or the head of the Si/Gun/Gu shall make such copies available to residents within their jurisdiction for perusal for at least 14 days. <Amended on Mar. 23, 2013; Jun. 9, 2020>

Article 14(Access to other's land) #

(1) If necessary to conduct an inspection or a land survey for preparing an implementation plan or to implement a project for developing a station's sphere of influence, a project implementer may enter the land owned or occupied by other person; may temporarily use the land owned or occupied by other person as a storage yard, a temporary passage, or a temporary road; and may relocate or remove trees, earth, stone, or other obstacles if necessary particularly. In such cases, the owner or occupant of land shall not interfere with or reject such activities, in the absence of good reason to the contrary.

(2) A person who intends to enter any other person's land under paragraph (1) shall obtain permission from the competent Mayor/Do Governor or the head of a Si/Gun/Gu, and shall inform the owner, occupant, or manager of the land of the date, time, and place therefor three days before the date of entry; provided, the project implementer who is an administrative authority may enter any other person's land without obtaining permission. <Amended on Aug. 16, 2023>

(3) No person shall enter other person's premises or land enclosed by walls before sunrise or after sunset.

(4) A person who intends to enter other's land under paragraph (1) shall carry an identification certificate prescribed by Decree of the Ministry of Land, Infrastructure and Transport and shall present it to interested persons. <Amended on Mar. 23, 2013>

(5) A project implementer who has obtained approval of an implementation plan may enter or temporarily use the land on which a project for developing a station's sphere of influence is planned to be implemented. In such cases, no person who has a right to the land shall not obstruct or interfere with entry or temporary use of the land by the project implementer, in the absence of good reason to the contrary.

Article 15(Compensation for losses incurred by access to land) #

(1) If there is a person who has sustained a loss due to an activity engaged in pursuant to Article 14, the project implementer shall compensate such person for the loss.

(2) When a project implementer intends to compensate for a loss pursuant to paragraph (1), the project implementer shall reach an agreement with the person who has sustained the loss.

(3) If no agreement has been reached pursuant to paragraph (2) or it is impracticable to reach such agreement, either a project implementer or a person who has sustained a loss may apply for adjudication to the jurisdictional Land Tribunal. In such cases, an application for adjudication may be filed during the period of implementation of the project for developing the relevant station's sphere of influence, notwithstanding Article 23 (1) the Act on Acquisition of and Compensation for Land etc. for Public Works Projects and Article 28 (1) of that Act.

Article 16(Relevant authorization and permission deemed granted) #

(1) If a designating authority completed consultation under paragraph (3) with the heads of related administrative agencies on matters subject to the permission, authorization, determination, consultation, consent, approval, report, modification, designation, registration, or cancellation, etc. referred to in the following subparagraphs (hereinafter referred to as "authorization, permission, etc."), in order to approve an implementation plan or an modified implementation plan, such authorization, permission, etc. shall be deemed to have been granted, issued, made, completed, or done with regard to such matters, and if an implementation plan was publicly notified pursuant to 13 (4), the authorization, permission, etc. under the following statutes shall be deemed to have been publicly notified or announced: <Amended on Apr. 14, 2011; Jan. 14, 2014; Jan. 19, 2016; Dec. 27, 2016; Mar. 31, 2020; Jun. 9, 2020; Nov. 30, 2021; Dec. 27, 2022>

1. Building permission under Article 11 of the Building Act; building reports under Article 14 of that Act; modification of matters permitted or reported under Article 16 of that Act; permission for, or reports on, temporary buildings under Article 20 of that Act; and consultation on building works under Article 29 of that Act;

2. Permission to occupy and use public waters under Article 8 of the Public Waters Management and Reclamation Act; approval or reporting of an implementation plan for occupancy and use under Article 17 of that Act; reclamation license under Article 28 of that Act; consultation or approval under Article 35 of that Act; and approval of an implementation plan to reclaim public waters under Article 38 of that Act;

3. Permission for use for profit under Article 20 (1) of the Public Property and Commodity Management Act;

4. Approval of a business plan under Article 15 of the Tourism Promotion Act; designation of tourist destinations under Article 52 of that Act (limited to where a tourist destination is developed as part of a project for developing a station's sphere of influence); approval of a development plan under Article 54 of that Act; and permission to implement development projects under Article 55 of that Act;

5. Permission for use under Article 30 of the State Property Act;

6. Determination of an urban or Gun management plan under Article 30 of the National Land Planning and Utilization Act; permission for development activities under Article 56 of that Act; designation of the implementer of an urban or Gun planning facility project under Article 86 of that Act; and approval of an implementation plan for an urban or Gun planning facility project under Article 88 of that Act;

Article 17(Implementation methods of projects for developing a station's sphere of influence) #

(1) A project for developing a station's sphere of influence may be implemented in any of the following methods, or by combining such methods if necessary: <Added on Jan. 31, 2025>

1. A method under which the project is implemented by expropriating or using land, objects, or rights under Article 3 of the Act on the Acquisition of and Compensation for Land for Public Works Projects (hereinafter referred to as "expropriation, etc.");

2. A method under which the project is implemented through land replotting for landowners.

(2) Where a project operator intends to implement a project by the method of expropriation, etc. under paragraph (1) 1, any of the following project operators shall own land amounting to at least 2/3 of the total land area (provided, if the land constitutes the site of railroad facilities under the Railroad Construction and Railroad Facilities Maintenance Act or the site of urban railroad facilities under the Urban Railroad Act, such ownership requirement may be substituted with the consent of the relevant landowner) and shall obtain consent from at least 1/2 of all landowners; in such cases, the reference date for calculating landowner-consent requirements shall be the date of public notice designating the development zone, and any land acquired by the operator after that date shall be included in the total number of landowners required for consent and counted toward the number of those who have consented: <Amended on Jan. 31, 2025>

1. A corporation less than 50/100 of whose capital has been invested by the Korea National Railway or the Korea Railroad Corporation, among the project implementers under Article 12 (1) 2 and 3;

2. A project implementer under Article 12 (1) 6 through 11 (excluding where the State, a local government, a public institution, or a local public enterprise under the Local Public Enterprises Act has invested at least 50/100 of capital).

(3) If a development zone was designated and publicly notified under Articles 4 and 9, the relevant project shall be deemed to have been approved and publicly notified under Articles 20 (1) and 22 of the Act on Acquisition of and Compensation for Land for Public Works Projects; provided, an application for adjudication may be filed during the period of implementation of the project for developing the relevant station's sphere of influence, notwithstanding Articles 23 (1) and 28 (1) of that Act. <Amended on Jan. 31, 2025>

(4) A project implementer shall establish and implement measures, etc. for relocating persons who will lose their basis of living as a consequence of providing their housing buildings as required for implementing a project for developing a station's sphere of influence, in accordance with the Act on Acquisition of and Compensation for Land for Public Works Projects. <Amended on Jan. 31, 2025>

Article 18(Issuance of land redemption bonds) #

(1) A project implementer may issue bonds redeemable by the land and buildings developed by implementing a project (hereinafter referred to as "land redemption bonds"), as prescribed by Presidential Decree, in order to pay part of purchase prices for land, etc. if landowners desire to own such bonds.

(2) When a project implementer (excluding where a designating authority is a project implementer) intends to issue land redemption bonds pursuant to paragraph (1), it shall prepare a plan to issue land redemption bonds and shall obtain approval thereof from the designating authority in advance, as prescribed by Presidential Decree.

(3) The methods, procedure and conditions for issuing land redemption bonds, and other necessary matters shall be prescribed by Presidential Decree.

Article 19(Advance payments) #

(1) A project implementer may receive all or part of the price for the land or a building or structure to be developed through a project for developing a station's sphere of influence (hereinafter referred to as "developed land or property"), in advance, from a person who intends to acquire or use such developed land or property, as prescribed by Presidential Decree. <Amended on Aug. 16, 2023>

(2) When a project implementer (excluding where a designating authority is a project implementer) intends to receive all or part of the price in advance pursuant to paragraph (1), it shall obtain approval therefor from the designating authority.

Article 20(Supply plan for developed land or property) #

(1) If a project implementer (excluding where a designating authority is a project implementer) intends to supply developed land or property, they shall prepare a supply plan for developed land or property and shall submit the plan to the designating authority. The same shall also apply where they intend to modify a supply plan already established.

(2) The contents of a supply plan for developed land or property, the procedure and criteria for supply, the assessment of prices for developed land or property, and other necessary matters shall be prescribed by Presidential Decree.

Article 21(Completion inspection) #

(1) Upon completion of a project for developing a station's sphere of influence, the project implementer shall undergo a completion inspection by the designating authority, without delay, as prescribed by Presidential Decree.

(2) Upon receipt of an application for a completion inspection under paragraph (1), the designating authority shall conduct the completion inspection, as prescribed by Presidential Decree; and shall issue a completion inspection certificate to the applicant in the form prescribed by the Ministry of Land, Infrastructure and Transport if they recognize that relevant construction works have been performed in conformity with the details of the approved implementation plan. <Amended on Mar. 23, 2013>

(3) When a project implementer successfully undergoes a completion inspection under paragraph (1), it shall be deemed to have successfully undergone a completion inspection or have obtained completion authorization with regard to the relevant project for the authorization, permission, etc. referred to in the subparagraphs of Article 16 (1). In such cases, the designating authority shall consult with the heads of related administrative agencies prior to the completion inspection.

(4) If necessary to efficiently implement a project for developing a station's sphere of influence, a project implementer may undergo a completion inspection under paragraph (1) for the part where construction works are completed, even before construction works for the entire project for developing the station's sphere of influence are fully completed.

(5) No project implementer shall use the land developed or facilities installed through a project for developing a station's sphere of influence before it receives a completion inspection certificate issued under paragraph (2); provided, the same shall not apply where a project implementer reported its use prior to completion to the designating authority or obtained permission for its use prior to completion from the designating authority.

Article 22(Public announcement of completion of construction works) #

When a designating authority issues a completion inspection certificate under Article 21 (2), they shall publicly announce the completion of construction works but shall issue an order to perform remedial works and take other necessary measures, without delay, if construction works have not been done in accordance with the implementation plan.

Article 23(Vesting of ownership of public facilities) #

(1) Article 65 of the National Land Planning and Utilization Act shall apply mutatis mutandis to the vesting of ownership of public facilities installed as new facilities or substitutes for existing facilities. <Amended on Aug. 16, 2023>

(2) In cases of the registration of public facilities and property under paragraph (1), a written approval of an implementation plan and a completion inspection certificate may be issued in lieu of documents evidencing the reason for registration under the Registration of Real Estate Act. <Amended on Jun. 9, 2020>

Article 24(Restrictions on disposal of national or public land) #

(1) Any parcel of land located within a development zone and owned by the State or a local government shall not be disposed of for any purpose other than the purposes specified in the relevant implementation plan if said land is required for a project for developing the relevant station's sphere of influence.

(2) Any property located within a development zone and owned by the State or a local government may be sold to a project implementer under a non-bid contract, notwithstanding the State property management plan or the public property management plan under Article 9 of the State Property Act or Article 10 of the Public Property and Commodity Management Act and the contracting methods under Article 43 of the State Property Act, or Article 29 of the Public Property and Commodity Management Act. In such cases, the designating authority shall consult with the heads of related central administrative agencies, in advance, on the disuse (limited to where such property is administrative property) or disposal of such property. <Amended on Jun. 9, 2020>

(3) Upon receipt of a request for consultation under the latter part of paragraph (2), the head of a relevant central administrative agency shall take measures necessary for consultation within 30 days from the date they receive such request.

(4) When a project implementer under Article 12 (1) (excluding those referred to in subparagraph 1 of that paragraph) intends to construct a building or install any other structure (hereinafter referred to as "structure") in a railroad facility owned and managed by the State, the Minister of Land, Infrastructure and Transport may issue permission for occupation and use to the project implementer, specifying the kind of structure, the period of occupancy and use, etc., as prescribed by Presidential Decree, notwithstanding Article 18 (1) of the State Property Act. <Amended on Mar. 23, 2013>

(5) Except as otherwise provided in this Act, Articles 43 through 46 of the Railroad Service Act shall apply mutatis mutandis to permission for occupation and use under paragraph (4).

Article 25(Re-investment of gains from development of station's sphere of influence) #

(1) A project implementer shall appropriate 25/100 of the development gains generated by implementing a project for developing a station's sphere of influence for the cost for installing railroad facilities under Article 3 of the Framework Act on Railroad Industry Development or public facilities under Article 2 of the National Land Planning and Utilization Act in the relevant development zone. In such cases, no development charge under the Restitution of Development Gains Act shall be levied. <Amended on Aug. 16, 2023>

(2) Where a designating authority formulates a project plan under Article 7, they may include the cost for relocating or installing railroad facilities within a development zone inside or outside of the development zone due to projects for developing a station's sphere of influence, in the cost for installing railroad facilities under the main clause of paragraph (1). <Added on Aug. 16, 2023>

(3) A project implementer shall manage the account of development gains generated from a project separately from other accounts, and shall take other necessary measures so as to ensure that the development gains under paragraph (1) can be re-invested without any problem. <Amended on Aug. 16, 2023>

(4) Article 8 through 12 of the Restitution of Development Gains Act shall apply mutatis mutandis to the computation of development gains referred to in paragraph (1). In such cases, "standards for imposing development charges" shall be construed as "standards for computing development gains"; "end point of imposition" as "end point of computation of development gains"; "land subject to imposition" as "land subject to computation of development gains"; "starting point of imposition" as "starting point of computation of development gains"; "period for imposition" as "period for computation of development gains"; "authorization, etc. for a development project from the State or a local government", "authorization, etc. from the State or a local government", "authorization, etc. for a development project" or "authorization, etc." as "approval of an implementation plan for a development project"; "authorization, etc. for completion of a development project" as "verification of completion"; "person liable for payment" as "project developer"; "development project" as "harbor hinterland complex development project"; and "Minister of Land, Infrastructure and Transport" as "Minister of Oceans and Fisheries". <Amended on Aug. 16, 2023>

[This Article Wholly Amended on Dec. 18, 2018]

Article 26(Allocation of cost) #

(1) The cost required to implement a project for developing a station's sphere of influence shall be borne by the project implementer.

(2) The State may grant a subsidy or a loan to a project implementer for part of the cost required to implement a project for developing a station's sphere of influence, within the budget, as prescribed by Presidential Decree.

Article 27(Installation of public facilities and allocation of cost) #

`Article 55 of the Urban Development Act shall apply mutatis mutandis to the installation of public facilities, such as roads, waterworks, sewerage systems, and facilities for electricity, telecommunications, gas, and district heating, the allocation of the cost thereof, etc.

Article 28(Issuance of bonds) #

(1) A project implementer (limited to the persons referred to in Article 12 (1) 1 through 5 and excluding the corporations less than 50/100 of whose capital has been invested by the Korea National Railway or the Korea Railroad Corporation, among the persons referred to in subparagraphs 2 and 3 of that paragraph) may issue bonds for the development of a station's sphere of influence (hereinafter referred to as “bonds") in order to finance a project for developing the station's sphere of influence. <Amended on Jun. 9, 2020>

(2) When the head of a local government intends to obtain approval from the Minister of the Interior and Safety for the issuance of bonds under paragraph (1) pursuant to Article 11 of the Local Finance Act, they shall have a prior consultation with the Minister of Land, Infrastructure and Transport thereon and a project implementer, other than the State or a local government, shall obtain approval from the designating authority for the issuance of bonds. <Amended on Mar. 23, 2013; Nov. 19, 2014; Jul. 26, 2017>

(3) The interest rate of bonds, the methods of issuing bonds, the redemption of bonds, the process of issuance, and other necessary matters shall be prescribed by Presidential Decree.

Article 29(Purchase of bonds) #

(1) Persons referred to in either of the following shall purchase bonds:

1. Persons who enter into a contract with a project implementer for construction works;

2. Persons prescribed by Presidential Decree, from among persons who obtains permission under Article 56 (1) of the National Land Planning and Utilization Act.

(2) For the purpose of applying paragraph (1), the persons who have undergone consultation in which approval of an implementation plan under Article 13 or permission for development activities under Article 56 of the National Land Planning and Utilization Act deemed granted pursuant to other statutes shall be included among the persons referred to in that paragraph. <Amended on Jun. 9, 2020>

(3) Matters necessary for the persons obligated to purchase bonds, the amount of bonds to be purchased, the procedure for purchasing bonds, etc. shall be prescribed by Presidential Decree.

Article 30(Reduction or exemption of taxes and charges) #

`Article 71 of the Urban Development Act shall apply to the reduction, exemption, etc. of taxes and charges on projects for developing a station's sphere of influence. In such cases, "urban development project" shall be construed as "project for developing a station's sphere of influence".

Article 31(Administrative actions) #

(1) In any of the following cases, a designating authority may revoke permission, designation, or approval under this Act or may order a project implementer to suspend or alter construction works or rebuild, alter, or relocate a building or an obstacle, etc. or take other necessary action or measures; provided, in cases falling under subparagraph 1, permission, designation, or approval shall be revoked: <Amended on Jun. 1, 2012; Jun. 9, 2020>

1. Where a project implementer obtained permission, designation, or approval under this Act by fraud;

2. Where it becomes impossible for a project implementer to continue to implement a project for developing a station's sphere of influence due to a natural disaster, the project implementer's bankruptcy, or any other event prescribed by Presidential Decree (limited to where it is deemed that there is no prospect of continuing the project, as a result of deliberation by the Urban Planning Committee);

3. Where a project implementer fails to fulfill any condition imposed as at the time of designation or approval under Articles 12 and 13 or fails to implement a project for developing a station's sphere of influence in accordance with the project plan and the implementation plan;

4. Where a project implementer obtained adjudication on expropriation or use of land or other property, in violation of Article 17;

5. Where a project implementer issued land redemption bonds, in violation of Article 18;

6. Where a project implementer received advance payment, in violation of Article 19;

7. Where a project implementer supplied developed land or property, in violation of Article 20;

8. Where a project implementer fails to undergo the completion inspection, in violation of Article 21 (1);

9. Where a project implementer used developed land or any installed facility without filing a report on or obtaining permission for use pursuant to the proviso of Article 21 (5);

10. Where a project implementer fails to give notice under Article 65 (5) of the National Land Planning and Utilization Act, which is applicable mutatis mutandis pursuant to Article 23 (1).

(2) Detailed criteria for the revocation of permission, designation, or approval, the suspension or alteration of construction works, the rebuilding, alteration, or relocation of buildings or obstacles, etc. and other necessary actions or measures shall be prescribed by Presidential Decree, taking into consideration the pattern, cause, degree, etc. of violation.

Article 32(Entrustment of purchase of land) #

(1) A project implementer may entrust the jurisdictional local government or a public institution prescribed by Presidential Decree with purchase of land, compensation for losses, measures for relocation, etc., for a project for developing a station's sphere of influence, as prescribed by Presidential Decree.

(2) Entrustment commissions for purchase of land, compensation for losses, measures for relocation, etc. under paragraph (1) shall be prescribed by Presidential Decree.

Article 33(Hearings) #

When a designating authority replaces a project implementer with another person or revokes the designation of a project implementer under Article 12 (2) or intends to take administrative action to revoke designation or approval under Article 31, they shall hold a hearing in accordance with the Administrative Procedures Act.

Article 34(Delegation of authority) #

(1) The Minister of Land, Infrastructure and Transport may delegate part of their authority under this Act to sub-agencies of the Ministry or the Mayor/Do Governor, as prescribed by Presidential Decree, and the Mayor/Do Governor may re-delegate part of the authority delegated to them to the head of a Si/Gun/Gun, with approval from the Minister of Land, Infrastructure and Transport. <Amended on Mar. 23, 2013>

(2) The Mayor/Do Governor may delegate part of their authority under this Act to the head of a Si/Gun/Gun, as prescribed by ordinance of the City or Do.

Article 35(Penalty provisions) #

Any of the following persons shall be punished by imprisonment with labor for not more than three years or by a fine not exceeding 30 million won:

1. A person who constructed a building or engaged in any activity within a development zone without permission, in violation of Article 11 (1);

2. A person who was designated as a project implementer under Article 12 (1) by fraud or other improper means;

3. A person who had an implementation plan under Article 13 (1) approved (including approval of a modified plan) by fraud or other improper means.

Article 36(Penalty provisions) #

Either of the following persons shall be punished by imprisonment with labor for not more than two years or by a fine not exceeding 20 million won:

1. A person who implemented a project without approval of an implementation plan under Article 13 (1);

2. A person who used land or a facility without permission for use prior to completion under Article 21 (5).

Article 37(Penalty provisions) #

Any person who violated an order issued under Article 31 (1) to suspend or alter construction works or to rebuild, alter, or relocate a building or an obstacle, etc. or to take other necessary action or measures shall be punished by imprisonment with labor for not more than one year or by a fine not exceeding 10 million won.

Article 38(Joint penalty provisions) #

If the representative of a corporation or an agent or employee of, or any other person employed, by a corporation or an individual commits any violation described in Articles 35 through 37 in performing any work for the corporation or individual, the corporation or individual shall, in addition to punishing the violator accordingly, be punished by a fine prescribed in the relevant Article; provided, the same shall not apply where the corporation or individual has not neglected to exercise due care and supervise the work to prevent such violation.

Article 39(Administrative fines) #

(1) Any of the following persons shall be subject to an administrative fine not exceeding 3 million won: <Added on Jan. 31, 2025>

1. A person who relocates or damages a sign installed, in violation of Article 39 (3) of the Urban Development Act, as applied mutatis mutandis under Article 17 (7);

2. A person who fails to give notice under Article 40 (5) of the Urban Development Act, as applied mutatis mutandis under Article 17 (7).

(2) Any of the following persons shall be subject to an administrative fine not exceeding 2 million won: <Amended on Jan. 31, 2025>

1. A person who obstructed or interfered with entry or temporary use of land by a project implementer, in violation of the latter part of Article 14 (1);

2. A person who entered land without consent of the owner or occupant of the land, in violation of Article 14 (3);

3. A person who entered land without carrying an identification certificate, in violation of Article 14 (4);

4. A person who obstructed or interfered with a project implementer entering or temporarily using land, in violation of the latter part of Article 14 (5).

(3) Administrative fines under paragraphs (1) and (2) shall be imposed and collected by the Minister of Land, Infrastructure and Transport, a Mayor/Do Governor, or the head of a Si/Gun/Gu, as prescribed by Presidential Decree. <Amended on Mar. 23, 2013; Jan. 31, 2025>