Nurseries inside apartment complexes serve as a triple boost

A working mom living in Raemian Hurest apartment in Seongsa-dong in Goyang City, Gyeonggi Province renewed jeonse (lump-sum deposit) rental contract last year by raising deposit by 50 million won (44,802 U.S. dollars) as demanded by the landlord. Despite financial burden, she chose to stay for the sake of her six-year-old daughter and 24-month son, both of whom were attending a city-funded nursery school located inside the apartment complex. She said, "I don`t have to be worried about accidents that my children could run into by taking a shuttle bus," adding, "My friends who have children envy me because I can send mine to a nursery school near my house with relatively low cost."

The nursery school was established in 2010 after the redevelopment association and Samsung C&T Corporation requested approval to Goyang City at the end of 2009 ahead of the move-in period. A one-story building that was originally intended to be used as a kids cafe was lent to Goyang city for free for 20 years by getting agreement from more than half of residents. Goyang City allocated 50 percent of nursery quota to residents.

Initially, some residents opposed to the idea burdened by 20-year free leasing. As younger people moved in to the apartment, however, its price now stands at 20 million won (17,921 dollars) to 30 million (26,881 dollars) higher than apartments right across the street. "More than 80 percent of 38 babies aged 1-3 years are residents," said Lee Ji-yeon, head of the nursery school. "The playground, sports park, and ecological lake within the complex are good outdoor places for children."

After free education for children aged 0-5 began this year, the prices of apartments, the complex of which has public nurseries, are rising. Construction companies are also rushing to attract state-funded nurseries into their apartment complexes.

○ A 14 billion won (12.54 million dollars) district-funded nursery

According to the Land, Infrastructure and Transport Ministry`s housing construction standard regulation, complexes holding more than 300 apartments should have a nursery with at least 21 children, and those with more than 500 apartments should have nursery for more than 40 children.

In most of apartments nationwide, city-funded nurseries are leased to the private sector. Among 440 lease apartments in Seoul, only 56 have state-funded nurseries. In Goyang City, only four among 32 city-funded nurseries were established in private apartment complexes.

This has changed these days. As convenience in childcare became key factor in determining where to live, more and more apartment complexes are building state-funded nurseries.

Raemian Wellstream in Seoul`s Mapo district, which will be on sale next month after redevelopment of Hyeonseok Section 2, will accommodate a district-funded nursery. With total floor area of 1,750 square meters, it will be the largest state-funded nursery accommodating 150 children. The redevelopment association spent 14 billion won (12.54 million dollars) purchasing a golf driving range besides the complex, and building the nursery. The association donated the building to Mapo district and the district raised the floor area ratio by 5 percent to increase eight apartments for general sale.

The SK View Park that SK Construction is building in Hwaseong City, Gyeonggi Province will have a 130-quota city-funded nursery. The builder proposed the idea to the city considering that the area had sharply more young people with babies and low-age children. It decided to build a two-story building with total floor area of 820 square meters inside the complex for a free lease for 20 years. SK Construction is examining establishing a state-funded nursery in large apartment complexes it will put on sale.

○ Setting up related systems is urgent

Such changes are the result of demands by three parties -- builders, people moving in to apartment complexes, and local governments. Jang Won-jong, a general manager of the housing business team at SK Construction, said, "People moving into apartment complexes can enjoy high-quality free childcare near their homes, and construction companies can attract younger families and raise apartment sales in a housing market downturn." As for municipalities directly operating state-funded nurseries, they can increase the number of nurseries with low cost.