Overcoming the Real Estate Slump and Housing Supply Crisis with Smart Modular Construction
On the 2nd, Professor Cho Bong-ho of Ajou University's Department of Architecture delivers a presentation at the "Modular Housing Revitalization Policy Forum" held at the Korea Chamber of Commerce and Industry in Seoul. The "Modular Method" is an eco-friendly construction technique that shortens construction periods, reduces construction waste, and lowers carbon emissions. Experts from the government, private sector, and research institutes gathered at the forum to discuss institutional improvements for expanding supply. / Reporter Jeon Ki-byeong
While housing supply indicators remain sluggish due to the real estate market slump, the "Modular Method" is gaining significant attention. This "Smart Construction" technique involves pre-fabricating standardized modules—including walls, windows, plumbing, and bathrooms—in a factory, then transporting and assembling them on-site. It is an eco-friendly method capable of shortening construction timelines and reducing both waste and carbon emissions.
The "Modular Housing Revitalization Policy Forum," co-hosted by the Korea Iron & Steel Association and Korea Land & Housing Corporation (LH) and sponsored by the Chosun Ilbo, was held at the International Conference Hall of the Korea Chamber of Commerce and Industry. The forum aimed to assess the domestic modular housing market, discuss regulatory innovation, and seek institutional improvements through cooperation between industry, academia, research, and government. At the event, Kim Kyu-chul, Deputy Minister for Housing and Land at the Ministry of Land, Infrastructure and Transport (MOLIT), announced, "We plan to propose an amendment to the Housing Act within this year to push for the deregulation of height limits and floor area ratios (FAR) for modular housing."
Leading the Market: PLANM’s Innovation and Global Expansion
In just four years since its founding, PLANM has emerged as a leading player in the modular sector. Achieving the No. 1 market share in the modular classroom market (as of 2023), the company has supplied over 7,000 modular units to schools nationwide. In recognition of its technological excellence and innovative management, PLANM has received commendations from both the Minister of Education and the Minister of Land, Infrastructure and Transport.
Song Kyung-seop, Vice President of PLANM, introduced cases of applying DfMA (Design for Manufacture and Assembly) and international expansion during the forum. Modular construction is generally divided into PMC (Permanent Modular Construction) and RB (Relocatable Building). While the market often associates modular with "containers" due to the high volume of RB units, VP Song explained, "We developed a modular system that combines the strengths of PMC and RB, possessing permanent performance while remaining relocatable. These units can be disassembled and reused even after initial assembly."
Furthermore, PLANM introduced the DfMA method, which integrates manufacturing and assembly information into the design phase. "We must prevent the waste of labor or costs that occurs when manufactured modules cannot be properly installed on-site," Song said. "By calculating even the placement of single bolt holes during the design process, we aim for both shortened construction periods and cost reduction."
PLANM applied the DfMA modular method to the expansion of Naegok Elementary School in Cheongju. The project, featuring volumetric modules and exterior facade panelizing, resulted in a futuristic school design. Its superior quality and design were recognized with the Grand Prize at the 2023 Architizer A+Awards in the U.S. and the Korea Civil Engineering and Architecture Technology Awards.
Since last year, PLANM has been driving the global expansion of "K-Modular" technology. The company established a UK subsidiary and is working to enter the European school and residential markets. In Australia, it signed an agreement to supply modular housing for mining workers. Despite its relatively short history, PLANM's rapid growth led it to be the sole construction company selected for Forbes Korea’s "2024 Top 50 High-Growth Startups." This year, PLANM is challenging new business territories, including apartments, dormitories, military officer quarters, and residence hotels, having fully secured its legal foundation by obtaining the Industrialized Housing Recognition last May.
[Chosun Ilbo] "Eco-friendly Modular Construction to Become a 4 Trillion KRW Market by 2030"
[Dnews] Korea Iron & Steel Association and LH Host 'Modular Housing Revitalization Policy Forum'
