(A) comparative study of the factors affecting public-private partnerships in urban development projects by partnership type

다국어 초록 (Multilingual Abstract)

The goal of this study is to analyze the appropriateness of partnership types and the influential factors of PPP urban development projects, which have gradually been expanding in Korea since the 1990s. To accomplish this, the influential factors were derived by analyzing the preceding studies, and through quantitative analysis such as AHP analysis and statistical analysis as well as qualitative analysis through a case study, the influential factors (5 super factors and 16 sub factors) were determined, the influential factors were compared by partnership type and group, and the appropriateness was analyzed according to partnership type (agreement type and joint-venture type). To enhance the applicability of the study, an analysis target region was decided: Incheon; and more specifically the IFEZ, where PPP urban development projects have been carried out most actively since the 2000s.
Through the analysis, it was determined that the most influential sub factors were practicability & sustainability of financing, project feasibility analysis, management of business cycle in the real estate market, and establishment of laws & institutions. In terms of the agreement type, the external factors such as laws & institutions and partnership formation were more strongly emphasized than in the JV type. In the comparison among groups, the private group considered the external factors such as laws & institutions, cost & time and local society issues to be more important, while the public group gave more emphasis to the substantiality of executive organization, such as the establishment of executive leadership. The opinion of the majority was that the JV type is more appropriate for risk sharing than the agreement type, but in the JV type, the public share ratio should be limited (lower than 30%) to minimize any ill effects resulting from public intervention.
Through this study, we determined that the urban developments should be carried out through true public-private partnerships while fully understanding the influential factors of PPP urban development that has the characteristics of long period, complexity and periodicity, and that it is necessary to introduce a new type of partnership that can appropriately reflect Korea’s political, economic and social contexts.