In 1987, the traditional hotel business was newly established with the enactment of the Tourism Promotion Act to promote the construction and operation of hotels that introduce foreign tourists to facilities with Korea’s unique architectural style and interior design. The registration standards for traditional hotels, as stipulated in Annex 1 of the first Enforcement Regulation of Tourism Promotion Act, were as follows:
- Structure: The hotel must have traditional Korean architectural features and a structure that provides tourists with a Korean atmosphere.
- Guestroom
- Rooms must be at least 19 square meters in size, with 70% of them having traditional Korean-style interiors. Bathrooms should be Western-style and at least 3.3 square meters.
- The interior decor should include traditional Korean elements such as calligraphy, cabinets, folding screens, and lacquerware.
- Guestroom doors should be double doors, with the door facing the corridor being in traditional Korean style.
- Garden: The hotel must have a garden of at least 300 square meters that can provide a Korean atmosphere.
- Dining: The hotel should have a restaurant that can serve traditional Korean cuisine.
- Sanitary Facilities: The hotel must have sanitary and heating/cooling facilities that ensure guest comfort.
- Parking: The hotel must have parking facilities for convenience of guests.
In 1999, the registration standards for tourism businesses were elevated from the Enforcement Regulation to the Enforcement Decree of the Tourism Promotion Act, and overall regulations were simplified. The current standards for registering a traditional hotel, as stipulated in Annex 1 of the current Enforcement Decree of Tourism Promotion Act, are as follows:
- The exterior of the building must have the form of a traditional Korean house.
- The hotel must have bathrooms or shower facilities for convenience of guests.
- Must have a system in place to provide services to foreigners.
- Must secure ownership or usage rights of the land and building. However, ownership must be secured if recruiting members.
Traditional hotels and hanok stays share the commonality of using facilities in the form of traditional Korean houses (hanoks). The difference lies in the fact that traditional hotels are classified as lodging properties under the Building Act, whereas hanok stays are mostly classified as single-family houses. In other words, traditional hotels are likely to be newly constructed buildings in the form of hanoks for use as lodging properties, while hanok stays are existing hanoks of historical value repurposed for lodging business.