This article, with a focus on the change and transformation process of the approaches and trends affecting the new towns policy, scrutinizes the first and second generations of the new towns in reference to the South Korea as a case study. The first generation of new towns development in South Korea is associated with the rapid growth of urbanization, industrialization and subsequently economic increase of this country. Lack of housing and inadequate housing supply, formation and growth of the informal settlements especially in connection with Seoul, and the subsequent centralization in the Seoul metropolitan area are the main and significant urban challenges of South Korea in this period. The second generation of new towns has been planned first with the aim of housing supply as their main function in the capital region. These cities are the result of approach that follow the qualitative, gradual and planned development in the form of small scale but multiple projects compared to the past. Decentralization of Seoul and Seoul metropolitan area, integrated regional development, and ultimately the balance of South Korea’s national territory are the key purposes of this process, in terms of spatial planning.