china_takes_firmer_stance_on_land_utilization[1] - Client...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
HKG-1/724005/03 Client briefing March 2008 China Takes Firmer Stance On Land Utilization China is determined to protect arable land and enhance land use efficiency. Following the issue of a series of notices and regulations in 2007 aimed at halting surge in property price and increasing the availability of housing to low income families, the State Council has once again issued a notice earnestly calling for land conservation in order to stabilise land supply. The Notice on Facilitating the Conservation and Intensive Utilisation of Land (Order No. 3), issued on 3 January 2008, reiterates and introduces the following principles: land use and various standards for use of land must accord with national plans and requirements land use efficiency must be enhanced, as a result of which idle land will be strictly handled, and unused and abandoned land should be put to proper use a system to conserve land must be put in place to ensure proper land reservation and to promote the use of land for value through tender or auction the management of arable land must be strengthened (in fact, a separate regulation effective on 1 January 2008 requires land users including foreign- invested enterprises and foreign enterprises that use arable land for non- farming purposes to pay an arable land occupation fee); and government regulation and inspection of land must be strengthened through a responsibility system This briefing discusses the main issues arising from the above principles that are of particular concern to land users. Disposition of Idle Land China is wary of the vast accumulation of land by property developers. In the past years, many developers had acquired hectares of land (including arable land) at low cost, leaving them undeveloped for a long period of time. This did not only result in a severe reduction of arable land, but also caused a marked decrease in overall land supply. The consequence was that property price surged and developers profited through transfers at over-inflated prices. In order to suppress land accumulation and further surge in land price, Order No. 3 calls for stricter handling of idle land through both fee levy and financing restrictions. Under existing Chinese regulations, idle land is land which a land user, after having legally acquired its use, had failed to commence development works thereon by the specified date without obtaining prior consent from the original authority that approved the use of the land. Where the land grant contract or the date of the If you would like to know more about the subjects covered in this publication, please contact:
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 06/22/2008 for the course RE 201 taught by Professor Ac during the Fall '07 term at HKU.

Page1 / 3

china_takes_firmer_stance_on_land_utilization[1] - Client...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online