Local Governments, SOEs To Buy Units For Public Housing - Caixin

Some local governments in China are buying apartments previously intended for sale in the private market, or encouraging state-owned enterprises to purchase units, and then turning them into public housing in a bid to shore up the sluggish property market, Caixin reported. Since September, the provinces of Hubei, Jilin, Heilongjiang, Gansu and Guizhou have started a bidding process to purchase housing to resettle residents affected by shanty town renewals, said Caixin. Some SOEs have also stepped into the market. Zhengzhou Real Estate Group in Zhengzhou city, Henan province has moved to purchase 100,000 units for the city to provide subsidised apartments to talented workers in an attempt to bail out housing projects that are difficult to sell, the newspaper said.