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No residential developments have........>

CHINA PRESS
CHINA PRESS: No residential developments have received pre-sales permission in
the past two weeks and neither have there been any sales by lottery in Shanghai,
the Shanghai Securities News reported Wednesday. In mid-July the Shanghai
government announced a requirement for property developers to use lotteries for
sales of new property projects. Lotteries have been used in the past only when
demand exceeds supply. Now, developers are doubtful about using lotteries when
demand is less than supply, according to the newspaper. As of 4:00 p.m. Monday
the inventory of new residential units eligible for sale was 5.855 million
square meters. Based on sales of 686,000 square meters in June the inventory may
be sold out in eight months, the Securities Daily said. This means property
developers are observing changes in the market before taking action, according
to Centaline Property analyst Lu Wenxi. (Shanghai Securities News)

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