Beijing: Strictly crack down on speculation in real estate speculation. It is strictly forbidden to change residence without authorization in industrial projects.

CCTV News:This morning, the Beijing Municipal Planning and Land Commission, together with the Municipal Housing and Urban-Rural Development Commission, the Municipal Development and Reform Commission, the Municipal Local Taxation Bureau and the Municipal Administration for Industry and Commerce, jointly issued the Notice on Further Strengthening the Management of Industrial Projects. It is strictly forbidden to change the planned purpose of the project for residential use without authorization, and it is not allowed to transfer and split sales without approval. It can be said that Beijing’s real estate regulation and control will once again show its sword, and resolutely crack down on speculation in real estate speculation by using industrial land.

Involving six categories of industrial projects such as scientific research and industry.  

The industrial projects referred to in this Notice cover six categories: scientific research, industry, hotels, tourism, culture and entertainment. The relevant person in charge of the Beijing Municipal Planning and Land Commission said that on the basis of strengthening the management of commercial and office projects in the near future, the Beijing Municipal Planning and Land Commission and relevant departments issued the Notice in response to the recent market chaos in the real estate market, such as changing industrial and scientific research projects into residential purposes and dividing and transferring them.

The "Notice" clearly requires that industrial projects should be designed, developed, constructed and used in strict accordance with the planned purposes, and may not be transferred or divided for sale without approval. It is strictly forbidden to change the planned purpose of the project for residential use without authorization.

"Notice" clearly will resolutely crack down on the use of industrial land for real estate speculation. According to the land transfer contract and the allocation approval documents, the use of industrial projects under construction is verified. For industrial projects that are changed to residential use, the planning, land, housing and urban-rural construction departments will severely punish the project construction unit according to law until the land transfer contract is terminated, the allocation approval documents are revoked to recover the land, and its qualification to obtain land in Beijing is cancelled.

Beijing (data map)

Beijing (data map)

Multi-angle prevention of unauthorized use of strict industrial projects

Strengthen sales management: first, strictly examine the qualifications of buyers. Industrial projects are used to support industrial development, and their buyers should have the conditions and ability to engage in corresponding scientific research or production and operation, and the specific industries should also meet the needs of regional development. Therefore, the Notice clearly stipulates that the administrative department of the district where the project is located or the park management department should review the buyer’s purchase conditions and issue written opinions in combination with the requirements of regional industrial policies. The second is to strengthen the management of intermediary institutions. The "Notice" clearly stipulates that if the intermediary agency violates the rules or publicizes the houses of industrial projects in any way that can be used for living, the administrative department will cancel the agency filing according to law until the business license is revoked.

Strengthen supply management: The Notice clearly stipulates the following aspects. Firstly, as for the types of industrial projects, industrial projects should conform to the functional orientation of the capital and the Catalogue of Prohibitions and Restrictions on Newly-added Industries in Beijing, and the local government should implement the job-residence balance in combination with regional planning. Secondly, in the spatial distribution of industrial projects, it is forbidden to develop high-end manufacturing production and processing links, to build and expand wholesale markets, and to build and expand regional logistics centers in the six districts of the city. Thirdly, in the way of transferring industrial projects, the industrial projects that provide land by means of agreement transfer should be controlled at different levels in urban areas, and the qualifications of the transferee should be limited. At the same time, the district government, the park management department and the competent departments of various industries should be required to review and determine the project subject from the aspects of industrial policy, industrial scale, industrial plan, industrial requirements, population control and regional functional orientation. Industrial projects that acquire land by bidding, auction and hanging require the planning and land department to stipulate the building use function, land transfer conditions, the proportion of self-occupied and self-sustaining construction area of the project unit, and the conditions for the withdrawal of the project land in the land transfer contract, and strictly supervise the later period.

Strengthen post-approval supervision: The Notice requires the planning and land departments to regularly check the building’s use function, and correct and investigate those who violate the rules and change them into residential purposes in time until the land transfer contract is terminated and the allocation approval documents are revoked to recover the land.

Strengthen the establishment of exit mechanism

The "Notice" proposed for the first time to implement the withdrawal mechanism of industrial projects, requiring the district government and park management departments to take the lead in regularly and comprehensively evaluating industrial projects in terms of industrial content, output value, taxation, employment, and ecological environment protection, and implementing the withdrawal mechanism of industrial projects for those that do not meet the requirements of this Municipality.

Strengthen the management of the construction unit: The Notice clearly stipulates that if the project construction unit violates the relevant regulations, the administrative department will incorporate the punishment information into the enterprise credit information system of this Municipality. The relevant person in charge said that scientific research land should be used for scientific research projects and industrial land should be used for industrial development. Therefore, the qualification of the construction unit should be strictly examined, and the construction unit should use the land honestly and in good faith according to the planned purpose, and industrial land should never be used for so-called scientific research real estate and industrial real estate.

According to experts’ analysis, the promulgation of the Notice is one of the combination punches of Beijing’s recent real estate regulation and control policies, and it is a targeted regulation and control policy for the recent market chaos. It is not only conducive to ensuring the sustained, stable and healthy development of various industries in this city, but also resolutely cracking down on speculation in real estate speculation. At the same time, experts also remind consumers that when buying real estate, they must carefully review the relevant supporting documents issued by the development unit and the seller to recognize the purposes stated in the sales license, construction land planning permit, construction project permit, immovable property certificate and other documents, and do not mistake industrial projects for residential purposes to avoid being cheated and suffering property losses.

(CCTV reporter Tigerson Yang)