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MLR: Scheme of Establishing Pilots for Rental Housing Construction on Collective-Owned Construction Land Use in 11 Cities Approved
On Jan. 25, 2018, the Ministry of Land and Resources (MLR) declared that the Scheme of Establishing Pilots for Rental Housing Construction on Collective-Owned Construction Land Use in 11 Cities including Shenyang, Nanjing, Hangzhou, etc., has been approved. MLR emphasized that the pilot areas should follow the principle of house for living, not for speculation. And according to the requirement of regional coordinated development and rural vitalization, great efforts should be put into enriching land use supply channels for house construction and establishing a housing system in favor of both renting and purchasing, so as to realize the coordinated urban-rural development and everyone has his home to live in.

Meanwhile, the responsibility of local governments will be strictly pursued, in order to push forward the work in the pilot areas and fully implement the supervision over all related links including location, construction, and operation of the projects. Measures should be adopted to improve the contract performance and monitor mechanism; to guarantee the legal rights and benefits of entities such as the village and town collectivity, farmers, enterprises, and lessee; to establish a rent monitoring and supervision mechanism that ensures a rational rent for the renting projects and sets up an open and transparent rent changing restriction mechanism to support the long-term renting; and to encourage the participation by financial institutions into a construction who can provide financial products and services in line with related laws and regulations.

What’s more, MLR also required pilot cities to adhere to the principles of coordinated urban-rural development and coordinated planning of urban and rural construction land use and spatial layout. Specifically, coordinated consideration should be given to the pilot project and its surrounding infrastructures and public service facilities projects, and the main body and standards for the supporting facilities construction should be clarified, so that the public service for the pilot project and its surrounding area can be equalized. The review, approval, and monitor procedure for construction of rental housing projects on collective-owned construction land use should be regulated, the application main body of project should be made clear, and the examination and approval procedure should be improved. In addition, the house type design of the pilot project should be mainly medium- and small-size apartment units no larger than 90 m2. The supervision should be enhanced during and after project construction to effectively control the construction order. And more effort should be put into policy publicity and public opinions guidance, to develop an orderly regulated house renting market and form reproducible and promotable institutional achievements. On this basis, it is necessary to apply modernized information management platform and advanced science and technology means. In the middle of the pilot construction, attention should be paid to stress the supporting facilities for public services. And the rental housing constructed on collective-owned land use should be managed on the housing rental service platform under the supervision of the government, so as to further enhance the dynamic supervision and monitor over the market and promote intensified land use.

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