URBAN RESIDENTIAL REDEVELOPMENT IN THE PEOPLES-REPUBLIC-OF-CHINA

This paper reports on an evaluation of urban redevelopment policies and practices in the People's Republic of China. In most Chinese cities, redevelopment regulations require the on-site replacement of demolished housing, the provision of additional community facilities, and the payment of numerous fees, taxes and charges. These regulations greatly impair the feasibility of most urban redevelopment projects, and result in a very low level of redevelopment activity across urban China. To spur much-needed urban redevelopment, Chinese cities should consider following the example of Hong Kong, Seoul and Singapore and allow real estate development companies to pay cash compensation for buildings and land given up for redevelopment. Such an approach would enhance the financial feasibility and transparency of redevelopment projects.