STRINGENT controls over the development of luxurious buildings are to free funds and land for ordinary residential and farm use.
No more new projects involving deluxe residential buildings, villas, apartments, offices or hotels can be set up or begin construction this year, while new golf courses, model antique towns and amusement parks will be strictly banned, a State Council circular said.
The notice said ordinary residential housing projects had been strapped for cash, as funds were transferred to high-end property development.
The supply of high-class property in certain areas and cities has exceeded demand, Xinhua (the New China News Agency) quoted the circular as saying.
The State Council blamed luxury property development for creating social problems. In some cities, massive migration caused by realty development triggered chaos because of resettlement difficulties.
Under the new rules, central Government and state property projects involving more than 100,000 square metres or a total investment of more than 200 million yuan (about HK$186 million), and all real estate development projects in Beijing, have to be approved by the State Planning Commission.