Real-estate curbs stall building of CCTV headquarters

The building of China Central Television's new headquarters in central Beijing has been suspended while the central government steps up checks on real-estate projects as part of its campaign to rein in the overheating economy.

The five billion yuan skyscraper, which would have towered over the central business district, was scheduled for completion in 2008 but the project had yet to receive State Council approval, Beijing sources said, despite having city government approval.

'We are still awaiting the green-light to start construction,' an official at the construction site said.

On CCTV's website, the broadcaster said the project received 'in principle' agreement from the State Council in January 2002.

Clearance work on the 187,000 square metre site - former home to the Beijing Auto plant - has been completed. In the 1990s, the site was valued at 350 million yuan but Beijing Auto was reportedly paid 1.4 billion yuan for it.

Property prices in the mainland's biggest cities such as Shanghai and Beijing have been on the rise, jumping at least 20 per cent in the past year and compelling the central government to launch a nationwide crackdown on excessive investment in the real-estate sector, including directing banks to restrict lending to developers.