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Beijing residential land prices up 22% in Q1

By Zhao Tingting (chinadaily.com.cn)
Updated: 2008-05-08 17:37

Beijing residential land prices rose 1,279 yuan ($182.6) per sq m in the first quarter, up 22 percent year-on-year, according to the China Urban Land Price Monitoring System.

The China Urban Land Price Monitoring System is an affiliate of the Ministry of Land and Resources, releasing monitoring statistics on land prices in important regions and cities quarterly.

Price hikes have occurred in four categories of land, according to the system's statistics, including comprehensive-use land, commercial land, residential land and industrial land. Residential land prices grew the most, up 1,279 yuan per sq m, or 22 percent year-on-year.

"Despite weak housing sales, land prices remain high," said deputy director Mou Zengbin at the Beijing E-House R&D Institute.

About 42 plots of land, up from 10 during the same period last year, were put on the market in the first quarter, according to the Beijing Municipal Land Coordination and Reserve Center. Land transactions were also active, and one piece of land was sold for a record 1.74 billion yuan.

Urban land prices will keep rising and residential land prices tend to be stable, predicted the urban land price monitoring and analyzing team at the China Land Surveying and Planning Institute.

More land is provided in Beijing's suburbs, reducing the average land price to some extent, according to Mou. However, in actuality, residential land prices are on the rise. "Residential land prices seem stable, but prices in the suburbs are surging," he said.