In the new model of real estate development in China, the core concept is to adhere to the residential attributes of housing and reject speculation. The government seeks to ensure a dual approach managed by both the government and the market by perfecting the housing supply system of “market + guarantee,” thereby meeting both the basic housing needs and diverse residential requirements. The philosophy of housing supply will gradually transform to create a housing system that equally emphasizes renting and buying, committing to providing citizens with high-quality residential space in the process.
To achieve this goal, it is imperative to construct a brand-new real estate mechanism. First, an effective synergy of elements such as “people, housing, land, money” is needed, promoting the scientific allocation of resources to achieve the goals of people-oriented housing, housing-oriented land, and housing-oriented finance. Secondly, comprehensively improve the full lifecycle management system from the development and construction to the maintenance and use of houses, reform foundational systems such as housing development, financing, sales, promote the sale of existing houses, and establish systems like housing inspection, pensions, insurance for usage aspects.
On the execution level, the government will focus on two main points: The first is to plan and construct affordable housing, promote multi-functional public infrastructure that can be used both in normal and emergency situations, and the transformation of urban villages. These measures serve to provide benefits to the people, representing strategies for development and transformation. The second is to vigorously promote the construction of high-quality housing, meaning that all types of residences, regardless of size and price, should meet high standards of quality to ensure that people live in comfort and safety.
Under the promotion of this new model, real estate companies face the challenges of high-quality competition, the application of new technologies, and the provision of high-level services. Those companies that seize the opportunity to transform and upgrade, build good houses for the public, and provide high-quality services will stand out in the market, obtaining opportunities for continuous development and laying a solid foundation for the future.
When dealing with real estate companies that are seriously insolvent and unable to operate normally, appropriate measures should be taken according to legal and market principles.
For real estate companies that are insolvent and have lost their operational capacity, actions must be taken based on principles of rule of law and marketization. Once it is determined that they need to go bankrupt, they should be processed for bankruptcy; for those enterprises that still have the possibility of restructuring, restructuring should be implemented. In addition, acts that harm the interests of the public will be strictly investigated according to the law, ensuring that the responsible parties bear the corresponding responsibilities.
