CRI听力:Up-market Residences Crowd out Affordable Housing

The nation's real-estate industry has once again appeared at the forefront of public controversy. With more newly constructed residential areas labeling themselves as "star district" or "Central Business District" residences, the asking prices are higher than ever. Let's join Xiaohong to take a closer look.



In a residential area that recently opened for sales in downtown Beijing, posters and signs claiming "New CBD Legend" and "best of the best" can be found almost everywhere, proclaiming the superior state of the residences for sale.(www.hXen.com)

Sales officials say these flats are targeted at people who have the experience of at least two residential purchases in the past, and their potential buyers are "elite nuclear families."

"We had a Japanese designer do the environment for the whole area, our theme for this area is: New Asian CBD Legend."

This superior residence built for elite families is priced at over 30,000 yuan per square meter, largely beyond the normal purchasing power of most working-class people, which is at 6-10,000 yuan per square meter.

Producing and selling residences as "superior" and "the best money can buy" isn't only a Beijing trend. It seems prime real estate fever is taking over most big cities in China.

In South China's city of Nanning, prices per square meter in topnotch areas have grown from 4,000 to 12,000 yuan within just two years.

"Definitely too expensive, I can't afford it, I can only moan about it over a sign."

Industry experts say the "superior residences" are not in the reach of everyday working people, and are not even designed for those people. As the price for land is going up, costs for new buildings are increasing as well.

"It's actually hard to make their money back from sales of normal commercial residential buildings. So it's only reasonable for some of the developers to market their residences as superior and high class to attract big buyers."

Big buyers indeed - while ordinary local working people are moaning about the rising residential prices in Nanning, rich outsiders are purchasing houses by the dozen. On the opening of a new building, people coming from out of town to buy more than ten residences in Nanning is not unusual.

Industry experts say Nanning possesses huge business potential, especially with the China-Asia Expo holds there every year. The market potential made people invest in the city, including real estate, and this kind of market conditions will surely encourage real estate agents to fix their prices even higher, making it even more intolerable for the working class.

"There is a time and place for high-end products, but given the present situation, I think it's more proper for the government to appoint more land for housing aimed at low-income people rather than commercial residences targeted at sky-high prices."

The expert spoke for most people who aspire to owning a flat of their own. But under current conditions, general housing prices are still too high for them. How long will it be before their dream becomes possible? Only time will tell.

From China Drive, I'm Xiaohong.