Guangzhou Municipal Government issued yesterday an official guidance to increase local property and land supply and to enhance housing administration favorably for medium and low income earners, Guangzhou Daily reports.

It is an approach to implement the recent "Seven Policies of Property Market Administration in Guangzhou".

Developers are encouraged to take part

The Guidance encourages developers by bidding, for the first time in Guangzhou, to invest and develop four new communities. It targets building ten more communities by 2008.

Guangzhou Government is bound to offer some favorable taxation, polices, services and other incentives to those developers who invest to construct and to market budget housing within this and next year.

More land supply and budget

Guangzhou authority is committed to increasing land reserves for housing development, especially in the new towns and counties, according to the Guidance.

It guarantees to provide at least five square kilometers of land for housing in each district and county annually in three straight years from 2007.

It also promises to substantially raise the government's budget for land reserve funds.

Idle and old properties

The Guidance said some 15,000 idle (or uninhabited) apartments are to be put on the market this year.

More effort will be made to renovate or improve blocks of old and deficient housing properties in 2007.

Editor: Yan