Completed non-residential projects cannot be divided without authorization, and the future development trend of commercial projects is mainly self-sustaining, whole rent and whole sale.
With the further deepening of the regulation of the property market, "business to live" is also entering the scope of regulation.
Following Beijing’s ban on layered and separate sales of hotel projects in May 2010, the Beijing Municipal Commission of Housing and Urban-Rural Development recently issued the Notice on Strengthening the Registration Management of Houses in Completed Non-residential Projects (hereinafter referred to as the Notice), requiring that completed non-residential projects be prohibited from being divided without authorization. The industry believes that this policy has blocked the way out of "business to live" and has had a great impact on the psychology of developers.
Split bulk sales tightened again.
It is reported that according to the provisions of the Notice, the so-called completed non-residential projects, including commerce, office, supporting facilities, public buildings, supporting public buildings, non-supporting public buildings, comprehensive buildings, etc., should be operated and used in strict accordance with the housing design purposes approved by the plan, and unauthorized division is prohibited. If it is really necessary to change the layout of the house, the design and construction drawings should be re-issued by the design unit with corresponding qualifications without changing the purpose of the house planning and design, and reported to the construction drawing review agency for review in accordance with the regulations. If the housing division involves public parts, it should also obtain the unanimous consent of interested owners.
It is understood that due to the booming residential market in the past two years, commercial real estate is relatively depressed, and the cost of commercial land is low. Many developers take risks and divide non-residential projects into residential scattered sales, so they also make a lot of profits. However, the "commercial change to living" has many disadvantages. With the deepening of regulation, the "commercial change to living" products have also entered the scope of regulation.
As early as May last year, the Beijing Municipal Commission of Housing and Urban-Rural Development had issued the Notice on Strengthening the Sales Management of Hotel Projects, requiring that hotel projects should not arbitrarily change the nature and planned use of the project land, and should not be divided and transferred without approval. Moreover, the document also clarifies that hotel projects that have obtained the right to use state-owned land through transfer after May 31, 2010 are not allowed to be sold in layers or sets (rooms).
The industry believes that the "Notice" is a continuation of the hotel’s change of residence in May last year. At that time, the government stated that it would take normative measures for commercial, comprehensive land and other projects to change residence after the hotel. Hotel projects are only a category of commercial change, and the scope of this new policy has been extended to all non-residential projects, which can be described as a comprehensive "blocking".
The way out of "business to live" is blocked
It is reported that the policy was promulgated on November 8, 2010 and officially implemented on December 1, 2010. During the interview with reporters, many developers said that they were waiting for the Municipal Commission of Housing and Urban-Rural Development to issue further implementation rules, and this month they were in the period of policy digestion and wait-and-see.
A developer of a state-owned enterprise in Beijing told reporters that if the "business to live" is to be sold separately, the products will be reported to the Beijing Municipal Commission of Housing and Urban-Rural Development before construction, and the construction plan of the project will be approved, and the units will be basically divided, and the pre-sale will be carried out according to the divided units. After completion, the divided real estate license will be obtained as planned, and there should be no problems in the formalities. Moreover, most of the "commercial-to-residential" projects in the market will be divided at the beginning of planning and construction. This policy affects that houses that have obtained property certificates after completion want to change their planning and sell them separately.
Chen Yunfeng, secretary general of China Real Estate Professional Managers’ Union, believes that the new notice has blocked the way out for "changing business to living". "For example, some shopping malls were originally commercial when the project was established. After the completion, developers first got property right card. If they want to’ change their business to live’, they will be divided into many houses for residential sale. At this time, surveying and mapping must be carried out, and surveying and mapping is a necessary condition for handling property certificates. This link is stuck, and the completed non-residential projects still want to be sold as houses, so there is no way out. "
Although it affects the completed "business to live" project, it also has a big impact on the psychology of developers.
"In the future, the policy risk of doing business and changing to living projects will be further increased. The trend of commercial projects is mainly self-sustaining, whole rent, whole floor or whole building sale, which tests the financial strength of developers," said one developer.
■ market follow-up
The items on sale are not affected.
At present, there are still many "business-to-residence" projects on sale in the Beijing market, and because they are non-residential projects and are not restricted by the residential purchase restriction policy, they can still buy them with a down payment of 50% and an interest rate of 1.1 times.
"After the announcement, we attach great importance to it, and we don’t know whether the project we are selling will have an impact." A developer in Yizhuang told reporters that peers are generally not clear. Because many companies have a lot of things at the end of the year, they have to wait for the notice from the Municipal Housing Construction Committee. It is understood that due to the positioning of Yizhuang Economic Development Zone, there is very little residential land in the core area of Yizhuang. At present, most of the land for sale in the regional market is commercial and industrial land.
The above-mentioned developers admit that many property buyers are not very clear about the new policy, and there are few customers who ask during the purchase.
Yesterday, the reporter called the Xishan International City project in Fushi Road, Haidian as a buyer, and asked whether the "prohibition of unauthorized division of completed non-residential buildings" would have an impact on the purchase of commercial and residential buildings. The sales staff of Xishan International City project said that they did not know about the new policy on commercial and residential buildings, but only knew that there was a restriction on changing businesses to live in May last year to ensure that the project would not be affected and that buyers could get independent houses. It is reported that the Xishan International City project is a LOFT project with 40 years of property rights.
Yesterday, the reporter also called Daxing No.1 Commercial Project to establish a 50-year property right project. The person in charge of the project told the reporter that the project was approved for construction and sales before the introduction of the policy, which can ensure that the purchaser can get an independent property right certificate and has no impact on the approved project.
It is more difficult to approve the projects to be built.
It is reported that the "Notice" has been implemented since December 1 last year, and hotel projects that took land after May 31 last year have long been banned from selling. A number of restrictive policies of "changing business to living" have been introduced, which also has a great impact on the projects to be approved and built.
According to a non-residential project developer who just applied for the pre-sale permit, the project has been adjusting its planning, so the pre-sale permit was delayed for a long time before it was taken down. Originally, the project wanted to do LOFT, but now the LOFT project of commercial and residential buildings is basically not approved, and finally only the small apartment of Jianping floor can be built.
Previously, it was not feasible to make LOFT for residential projects due to factors such as storey height. Now, even for commercial projects, it is very difficult to make use of the advantage of storey height to make LOFT products, and the approval of "commercial change to residence" is obviously more difficult.
The developer said that although the "Notice" regulates the behavior of "commercial change to residence" of completed non-residential buildings, it has also become a weather vane, and the approval of "commercial change to residence" will become more and more strict in the future.
■ Prospects
Developers will be more cautious about taking commercial land.
Although the New Deal has affected the completed project of "changing business into residence" for houses with property certificates, the policy of "changing business into residence" was introduced twice in one year, which also had an impact on developers’ investment in land acquisition.
A developer of a state-owned enterprise in Beijing told reporters that the policy of strictly managing the "business-to-residence" project and encouraging self-sustaining is reflected from the prohibition of scattered sales of hotel projects to the prohibition of unauthorized division of completed non-residential buildings. At present, several large commercial projects in Beijing, such as Zhongfu plot and Dawangjing plot, require developers to be self-sustaining. Self-sustaining business requires high financial strength of developers. If it cannot be sold, only large developers will have the strength and management ability to take commercial plots.
Previously, many developers avoided the competition of popular residential plots, and made a lot of money by selling commercial plots as lofts. At present, taking commercial plots for housing should consider policy risks, and also consider whether the products you want to make can be successfully approved. Commercial plots have always been cold, and it will be even colder if they cannot be sold as houses.
A Daxing developer said that commercial and residential buildings are also a product needed by the market. Commercial and residential buildings can register enterprises, work and live, which is a good choice for small and medium-sized enterprises. This product cannot completely disappear, and the market continues to have demand, and developers will continue to take land to make this product. However, in land acquisition, more consideration must be given to meeting the requirements of office and residence, rather than simply how to change commercial buildings into residential buildings.
Some of the "Business-to-Housing" Projects on sale in Beijing
(Unit: RMB/m2)
Average price of real estate name and location
500 meters south of No.1 Bridge of Majuqiao, Yizhuang, Hesheng World Village, 20000
Sanyuan International Apartment Room 37000, No.66 Xiaguangli, Chaoyang District
33000, No.69 Fushi Road, Haidian, Xishan International City
Zhonghong Beijing Pixel Wuliqiao, Chaoyang District, 23000-28000
Loft30150, northeast corner of Fengtai Shiliuzhuang Community, Shoukai Pomegranate School
Jinke Baden Holiday Changping Xiaotangshan Sanatorium, opposite the east gate, from 16000
38800, No.36 Guangqu Road, Shuangjing Chaoyang District, Shoucheng
■ Connection Construction Committee
Divided items for sale are not affected.
In view of the problem that buyers are most concerned about, whether the current purchase of "commercial change to residence" projects will be affected by the Notice, the person in charge of the Market Department of the Beijing Municipal Commission of Housing and Urban-Rural Development said that the object of the Notice is "completed non-residential projects", that is, the projects that have obtained the property right certificate can no longer be divided at will, but must comply with the relevant regulations of the state on fire control and carry out strict surveying and mapping.
"The notice will not affect the existing division of commercial projects, which is a policy to further standardize the market." The person in charge said that the items on sale that have obtained the pre-sale certificate are not within the scope of this specification. For example, he said, "For example, a commercial project was originally sold to a bank on the first floor, and the latter wants to divide it into small pieces and then sell it, but now it will be restricted."
This edition was written/reporter Yuan Yue from Zeng Hui