JJF [2015] No. 23

To all relevant units:

In order to implement the requirements of 'streamlining administration and delegating power to the lower levels' of the State Council and to improve the use efficiency of pre-sale funds for commercial houses, in accordance with the Supervision and Management Measures of Beijing Municipal Real Estate Pre-sale Funds (BMCC Law [2013] No. 11), and approved by the municipal government, this Notice on strengthening the use management of pre-sale funds for commercial houses in Beijing is as follows:

I. When the online contract area of pre-sale real estate projects is less than half of the permissible pre-sale area, real estate development enterprises can withdraw their own funds from the special account for construction.

The competent departments of housing and urban-rural development in all districts should strengthen their daily guidance and supervision. If they find that there are quality accidents in the pre-sale projects, delivery behind the schedule or risk of delivery behind the schedule, or serious violations of laws affecting the construction, they should suspend the withdrawal of funds from the special accounts of real estate development enterprises and handle affairs in accordance with the relevant provisions.

II. Real estate development enterprises should exempt supervision funds of the same amount with cash guarantees issued by non-regulatory banks.

III. The regulatory program of pre-sale project funds, regulatory agreements and changes should be publicized on the sales site. There is no need to indicate the regulatory banks or special account name and number on the pre-sale license. The relevant information can be publicized and made available on the websites of municipal committees of housing and urban-rural development.

IV. This notice will take effect as of the date of publication. The provisions for the use management of pre-sale funds are unchanged.

Beijing Municipal Committee of Housing and Urban-Rural Development

December 16th, 2015