JJF (2017) No. 16

To units and departments concerned:

In order to deepen the supply-side structural reform of housing properties in Beijing, improve the housing supply system, standardize the construction and management of housing properties with co-ownership and meet the basic needs for housing, according to the Guiding Opinions of Developing the Policy-based Commercial Housing Properties with Co-ownership in the Pilot City issued by six departments and commissions including the Department of Housing and Urban-rural Development (JB (2014) No.174), the Municipal Commission of Housing and Urban-rural Development, Municipal Commission of Development and Reform, Municipal Bureau of Finance and Municipal Committee of Planning and Land and Resources Administration jointly formulate the Interim Measures for the Administration of Housing Properties with Co-ownership in Beijing. Upon approval of the municipal government, it is hereby printed and distributed to you, please implement them on an earnest basis.

Attachment: Interim Measures for the Administration of Housing Properties with Co-ownership in Beijing

Beijing Municipal Commission of Housing and Urban-rural Development, Beijing Municipal Commission of Development and Reform

Beijing Municipal Bureau of Finance, Beijing Municipal Committee of Planning and Land and Resources Administration

September 20, 2017

Attachment

Interim Measures for the Administration of Housing Properties with Co-ownership in Beijing

Chapter I General Provisions

Article 1 To deepen the supply-side structural reform of housing properties in Beijing, improve the housing supply system, standardize the construction and management of housing properties with co-ownership and meet the basic needs for housing, these Measures are hereby formulated according to the Guiding Opinions of Developing the Policy-based Commercial Housing Properties with Co-ownership in the Pilot City issued by six departments and commissions including the Department of Housing and Urban-rural Development (JB (2014) No.174), based on the actual situation in Beijing.

Article 2 The “Housing Properties with Co-ownership” as mentioned in these Measures refers to the policy-based commercial housing that is developed and constructed by the construction unit with the policy support of the government, sold at a price lower than the price level of commercial housing at the same location and with the same quality, and has limited rights of use and disposal, the ownership of which is hold by the government and the purchaser on a pro rata basis.

These Measures are applicable to the planning, construction, sale, use, withdrawal, supervision and management of the housing properties with co-ownership within the administrative area in Beijing.

Article 3 The Municipal Commission of Housing and Urban-rural Development shall be responsible for establishing a coordinating and promoting mechanism for housing properties with co-ownership in Beijing, especially for the establishment of the policy of housing properties with co-ownership, preparation of programming and planning and direction and supervision.

The Municipal Commission of Development and Reform, Municipal Bureau of Finance, Municipal Committee of Planning and Land and Resources Administration, Municipal Civil Affairs Bureau, Municipal Public Security Bureau, Municipal Human Resources and Social Security Bureau, Municipal Local Taxation Bureau, Beijing Housing Provident Fund Management Center and other departments conduct relevant work under their respective functions.

The District People’s Government shall be responsible for organizing the land supply, construction, ration and sale, use, withdrawal, supervision and management of the housing properties with co-ownership within its own administrative area.

Article 4 The Municipal and District Commissions of Housing and Urban-rural Development (Housing Management Departments) shall ensure that the professional operation and management agency for indemnificatory housing shall hold the share of government in the housing property with co-ownership on behalf of the government, and perform management services on a detailed basis according to relevant provisions and contractual stipulations (hereinafter referred to as the “Nominal Holding Agency”). The management provisions on decisions, operations and funds of the Nominal Holding Agency shall be otherwise established by the Municipal Commission of Housing and Urban-rural Development in conjunction with relevant departments.

Chapter II Planning and Construction

Article 5 The Municipal Committee of Planning and Land and Resources Administration and the Municipal Commission of Housing and Urban-rural Development shall reasonably arrange the construction land for housing properties with co-ownership based on the conditions, including the demand of housing properties with co-ownership in Beijing, urban and rural planning implementation and present situation of land use and economic and social development level, which shall be separately listed in the annual land use plan and the land supply plan and given priority for supply.

The people’s government in all districts shall reasonably arrange the land for housing properties with co-ownership based on the demand of the housing properties with co-ownership and other situation so as to meet the housing needs of eligible resident households and key professionals in their own districts, in which the housing resources for the housing needs of households working in the districts and not registered in Beijing shall be not less than 30%.

The Municipal Commission of Housing and Urban-rural Development may allocate the housing resources as a whole from the new urban development zone to promote the dispersal of population in the central urban area based on the demand of housing properties with co-ownership in the urban central area and land shortage situation.

Article 6 For the construction project for housing properties with co-ownership, the selection of project site shall be made according to the requirements of urban and rural planning, based on the urban functional orientation and industrial layout, and the priority shall be given to the area with convenient transportation in which the supporting facilities including public service facilities and municipal infrastructure are relatively complete, so as to promote the reasonable matching between employment and residence and facilitate the job-housing balance.

Article 7 For the construction land for housing properties with co-ownership, the construction unit may be selected on a optimal basis, based on the principle of competitiveness, preference and equity, by applying several ways of transfer, such as “limiting housing price, competing in land price” and “comprehensive bidding”, and the commitment system for construction standard and construction quality shall be implemented.

Article 8 The Municipal Commission of Housing and Urban-rural Development shall formulate the technical guide on construction of housing properties with co-ownership in conjunction with the Municipal Committee of Planning and Land and Resources Administration. If the construction standard promised by the development and construction unit is higher than the standard as set forth in the technical guide, the relevant management department shall audit and check the planning and design proposal according to the promised standard and conduct daily supervision according to laws.

The house type of housing properties with co-ownership shall be mainly the small and medium-sized dwelling units, with reasonable functional layout of dwelling design, which effectively meets the living demand.

Chapter III Auditing the Ration and Sale

Article 9 The households which apply for purchasing the housing properties with co-ownership in Beijing shall meet the following conditions:

(I) The applicant shall have full capacity for civil conduct, and the member of household making application shall include the husband and wife, and their underage children. If the single-person household makes application for purchasing, the applicant shall be over 30 years old.

(II) The household making application shall meet the housing restrictions in Beijing and the family members have no housing in Beijing.

One household shall purchase only one set of housing properties with co-ownership.

Article 10 If the households making application meet the conditions as set forth in Article 9 of these Measures, but any one of the following circumstances occur to them, they shall not apply for purchasing the housing properties with co-ownership:

(I) The households making application have signed the housing purchase contract or indemnification agreement for expropriation (demolition) housing.

(II) The households making application have housing transfer records in Beijing.

(III) Either party of the couple, who owns a house, separately makes application after the divorce, and the time point of application is less than three years from the year of the divorce.

(IV) The households have illegal construction, and when making application, they fail to remove illegal buildings, structures or facilities.

If the households making application purchase the housing properties with co-ownership after leasing the public rental housing, public-owned housing (including directly-managed and self-controlled public housing etc.), they shall promise in writing that they will vacate from the leased house before online signing the house purchasing contract.

Article 11 The ration and sale of housing properties with co-ownership shall be organized and implemented by the commissions of housing and urban-rural development (housing management departments) in all districts and the house resources shall be, on a preference basis, allocated to the households having no house that are registered in the district of the project or work in the district of the project and are registered in other districts in Beijing, as well as the households having no house that are not registered in Beijing but meet the housing restrictions in Beijing and work in the district of the project.

Wherein, the specific conditions to apply for purchasing housing properties with co-ownership towards the households having no house that are not registered in Beijing shall be determined and published to the society by the people’s governments in all districts based on the functional orientation, development direction and other actual situation in their own districts.

Article 12 The subscription of housing properties with co-ownership shall be made online, and the specific procedures are as follows:

(I) Online notice. After obtaining the return letters of project planning schemes, the development and construction units shall submit the application for opening online subscription to the commission of housing and urban-rural development (housing management department) in the district of project, and the opening of online subscription shall be allowed upon audit and approval and the announcement for the project will be released; the period of online subscription shall be not less than 15 days.

(II) Online application. The eligible households may make application for purchasing the house by logging in the official website of the district commission of housing and urban-rural development (housing management department) during the period of opening online subscription for housing properties with co-ownership, online filling in the Application Form for House Purchasing of the Family and the Letter of Commitment and truthfully reporting the family members, household registration, marriage, housing and other situation, and prepare relevant supporting materials according to the conditions as stipulated in these Measures and project announcement.

(III) Networking audit. The Municipal Commission of Housing and Urban-rural Development, in conjunction with Public Security Bureau, Local Taxation Bureau, Human Resources and Social Security Bureau, Civil Affairs Bureau, Real Estate Registration and other departments shall audit the qualification of purchasing house for the households making application through the qualification auditing system of housing properties with co-ownership in Beijing, within 20 working days upon expiration of subscription period, and the District Commission of Housing and Urban-rural Development (Housing Management Department) shall audit the employment of the households making application in the district. The households that are approved upon auditing may obtain the application code.

The households making application may inquire the results of qualification audit by logging in the official website of the District Commission of Housing and Urban-rural Development (Housing Management Department). In case of any objection to the audit results, they may apply for review to the District Commission of Housing and Urban-rural Development (Housing Management Department) by holding relevant supporting materials within 10 working days upon completion of qualification audit.

Article 13 The District Commission of Housing and Urban-rural Development (Housing Management Department) guides and supervises the development and construction units to conduct the ration and sale by way of lottery. The procedures are as follows:

(I) List of lottery. The District Commission of Housing and Urban-rural Development (Housing Management Department) shall make priority grouping according to the job-housing balance, family members and other factors to determine the list of lottery family and publicize such list to the society on its official website.

(II) Ration and sale by way of lottery. After obtaining the pre-sale permit or handling the registration of ready-house sale, the development and constriction units of housing properties with co-ownership shall conduct public lottery to the eligible family making application under the guidance and supervision of the District Commission of Housing and Urban-rural Development (Housing Management Department) so as to determine the order of selecting the house. Unified lottery software in Beijing shall be used for lottery. The result of lottery shall be publicized on the official website of the District Commission of Housing and Urban-rural Development (Housing Management Department) and sales site for 3 days.

(III) Selecting house by order. The development and constriction units shall release the announcement of selecting the house at the sales site and on the on the official website of the District Commission of Housing and Urban-rural Development (Housing Management Department) 5 working days in advance, specifying the time, place, lot arrangement etc. of selecting the house. The family shall select the house according the order as determined by the lottery; if the family waives the selection of house, the subsequent family shall fill vacancies in the proper order.

(IV) House-purchasing confirmation. The development and constriction units shall audit the application materials provided by the family selecting the house at the site of selecting the house and retain relevant copies, and in case of eligibility, shall submit the same, together with the online printed the Application Form for House Purchasing of the Family and the Letter of Commitment upon signature of the family making application to the District Commission of Housing and Urban-rural Development (Housing Management Department) for review. Upon approval through review, the family selecting the house may sign the house-purchasing contract.

Article 14 The family making application may apply for other project by virtue of obtained application code, and when making application, it shall log in again the official website of the District Commission of Housing and Urban-rural Development (Housing Management Department) to activate the application code. In case of any change to the situation of family making application, it shall timely make changes by logging in the website. The Municipal and District Commission of Housing and Urban-rural Development (Housing Management Department) shall re-audit the same according to the provisions,

The family making application waives the selected house or fails to sign the house-purchasing contract after selecting the house, for accumulative twice or more, it shall not apply for purchasing the housing properties with co-ownership again within 3 years.

Article 15 The lottery of the housing properties with co-ownership, process and result of selecting the house shall be notarized by the notary organization according to law in the whole process, which shall be actively accepted to be supervised by the Deputy to the People's Congress, CPPCC members and news media and supervised on site by the public invited.

Article 16 In case of surplus of the house resources upon the open selection of the house, the development and constriction units shall release the by-election notice on the official website of the District Commission of Housing and Urban-rural Development (Housing Management Department) according to the stipulated procedures and organize other lottery families to select the house in turn.

In case of still surplus for the house resources after 6 months upon by-election of the house conducted by the development and constriction units, such surplus shall be allocated as a whole to other districts by the Municipal Commission of Housing and Urban-rural Development.

Chapter IV Co-ownership Provisions

Article 17 The average sale price of housing properties with co-ownership shall be lower than the price of common commercial housing at the same location and with the same quality, which shall be comprehensively determined by taking the factors including the affordability of family purchasing the house into account, on a basis of project development cost and appropriate profit. The average sale price shall be specified in the documents of land supply.

The development and constriction units shall determine the sale price of each house with the price-float range of ±5%, based on the average sale price and the factors including the house floor, direction and location.

Article 18 The purchaser’s property share shall be determined by reference to the proportion of the average sale price of the project to the price of common commercial housing at the same location and with the same quality; the government’s property share, in principle, shall be held by the nominal holding agency at the district-level of the project and also held by the nominal holding agency at the municipal level.

Article 19 The average sale price of the housing properties with co-ownership and the proportion of co-ownership share shall be respectively assessed by the real estate appraisal agency entrusted by the nominal holding agency before marketing the land for the project of housing properties with co-ownership and selling the house, and shall be audited and determined by the Municipal Commission of Housing and Urban-rural Development in conjunction with the Municipal Commission of Development and Reform, Municipal Bureau of Finance and Municipal Committee of Planning and Land and Resources Administration. The result of assessment and determination shall be publicized to the public.

Article 20 In case the family making application selects the housing properties with co-ownership, the couple, as the co-owner of property share of the purchased house, shall jointly sign the tripartite house-purchasing contract with the development and construction unit and the nominal holding agency, and their underage children shall be their house mate.

The house-purchasing contract shall specify the co-ownership share, maintenance of house, restrictions on rent and transfer and other contents.

The model text of trading contract of housing properties with co-ownership shall be formulated by the Municipal Commission of Housing and Urban-rural Development in conjunction with the Municipal Industrial and Commercial Bureau.

Article 21 In case of purchasing the housing properties with co-ownership, the purchaser may apply for housing fund and housing loan provided by the commercial banks according to the loan provisions for policy-related house.

Article 22 The development and construction unit, purchaser and the nominal holding agency shall apply for registration of the real estate to the real estate registration department at the area where the house is located, according to the national and the municipal relevant provisions on real estate registration, and the nature of house property rights shall be the “housing properties with co-ownership”. After the registration items are recorded in the real estate register, the real estate registration department shall approve and issue the real property ownership certificate to the concerned party, and note names of co-owners, way of co-possessing and share of co-ownership and other contents at the column of remarks according to the provisions.

Article 23 If the purchased housing properties with co-ownership are used to be leased, the purchaser and the nominal holding agency shall receive the corresponding part of rental income according to their shares of property rights, which shall be specified in the house-purchasing contract.

The purchaser shall release the rental housing information at the network service platform established by the nominal holding agency at the municipal level, and the priority for lease shall be given to the family recorded in indemnificatory housing or meeting the house-purchasing conditions of housing properties with co-ownership. The specific implementation rules shall be formulated by the Municipal Commission of Housing and Urban-rural Development.

Article 24 If the purchaser of housing properties with co-ownership has obtained the real property ownership certificate for less than 5 years, it shall be prohibited to transfer the share of house property rights, and in case of transfer as required for some special reasons, it may submit an application to the original district commission of housing and urban-rural (housing management department) and the house to be transferred shall be repurchased by the nominal holding agency.

The repurchasing price shall be determined according to the purchasing price, taking the factors including depreciation and price level into account. The repurchased house shall continue to be used as the housing properties with co-ownership.

Article 25 If the purchaser of housing properties with co-ownership has obtained the real property ownership certificate for more than 5 years, it may transfer the share of purchased house property rights according to the market price.

(I) the purchaser shall submit an application for transfer to the original district commission of housing and urban-rural (housing management department), specifying the transfer price. Under the condition of the same price, the nominal holding agency may have the right of preemption.

(II) If the nominal holding agency waives the right of preemption, the purchaser may release the information on transfer of share of purchased house property rights on the networking service platform established by the nominal holding agency, and the transferee shall be other families meeting the purchasing conditions of housing properties with co-ownership. The nature of house property rights obtained by the new purchaser shall be still “the housing properties with co-ownership”, with the share of house property rights unchanged.

Article 26 The price of the house for which the nominal holding agency exercises the right of preemption, shall be assessed and determined by the entrusted real estate appraisal agency by reference to the surrounding market price.

If the transfer price proposed by the purchaser is significantly lower than the assessed price, the nominal holding agency shall repurchase the house to be transferred according to the transfer price proposed by the purchaser.

If the purchaser obtained other housing by way of purchasing, inheritance and endowment, its property share of housing properties with co-ownership shall be repurchased by the nominal holding agency. The repurchasing price shall be determined according to the provisions in Paragraph I.

The specific implementation rules for above matters shall be otherwise determined by the Municipal Commission of Housing and Urban-rural Development in conjunction with relevant departments.

Article 27 The purchaser and house mate of the housing properties with co-ownership shall use the house according to relevant provisions on house management in Beijing and as agreed in the house sale contract.

The purchaser of the housing properties with co-ownership and the nominal holding agency shall not transfer their owned property shares to others by way of division, and shall not transfer, lease and lend the housing properties with co-ownership on an unauthorized basis in violation of the provisions in these Measures.

If the purchaser and house mate transfer, lease, lend or pledge on an excess basis the housing properties with co-ownership without authorization, in violation of the house-purchasing contract, the nominal holding agency may require them to make correction according to the contract and investigate their liability for breach.

Article 28 The purchaser of the housing properties with co-ownership and the nominal holding agency may pledge their shares of house property rights owned according to law. The pledge finance of the nominal holding agency is used only for the construction, operation and management of the indemnificatory housing and shantytowns transformation in Beijing.

Article 29 The purchaser of the housing properties with co-ownership shall pay the special maintenance fund for the house in full according to the provisions on administration of special maintenance funds for commercial housing in Beijing.

Article 30 The property service charge of the housing properties with co-ownership shall be borne by the purchaser and shall be specified in the house-purchasing contract.

Chapter V Supervision and Management

Article 31 The real estate brokerage agency and its employees shall not provide services, such as transfer and lease of the housing properties with co-ownership in violation of provisions.

Article 32 The Municipal Commission of housing and Urban-rural Development shall establish the unified management information system of common property right housing in Beijing, to provide technical services for the construction, audit of application, sale and later management of the common property right housing.

Article 33 In case of violating Articles 10, 12 and 14, and if it is ascertained that the applicant fails to truthfully declare, change family household registration, family members, housing and marriage, counterfeits or provides false supporting materials, and promises to vacate from the leased public rental housing and public-owned house but rejects vacation within the stipulated period, it shall be prohibited to make application for all kinds of indemnificatory housing and policy-related house in Beijing within 10 years, which shall be disposed according to the following circumstances:

(I) If it has obtained the qualification, the District Commission of Housing and Urban-rural Development (Housing Management Department) shall cancel its purchasing qualification;

(II) If it has signed the contract, the development and construction unit shall terminate the house-purchasing contract with it and the family purchasing the house shall assume the economic and legal liability accordingly.

(III) If it has purchased the housing properties with co-ownership, the nominal holding agency shall order it to vacate from the house and collect the market rent during the occupancy period; after the house is vacated to the nominal holding agency, the nominal holding agency shall return the house payments.

Article 34 If the purchaser of housing properties with co-ownership and house mate violate the house-purchasing contract and refuse to make correction according to the requirements of nominal holding agency, the district commission of housing and urban-rural agency (housing management department) at the place where the house is located may order them to vacate from the house and they are prohibited to make application for all kinds of indemnificatory housing and policy-related house in Beijing within 10 years.

Article 35 If the applicant, purchaser, house mate, relevant entities and individuals violate the provisions as stipulated in these Measures, the administrative department shall integrate the relevant administrative decisions into the credit information management system in Beijing according to the national and municipal provisions.

In case of any violations of laws and regulations or behaviors of seriously breaching promises on the part of family members as recorded in the credit information management system in Beijing, the district commission of housing and urban-rural agency (housing management department) shall restrict such family to apply for purchasing the housing properties with co-ownership according to relevant provisions.

Chapter VI Supplementary Provisions

Article 36 The Municipal Commission of Housing and Urban-rural Development and District People’s Government shall construct and collect the housing properties with co-ownership within and around the key functional areas and industrial parks according to the demand of talents, so as to meet the housing needs of talents within such areas. The specific measures for construction, collection, application, ration and sale shall be otherwise formulated.

Article 37 The lease, sale and management of the sold owner-occupied commercial housing projects, before these Measures are implemented, shall be performed according to the original provisions.

After these Measures are implemented, in case of reselling the unsold owner-occupied commercial housing, price-restricted commercial housing, affordable housing and all kinds of policy-related house purchased by the government, the above sale shall be performed according to these Measures.

Article 38 These Measures shall be implemented as of September 30, 2017.

Copy to: the Housing Security Division and Real Estate Division under the Department of Housing and Urban-rural Development.

Printed and issued by the Office of Beijing Municipal Commission of Housing and Urban-rural Development on September 20, 2017