3 ms·

If apartments are so expensive shouldn't that drive more construction? I wonder why construction has slowed/stopped if the existing stock is renting at such hig

If apartments are so expensive shouldn't that drive more construction? I wonder why construction has slowed/stopped if the existing stock is renting at such high levels.

netheril96 9y ago
Because the government restricts the supply.
- apsec112 9y ago
  That's true in most of the West, but if there are a bunch of half-completed buildings lying around, it's probably not the explanation in China.
  - sjg007 9y ago
    Well half completed buildings are not worth anything if they can't be occupied?
seanmcdirmid 9y ago
You'd be surprised how much commercial real estate turned residential in Beijing illegally (e.g. Soho jianwai near guomao). I'm guessing there is a lot of residential supply, it just isn't on the market.