Ownership Of Land In China

Article by Jonathan Keats, Norton Rose LLP

The real estate market in China has developed beyond recognition in the last 10 years, but real estate law in China remains very different to that in other countries. This article is intended to be the first in a series of articles exploring real estate issues in China and will focus on:

• the general nature of land ownership in China
• providing a brief overview of the land acquisition process where a developer is bidding to obtain
• land for development from the State.

Ownership of Land in China

China applies a system of public ownership to all land. As a general rule, land in urban areas is owned by the State and land in rural areas is owned by 'collectives' (rural collective economic organisations) and can only be used for agricultural purposes.