Two plots of land in the central Chinese city of Chengdu owned by heavily-indebted China Evergrande Group have been repossessed by the local government having been sat empty for around ten years, reports the South China Morning Post. The sites were acquired by a real estate development company under Evergrande in 2010 and 2011, according to two notices on the website of the Longquanyi Municipal Bureau of Planning and Natural Resources Chengdu.
“If the developer keeps the land and does not develop it, the land will become idle, which is objectively detrimental to local development. The government wants to sell the land in the hope of making the best use of it,” said Fu Yongsheng, a lawyer at Shanghai Brilliance Law Firm. Developers set up subsidiaries for projects after obtaining land from the government, he added.
The plots have areas of about 259,000 square meters and 84,000 square meters, respectively. The government notices said that construction on the land should have started in 2010 and 2011.