[photopress:property_Paul_D_Mackenzie.jpg,full,alignright]This long but readable report on Urban Real Estate Law by Paul D. McKenzie can be accessed by clicking on Source.
Article 42 of the Property Rights Law allows for the expropriation of private property in the public interest in accordance with the authorization, and following procedures provided by law.
The Regulations for Administration of the Removal of Urban Houses, enacted by the State Council in 2001, previously governed expropriation, but these were made unenforceable upon implementation of the Property Rights Law. Accordingly, there are currently no laws detailing what authority is required and what procedures are to be followed for the expropriation of private property.
To remedy this, on August 30, 2007, the Standing Committee of the National People’s Congress amended the Law on the Administration of Urban Real Estate in order to authorize the State Council to promulgate detailed rules concerning expropriations.
The amendment also states that the owners of expropriated real estate are entitled to compensation. Where the expropriated real estate is a residence, the amendment guarantees the ‘residential conditions’ of the displaced owners following resettlement.
These rules need to be implemented which makes prediction difficult but one likely change over existing rules is an increase in relocation costs that will need to be borne by developers.
There is much, much more in this coverage and anyone involved in developing or real estate should read it.
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