Skip to content

China Seeks to Ensure Frozen Assets Won’t Impede Home Building

  • Court-ordered freezes may hurt construction during cash crunch
  • Completing homes remains the top priority, researcher says

Chinese regulators urged local authorities to ensure home building isn’t impeded by creditors’ requests to freeze developers’ assets held in escrow accounts. 

The supreme court, housing ministry and central bank issued a joint notice last week calling on local governments to make sure proceeds from home presales can be withdrawn from supervised accounts for project construction if approved, even after they have been frozen by courts. A copy of the Jan. 13 notice was posted on the WeChat account of Xiangyang city’s real estate association.