Shanghai issues restrictions on enterprises making residential property purchases

HONG KONG: The housing authority in the Chinese city of Shanghai on Monday issued new rules restricting enterprises from purchasing residential property, in a move aiming at further curbing speculation in the real estate market.

The housing bureau said legitimate enterprise buyers have to meet the requirements including having establishments in the city for five years or longer, tax payment of at least one million yuan ($150,000) and hiring ten or more employees.

New rules will be effective from July 3.