One of the most beautiful and visited areas of Beijing will be protected from major development after a decision by the Beijing Municipal Commission of Urban Planning.

The commission posted online a "planning control" for the Xiangshan (Fragrant Hills) area on June 2, stating it cannot be used for large-scale real estate development.

The area northwest of Haidian district is famous for the scenic Fragrant Hills beauty spot, which attracts tourists from both home and aboard, especially during the "Red Maples Festival" each autumn.

The area covers 19 sq km and is framed by Mentougou village and the Fifth Ring Road.

Chen Jianjun, office director with the Beijing Municipal Commission of Urban Planning, said the fact that the area is a scenic spot triggered the decision to protect it from large-scale real estate development.

"Except for some residential buildings for the local population, no commercial real estate development will be approved," Chen said.

Zhang Dawei, director of the research department at Centaline Property Agency Ltd, said the area has an interesting past.

"The existing villas were built decades ago for some high-profile national leaders," Zhang said.

According to the plan, the area will mapped according to its use - either greenspace, residential, administrative or public service facilities.

Buildings will also be kept low in the neighborhood with regulations stipulating that they must not top 18 meters. In some parts of the neighborhood, they will not be allowed to rise above six meters.

"A new subway line connecting this area to the network will start operating at the end of 2011," Chen said, suggesting it would put pressure on the area because it will be easier to commute into Beijing and therefore become a more desirable place to live.

"The major principle for this planning is 'progressive development' which emphasizes the sustainable development of this area," Chen said.

"We have to reserve some land for our future development; if we leave everything up to the market, real estate developers will drain the land resources to develop various projects within just a few years."

However, the change in planning will not have an immediate impact because it will take time before development on the ground reflects the long-term plan for the area.

"For example, we reserved a piece of land in Wukesong, Haidian district as early as in the 1950s, but it was not until 2005 that the government decided to build a stadium on it," Chen said.

"Based on the principles we have developed, the local government may revise some of our terms to match their needs at the time," Chen said. "Beijing is growing so fast, we might need to adjust our plans according to the changing urban development planning rules."