Tongzhou to be 2nd center to ease pressure

BEIJING, July 28 (Xinhua) -- Housing prices in Beijing's Tongzhou district remain steady, but have potential for growth after plans were announced to shift part of the capital's administrative functions to the suburbs. The move is expected to ease Beijing's infrastructure pressure and achieve balanced development.

Tongzhou district is the proposed solution to an overloaded Chinese capital. The Beijing Municipal Government earlier announced a plan to shift part of the city's executive organs to Tongzhou, to ease Beijing's congestion and spread good paying jobs. The local property market has caught on the quickest.

"Tongzhou ranked number one in Beijing in the sales of new homes. Meanwhile, there has been an appreciable increase in customer inquires since the announcement. Second hand home prices are steady, with about a 1,000 yuan per square meter increase in the first half of the year," said Wang Youmin, housing agent of 5I5J Estate Company. But the area's current lack of public resources means no surge in prices in the short term.

"We expect a five percent annual increase in housing prices in the coming three to five years. The price varies based on the amount of available public resources, like hospitals and schools. Currently there's a shortage," said Kong Dan, manager of 5I5J Market Research Center.

The issues are likely to be addressed in the coming years. Under the new plan, Tongzhou is expected to become an auxiliary capital to Beijing, with new infrastructure and research facilities.

The district is expected to shoulder part of the population pressure and show remarkable progress in two years’ time.

"Tongzhou's development as a second center is under thorough discussions. We aim to address severe 'urban diseases', such as traffic congestion and air pollution, and to establish a center that is scientifically planned and properly managed," said Li Shixiang, vice mayor of Beijing.

Tongzhou is the centerpiece to a mega-city plan integrating the cities of Beijing and Tianjin with Hebei province. The Jing-Jin-Ji region, as it is called, aims to revamp the economy.

Three highways are under construction, to address the transportation woes facing commuters. A subway and a light rail are also planned to open in three to five years.

(Source: CNTV)