(Yicai Global) Aug. 13 -- Shanghai will increase its supply of rental housing by providing 220,000 homes for letting by 2025, along with 200,000 dormitory beds, the city authorities announced today.

Shanghai will also provide 4,000 hectares of land for residential housing and 40 million square meters for commercial buildings, per its 14th five-year housing plan. 

The city will improve its policies in housing finance, support the development of housing rental agencies, expand financing channels and encourage private capital to invest in building rental property, as well as upgrading old residential communities.

The authorities also said the city will continue its efforts to prevent funds flowing illegally to the real estate market. Regulation of real estate brokerage agencies will be tightened and real estate financing risks will be prevented.

Housing deals have continued rising in Shanghai this year. Residential property sales climbed 23 percent to 6.7 million sqm in the first half, according to the city’s bureau of statistics.

Editor: Tom Litting