On April 11, the Zhejiang Provincial Construction Department and other departments issued the Guiding Opinions on Steadily Promoting the Pilot Work of Self-renewal of Old Urban Residential Areas (Trial Implementation). The Guiding Opinions were formally implemented on May 1 this year, and Zhejiang will promote the expansion of the pilot project. Yao Zhaohui, deputy director of Zhejiang Provincial Construction Department, said that the practice of self-renewal of old residential areas in cities and towns is of great significance to urban construction gradually entering the stage of stock renewal.
In recent years, the new construction area of the real estate industry has been declining, and the period of large-scale incremental construction of real estate has basically passed. Real estate has always been the key driving force for cement demand, and the downward trend of real estate investment has become the main reason for the decline in cement demand. Cumulative value and cumulative year-on-year ratio of
real estate development investment (100 million yuan,%)
& nbsp;
Data source: Cement Big Data (https://data.ccement.com/)
However, it is worth noting that as urban renewal enters the "stock era", the transformation of urban villages and old residential areas is giving birth to a large number of old demolition and new construction projects. There will be a stable demand for cement and other building materials. Ni Hong, Minister of Housing and Urban-Rural Development, said recently that the Ministry of Housing and Urban-Rural Development will promote urban renewal in an orderly manner in 2024, and another 50,000 old urban residential areas will be renovated nationwide this year.
However, due to the limited funds of local governments and the single source of funds for the renovation of some old residential areas, local governments began to explore new ways of "self-renewal". After the pilot project, some cities began to replicate and promote the successful experience.
Recently, "Hangzhou 548 households pay 500 million yuan to rebuild residential areas" is an example, which is different from the traditional government, "self-renewal" is financed by the owners, self-demolition, self-construction and self-renovation. Similar situations have occurred in many areas, such as the demolition of Building 2, Jicun Street, Huadu District, Guangzhou, which is the first dilapidated house renovation project in Guangdong Province financed by the owner and self-demolished and self-built; by June 2023, Changshu has approved and organized the implementation of "self-renewal" of 30 urban village units..
Industry insiders believe that the "self-renewal" model can not only speed up the transformation of old residential areas, reduce the financial burden of the government, but also hopefully stimulate a new round of investment and consumption in the construction industry and other industries.
