Uh oh, from Investing in Chinese Stocks:

There will be few, if any, new ghost cities in the future because former Vice Minister of the Ministry of Housing and Urban Development, Qiu Baoxing, says leaders will be held accountable.

In his speech, Qiu noted that developing countries can not rely on speculation and land to get rich, land finance is a double-edged sword, used properly it may create ghost town. He explained that big cities like Guangzhou because attractiveness is relatively large, high demand, so it is not a ghost town, but some second and third tier cities, there are not many foreign population, city leaders to pursue drastic change to performance by making the surface of the town, resulting in Many ghost town appears.

Interview, he further explained that the local Party and government officials to form a ghost town of accountability. He said the destruction of the ecological environment is now clear that the responsibility for a life-long pursuit, if you only need to build a 500,000 square meters of the town, but they’re built 1.5 million square meters, the ghost town of behavior made damage to the environment, we also need to recover responsibility, “the central document has made it clear to those responsible prosecuted lifelong damage to the ecological environment, such as the city of 500,000 people actually need 50 square kilometers of land. If you built a 100 square kilometers, is the serious waste of resources and ecological destruction, should be investigated responsibility. ”

In making a keynote speech, Qiu believes that the future demand for housing will continue to decrease. He lists the data show that by the end of 2014 the average first-tier cities housing destocking cycle has exceeded 10 months, 30-50 months and third tier cities, while China’s current per capita housing area has reached 35 square meters, close to Japan and France. Qiu stressed that the future must be wary of “empty” and “ghost city” of emerging.