Home buyers face squeeze as Shanghai curbs office-to-flats market

Beijing

A CRACKDOWN In Shanghai on commercial office projects converted into residential apartments will squeeze speculators, but could also hurt bona fide homebuyers already struggling with high prices and buying restrictions.

Some property developers in the city bought land zoned for commercial use as a cheaper alternative to plots meant for homes. Apartment blocks put up on these sites were consequently cheaper, and weren't regulated under home-purchase rules brought in to curb speculation and soaring prices.