Shandong to buy unsold homes amid property downturn

Beijing

CHINA'S government this year has bought up stocks to stem an equities rout, orchestrated a debt swap for local government to switch loans into bonds, and spent reserves to support the yuan. Now, a provincial government is stepping in to the property market to snap up unsold homes.

An eastern coastal province will buy small and medium-sized residential properties and convert them into public rental homes, according to a Shandong government statement dated Sep 1 and posted to its website on Monday. The government will also purchase or lease commercial buildings that can't be sold for a long time and convert them into kindergartens and schools.