ILLINOIS REAL ESTATE JOURNAL: Passage to China - January 2, 2007


Tang says she's seen US companies barge into China without doing enough homework. One problem revolves around land usage rights. In China developers don't own the land, but rather the right to build on the land for a set time period. "Look at the land usage rights. There are granted rights or allocated rights. You might have paid less for the allocated rights compared to the granted. If you have granted rights, you can sell the usage to someone else. If it's allocation rights, only you have the usage. That's a very big thing that the investors need to watch out for," she says.


click here for full article