Special-Bond Land Repurchases Hit RMB407 Billion; Shenzhen Plot Resold at RMB7.045 Billion

As of end-July 2026, local governments had planned to repurchase and reclaim idle stock land using special bonds worth more than RMB810 billion, of which approximately RMB407 billion had actually been issued, representing about 50% of the planned scale. Since the start of 2026, cumulative issuance of special bonds tied to the repurchase and reclamation of idle stock land reached RMB102.6 billion, accounting for approximately 4.4% of total new local-government special-bond issuance.

By province, Guangdong, Fujian, Hunan, Jiangsu and Chongqing were the five largest issuers as of end-July, with RMB68 billion, RMB40.9 billion, RMB39.6 billion, RMB39 billion and RMB35.8 billion respectively. All five are pilot jurisdictions for the self-review and self-issuance of special-bond projects, where delegated approval authority has improved decision-making efficiency.

The operational models adopted by localities for repurchasing and reclaiming idle stock land have grown increasingly composite, moving away from simple buyback toward combinations such as repurchase plus planning adjustment plus resale or repurchase plus construction of affordable housing, in order to close the funding loop. For example, Shenzhen repurchased a plot in Longcheng Subdistrict, Longgang District, for RMB6.8 billion in 2025 and, after adjusting the planning indicators, successfully resold the plot at RMB7.045 billion in May 2026.