China residential land price up 8.6% in 2009

The Ministry of Land and Resources says residential land prices in 35 major Chinese cities rose 8.6 percent on average in 2009. The regulator says land prices for commercial buildings grew at a slower 5.5 percent, while industrial land prices rose 2.4 percent.

The report's release comes after land plots in major Chinese cities sold for record prices at auction, adding to concern that increased land prices have driven up the cost of houses. However, the land regulator argues that land prices have remained constant in recent years in China.

Zhang Wanli, Inspector Ministry of Land and Resources, said, "The land price nationwide increases at 5 to 6 percent every year in China and it is basically stable. "(OUT)