Monday, June 24, 2002

A story released today by the Xinhua News Agency reports that Beijing’s housing market is now inundated with the new-concept tiny flats, which are selling like hotcakes. Some real estate experts predict this will be the wave of the future.

The targeted buyers for the solo flats are mainly youths of about 25 years of age who are unmarried, said Wu Si, the chief marketing officer of Xinglong Real Estate Ltd Co. Though they may not have save much money in the bank, they are bold consumers, long for a leisurely and free lifestyle with a considerable income.

The small-sized flats meet the fundamental needs of single youths who prefer a private living space, said Li Wanming, general-manager of Beijing Yinxin Luzhou Real Estate Co ltd, who shares Wu's opinion.

Flowing with requirements of the times, small-sized flats valued at about 200,000 yuan (24,000 US dollars) have emerged and have become a favorite of the youths who like to have their dwelling places somewhere between downtown and the suburbs, experts said.

The development of small sized flats demands three pre-conditions: First, the prices of the flats should range between 200,000-300,000 yuan with an average price of 6,000-7,000 yuan per square meter; Second, different from suburban villas and townhouses, dwellers in such flats want the convenience of the public transit system; Third, they do not require high-quality surroundings, according to Li Wanming.

Serving as transitional dwelling places, the tiny flats can never take over the mainstream of market, other experts argue. Their argument is that people feel rather cramped when their living space is too limited, although the average living space standard set by the municipal government is 18 square meters per person, which can meet the general needs of ordinary people for study, living and work.