Pay attention to the new changes in land supply policies

Recently, the Ministry of Natural Resources and the National Forestry and Grassland Administration jointly issued the “Notice on Further Improving Natural Resource Element Guarantee” (Natural Resources Development [2026] No. 38). The document aims to facilitate the element guarantee channels for key projects during the 14th Five-Year Plan period, but it also involves significant changes to land supply policies, attracting market attention. How should the key points of this document be understood? If implemented according to the current version, what profound impacts could it have on finance, real estate, and urban investment?

First, let’s look at the four most critical policy breakthroughs in Document No. 38:

Key Point 1: Newly added construction land must not be used for commercial real estate development.

Article 10 states: “Priority will be given to ensuring land for major project construction and public welfare development, and, in principle, it will not be used for commercial real estate development.” This statement has attracted considerable attention in the market and has led to some misunderstandings. Several key concepts need to be clarified:

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