Beijing is cracking down on housing speculation in its eastern Tongzhou District, soon to be a subsidiary administrative center for the capital, after recent price rises and false advertising by developers.

In a recent law enforcement campaign, the district's government authorities asked two real estate companies to correct their advertising claiming that housing prices will rise, said a district official.

Housing prices have been climbing up in Tongzhou as Beijing announced earlier this month it will move some of its city administration from the downtown center to the suburban district, where a new municipal subsidiary administrative center will be built.

The prices of some second-hand houses in Tongzhou have increased by 5,000 yuan (819 U.S. dollars) or more in the past two months, and housing sales have increased since May.

The district will strictly implement real estate market policies and crack down on irregularities, said an official with the district's housing administration.

Vice Premier Zhang Gaoli on Friday urged authorities to prevent housing speculation near the Chinese capital as the government pursues integrated development of Beijing and neighboring regions.

The construction of the subsidiary administrative center is part of Beijing's plan to deal with its own "urban ills" such as traffic congestion and to implement the integrated development strategy.

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