China's urban housing system reform has made substantial progress since 1998, with the successful commercialization of property, Vice-Premier Zeng Peiyan said here Monday at a national real estate working conference.

Every year 10 million urban families improved their housing conditions and in 2002, the urban residential area per capita reached 22.8 square meters, Zeng said.

He added that the total amount of urban residential construction had increased, and commercial housing quality was improving with better materials and environments.

However, Zeng acknowledged that housing investment in some areas had become overheated and relevant supervisory systems still needed to be improved.

The State Council had issued a notice to support the growth of affordable homes, limit the construction of luxury homes and strengthen the management of welfare housing.

Officials noted that the government would take practical measures to ensure enough standard commercial homes for most Chinese families to purchase or rent. In areas abounding in luxury villas, the government would check construction by controlling the supply of land, halting approval, and instituting stricter sales conditions.

(Xinhua News Agency September 2, 2003)