China tried to build a bunch of housing, but there were cost overruns and over leveraging by the developers. So China created some factors to keep developers in line with cost and balance sheet estimates. Some of the biggest (i.e., Evergreen) failed, and no one could step in to pick up the slack. What was intended to help the burgeoning middle class afford to live in urban settings has not worked out. Basically, you have to be fairly wealthy to buy a flat in the major cities. Oh, and a bunch of people lost their deposits in the process.
