Jiangsu encourages universities to buy commodity housing for dormitories

Jiangsu province is encouraging universities to rent or purchase commodity housing as a way to meet the shortage of dormitory beds and reduce the burden on the real estate market.

Recently, Jiangsu announced a three-year campaign to improve and expand student dormitories in provincial universities, which would provide a 30 percent financial subsidy to help universities buy housing in cities with lower prices. The plan will also reduce university leasing costs by giving a subsidy of 2,000 yuan ($298) per bed per year using existing social resources. The plan covers 75 universities in the province.

Prior to the plan, Jiangsu Normal University rented 1,256 residential apartments in the Wenting Yayuan community in Xuzhou. After renovations, these premises are expected to provide approximately 6,500 beds.

Since 2025, multiple universities in China have announced plans to purchase commercial housing for use as student dorms. Shenzhen University in Guangdong province expects to invest 530 million yuan to purchase an entire residential building in September.

A report from the Tongce Research Institute notes that China's postgraduate enrollment in 2025 rose by 31 percent compared with five years earlier, while the floor space of newly built dorms only increased by 18 percent over the same period. This mismatch is expected to lead to a widening supply gap for student accommodation in the coming years.

Song Hongwei, co-director of the institute, told media outlet The Paper that many universities are located in central urban districts or regional hubs where land resources are scarce, leaving little room for new construction. New construction would require substantial land and fiscal funding, both of which are in short supply. Another challenge is the lengthy construction cycle that takes a minimum of two to three years.