China’s State Council has released its first national-level special plan for urban regeneration, covering the period of the 15th Five-Year Plan from 2026 to 2030. The plan signifies a shift in urban development policy, moving beyond institutional and mechanism-building toward a comprehensive, medium-to-long-term national strategy aimed at improving the quality and efficiency of urban living environments.

This development reflects China’s transition from rapid urban expansion toward stock-based urban renewal, focusing on upgrading existing infrastructure and enhancing residents’ quality of life. The plan, which has attracted widespread attention and public interest, outlines a detailed framework of goals, key tasks, and policy measures to support the construction of modern, people-centered cities.

The urban regeneration initiative aligns with priorities set forth by the Communist Party of China’s Central Committee and the State Council, particularly following the general offices’ guidelines issued last year. It seeks to institutionalize efforts begun during the 14th Five-Year Plan period, during which numerous local pilot projects laid groundwork for a more coordinated and market-oriented approach. The new plan enhances the overall policy architecture, aiming to promote long-term effectiveness and sustainable urban renewal.

Notably, the plan introduces quantified targets to measure progress, marking a key development in the government’s approach to urban regeneration. Among these targets are renovating 500,000 dilapidated residential units by 2030, initiating renovations in 115,000 aging residential communities, upgrading 1,500 old neighborhoods and factory compounds, reconstructing 365,000 kilometers of underground pipelines, and restoring 15,000 historic buildings. These benchmarks provide clear metrics to assess the plan’s implementation and impact.

The strategy adopts a people-centered approach while also addressing broader economic objectives such as expanding domestic demand, boosting investment, and enhancing consumption. It sets out six major tasks and 14 flagship projects focused on improving housing quality, revitalizing aging communities, and developing complete neighborhoods that foster livability. Simultaneously, it emphasizes transforming underutilized urban resources—including idle factories and office spaces—promoting industrial upgrades, and strengthening consumption infrastructure to generate new growth drivers.

A dedicated chapter in the plan outlines reforms and innovations needed to sustain urban regeneration efforts. It tackles challenges related to implementation mechanisms, financial support, land use regulation, building safety, stakeholder participation, legal frameworks, and talent development. The objective is to create an integrated and efficient policy system conducive to steady, compliant, and effective urban renewal.

Market analyses estimate that the urban regeneration sector could exceed 15 trillion yuan (approximately $2.22 trillion) during the five-year timeframe, underscoring the initiative’s potential economic impact. The urban renewal projects are expected to yield tangible benefits such as improved housing conditions, safer and more vibrant communities, enhanced green and recreational spaces, and more dynamic urban economies.

As the plan is put into action, China’s cities are poised to make significant strides toward becoming modern, innovative, and resilient urban centers. By fostering urban environments that are both people-oriented and economically sustainable, the government aims to elevate urban living standards and reinforce the long-term competitiveness of Chinese cities.