Wendy Zhang/ Shanghai Daily news

The government's macro-adjustment policy has taken effect in Shanghai's real estate market, with the area of land released by property developers declining for five consecutive months, according to the Shanghai Statistics Bureau, today's Youth Post reported.
From January to October this year, local real estate developers had invested a total of 93.544 billion yuan (US$11.27 billion), an increase of 21.6 percent from the same period last year. However, in order to put a lid on an overheated economy, the local government has restricted land supplies, with the land areas leased by developers declining for five months in a row. Only five million square meters of land had been leased in the first ten months of this year, down more than 50 percent from the previous year.
In the first ten months of this year, both the supply and demand in the local real estate market topped 20 million square meters. A total of 20.0647 million square meters of properties have completed construction, up 2.6 percent from a year before.
As it will take at least two years for the declining land supply to affect the market, property prices will not increase, said an industry analyst.