A Chinese homebuyer’s dream of owning an affordable apartment turned into a years-long nightmare after he discovered that the 34th-floor flat he had purchased did not exist because the building itself had only 32 floors.
A Chinese homebuyer’s dream of owning an affordable apartment turned into a years-long nightmare after he discovered that the 34th-floor flat he had purchased did not exist because the building itself had only 32 floors.
The man, identified by his surname Shen, from China’s northwestern Shaanxi province, purchased a 90-square-metre apartment in 2013 in a village near the provincial capital, Xi’an. The unit was advertised as being on the 34th floor and was priced at 2,646 yuan (about US$400) per square metre.
The apartment’s unusually low price—roughly one-third of the market rate at the time—was linked to its status as a property with limited property rights. These homes are part of a grey-market housing sector, often built illegally on collectively owned rural land without proper government approval.
Despite lacking legal protections, resale rights, and official recognition, such properties continue to attract buyers because of their affordability.
Shen paid an initial down payment of 117,700 yuan (approximately US$17,400) to the developer in 2013. According to reports, the developer assured him that all necessary certificates for the project would be obtained later, even though illegal developments cannot legally receive the full set of required approvals.
Under the contract, the developer promised to hand over the apartment in 2015. However, when Shen returned to his job in Beijing, he found that construction had not been completed by the agreed deadline.
Two years later, in 2017, the developer informed him that the building was finally ready and asked him to clear the remaining payment. Shen insisted that he would pay the balance only after receiving the apartment keys.
Months later, the developer informed Shen that the building containing his apartment had only 32 floors, meaning the 34th-floor unit he had purchased simply did not exist.
The company initially offered him an alternative apartment on the 32nd floor. However, Shen was unable to arrange the remaining payment at the time. Just two months later, he was told that the replacement unit had already been allocated to someone else.
With no apartment and no solution in sight, Shen applied for a refund. The developer claimed it lacked the funds to reimburse him and repeatedly asked him to wait.
Years passed with only partial repayments. In 2020, Shen received 20,000 yuan, followed by another 50,000 yuan in 2022. After that, the developer reportedly stopped responding to his calls altogether.
Frustrated, Shen sought arbitration through authorities in Xi’an. The arbitration commission ruled in his favour, ordering the developer to repay the remaining 47,700 yuan from his down payment, along with 27,000 yuan in interest.
The ruling further stated that the developer would have to pay an additional 47,000 yuan in compensation if it failed to settle the outstanding amount and interest.
As of May this year, he had still not received the remaining money. He subsequently took the matter to court, which issued a consumption restriction order against the debtor.
However, enforcement proved difficult because the debtor reportedly had no savings or property registered under their name.