How to Demolish Prefabricated Panel Houses
Prefabricated panel houses are not demolished comprehensively; instead, they are handled based on specific circumstances with a 'tailored approach, classified strategies,' prioritizing the demolition of houses that meet certain conditions, while strictly adhering to policy restrictions and assessment criteria.

Three Categories of Prefabricated Panel Houses Prioritized for Demolition
- Dangerous Houses with Structural Damage: Prefabricated panel houses assessed by professional institutions as Grade D dangerous houses must be demolished. The criteria for determining a Grade D dangerous house include foundation settlement exceeding 5 centimeters, crack widths in load-bearing walls greater than 1 millimeter, and seismic resistance levels below 70% of current standards. The structural safety of such houses has reached a critical state, and continued use may lead to severe accidents such as collapse.
- Houses Vulnerable to Natural Disasters: If the seismic resistance of a prefabricated panel house is below 70% of current standards or if it exhibits significant vulnerability during floods (e.g., low-lying terrain, poor drainage), it falls within the scope of priority demolition. Such houses are highly susceptible to damage during natural disasters, posing a threat to residents' lives.
- Houses Affecting Urban Planning: Prefabricated panel houses located within the planning scope of major infrastructure projects such as subways and elevated highways need to be demolished according to urban development needs. Such demolitions are typically accompanied by compensation and resettlement policies to safeguard residents' rights and interests.
Policy Restrictions on Demolition
- Demolition Ratio Restrictions: According to the 'Notice on Further Supporting Urban Renewal Initiatives' issued in 2026, within a single urban renewal unit, the demolished floor area should not exceed 20% of the total existing floor area in principle, and the demolition-to-construction ratio should not exceed 2. This policy aims to prevent excessive demolition and promote a balanced approach to urban renewal that combines 'preservation, renovation, and demolition.'
- Renovation-to-Demolition Ratio: Calculations by the China Index Academy indicate that among the old residential areas listed for renovation plans nationwide in 2026, only about 17% truly require demolition and reconstruction, while the remaining 83% will be renovated through repairs and reinforcement. This demonstrates that the demolition of prefabricated panel houses is not the mainstream approach but rather a targeted strategy for specific dangerous houses.
True Basis for Demolition
Whether a prefabricated panel house should be demolished depends on the house safety assessment report issued by a qualified institution. According to the 'Standards for Dangerous House Assessment' (JGJ 125-2016), house safety is classified into four grades: A, B, C, and D, with Grade D representing a 'whole-building dangerous house' whose load-bearing structure can no longer meet safety requirements and must be promptly demolished and renovated. Houses that have not undergone professional assessment must not be arbitrarily demolished to ensure the scientific and legal basis of decision-making.




