Nanjing Prefabricated Panel Houses

The disposal of prefabricated panel houses in Nanjing centers on safety appraisals, with renovation as the mainstream approach and demolition reserved for only a very small number of Grade D dangerous buildings, taking into account policies, costs, and residents' wishes.

I. Disposal Basis: Safety Appraisal and Hierarchical Management The disposal of prefabricated panel houses in Nanjing is not based on a "30-year building age" criterion but rather on hierarchical management according to the "House Safety Appraisal Report" and the "Standards for Appraisal of Dangerous Buildings" (JGJ 125-2016). There are four grades in total:

• Grade A: Structurally safe, no treatment required;
• Grade B: Individual components have issues but do not affect the main structure, requiring partial repairs;
• Grade C: Some load-bearing structures do not meet standards, constituting partial dangerous buildings, requiring reinforcement or renovation;
• Grade D: The entire load-bearing structure has failed, necessitating demolition. Among the existing prefabricated panel houses nationwide, Grade A and Grade B account for 72%, Grade C accounts for 25%, and Grade D dangerous buildings make up less than 4% (approximately 72,000 households). The situation in Nanjing is similar, so large-scale demolition is not the mainstream approach.

II. Mainstream Approach: Renovation to Improve Living Conditions Renovation (old residential area renovation) is the primary destination for prefabricated panel buildings, including three types of projects:

• Basic projects: Waterproofing, pipeline updates, etc.;
• Improvement projects: Elevator installation, additional parking spaces, etc.;
• Enhancement projects: Adding community service facilities such as activity rooms. For example, homeowners of prefabricated panel buildings in an old urban area of Nanjing once waited for demolition but ultimately improved their living conditions through renovation measures such as exterior wall insulation and pipeline renewal. Although the houses were not demolished, the living experience significantly improved.

III. Demolition Conditions: Limited to Grade D Dangerous Buildings and Balancing Multiple Factors Demolition is only for a very small number of Grade D dangerous buildings and must meet conditions related to policies, finances, and residents' wishes. For example, the demolition plan for Huadian San Residence in Nanjing was delayed for two years due to disagreements among residents. Consensus was finally reached after the government promised "demolition and reconstruction on the same site" and increased compensation area. This indicates that the demolition of prefabricated panel houses requires full consultation to avoid conflicts arising from forced execution.

IV. Renovation Challenges: Funding Gaps and Financing Mechanisms Renovation of prefabricated panel houses faces funding pressures. The cost of comprehensive renovation (including elevator installation) is approximately 800-1200 yuan per square meter, only one-third of the cost of demolition and reconstruction. However, the total funding demand for renovating the existing stock nationwide still reaches as high as 2.4 trillion yuan, with a maintenance funding gap of 72%. Nanjing relies on a shared mechanism involving "government + enterprises + residents," but financing channels are limited, and some projects face difficulties in advancing due to funding issues.