Land development fee is the total cost invested in land development, that is, the total cost required to convert raw land into mature land. Including urban infrastructure supporting fees, public utility construction supporting fees and community and land development supporting fees. Another explanation: The estimated investment in preliminary engineering required for the development of each hectare of residential area land, including land acquisition, demolition, various compensations, land leveling, laying of external municipal pipeline facilities and road projects, etc. (10,000 yuan/ha).

Legal Basis

Land Management Law

Article 47 Where land is expropriated, compensation shall be provided according to the original purpose of the expropriated land. Compensation fees for farmland acquisition include land compensation fees, resettlement subsidies and compensation fees for ground attachments and young crops. The land compensation fee for the expropriation of cultivated land shall be six to ten times the average annual output value of the three years before the expropriation of the cultivated land. The resettlement subsidy for cultivated land acquisition shall be calculated based on the number of agricultural population to be resettled. The number of agricultural population to be resettled is calculated by dividing the amount of expropriated cultivated land by the average amount of cultivated land per person of the expropriated unit before land acquisition. The resettlement subsidy standard for each agricultural population that needs to be resettled is four to six times the average annual output value of the three years before the farmland is expropriated. However, the resettlement subsidy for each hectare of expropriated cultivated land shall not exceed fifteen times the average annual output value of the three years preceding the expropriation. The standards for land compensation and resettlement subsidies for the acquisition of other land shall be stipulated by the provinces, autonomous regions, and municipalities with reference to the standards for land compensation and resettlement subsidies for the acquisition of cultivated land. The compensation standards for attachments and young crops on the expropriated land shall be stipulated by the provinces, autonomous regions and municipalities directly under the Central Government. When expropriating vegetable plots in urban suburbs, the land-using unit shall pay a fund for the development and construction of new vegetable plots in accordance with relevant national regulations. If the payment of land compensation fees and resettlement subsidies in accordance with the provisions of paragraph 2 of this article cannot enable the farmers who need to be resettled to maintain their original living standards, the resettlement subsidies may be increased with the approval of the people's governments of provinces, autonomous regions, and municipalities directly under the Central Government. However, the total of land compensation and resettlement subsidies shall not exceed thirty times the average annual output value of the three years before the land is expropriated. Based on the level of social and economic development, the State Council may, under special circumstances, increase the standards of land compensation fees and resettlement subsidies for cultivated land acquisition.