In China, collective ownership and state ownership in land coex-ist. According to the 1998 Land Management Law, all urban landbelongs to the state while land in rural districts and villages belongsto collectives. Collective land belongs to various farmers’ economicunits such as farmers’ co-operative societies or village commit-tees. While the establishment of the LURs System in 1988 hasallowed leasing, transferring and selling of urban land at differentintervals in rural areas, collective ownership has allocated farmersplots of land for cultivating and building their own houses withintheir individual allocated land (this land is called zhaijidi in China).Collective land can be inherited, but it cannot be converted intourban use without going through the legal process. Through strictlyestablishing a line between urban and collective land, the Chi-nese government has created a dual land management system. Thedouble-track land use system is uniformly implemented through-out the entire country.