Central Business District Development in a Transition Economy – Case Studies of Guangzhou and Shenzhen, China

Since its implementation of economic reforms and open door policy, China has rapidly transformed itself from a socialist planned economy to socialist market economy. Guangzhou and Shanzhen are earmarked as the pioneering and experimental cities within the network of cities in Pearl River Delta Region in implementing various market reform measures. Taking advantage of its close proximity with Hong Kong and Macau, these two cities have achieved remarkable success in economic strength and become modernized commercial cities. Supported by the growth of tertiary industries such as finance. information technology, business and trading, property development in these two cities has also taken a rapid pace. CBD development can also be identifies. CBD development is a relatively new product within the development process of socialist China. Before the marketization reform, China’s socialist planned economy implied that the state was responsible for resource allocation. There was no room for market adjustment. Commercial retail areas replaced the position of CBD as the urban centres. When China adopted its open door policy and introduced market mechanism, the spatial structure of existing cities has begun to change. Business and trading activities outside the state planning process becomes increasingly important. Real estate industry began to take off. All these have led to a significant impact on the existing urban centres. CBDs began to emerge from these urban centres. This paper systematically review the process of CBD development in two major cities in Southern China, Guangzhou and Shenzhen, and identify the problems encountered in such development process and the future trends of CBD development in major cities in China.