On July 4th, the Hengqin Guangdong Macao Deep Cooperation Zone (referred to as the Cooperation Zone) issued several measures to promote the high-quality development of the hotel industry in the Cooperation Zone (referred to as the "Several Measures") and the "Operation Guidelines for Temporary Conversion of Existing Idle Buildings into Hotels" (referred to as the "Operation Guidelines"). The "Several Measures" and "Operation Guidelines" released this time fully respond to the industry's call and absorb industry suggestions, adjusting and optimizing the application scope, application deadline requirements, renewal rules and deadlines for the temporary conversion of existing idle buildings into hotels, aiming to meet the more diverse and flexible business plans of the industry, and fully stimulate the development potential of the hotel industry in the cooperation zone by utilizing existing commercial buildings. Expanding the scope of application for multiple types of industrial buildings. Policy clearly states that buildings that can be temporarily converted into temporary hotels will be expanded from "existing idle commercial and office properties" to "buildings that have been completed and recorded in commercial, commercial, cultural, creative, high-tech, and scientific research land". Adding existing idle buildings can be temporarily converted into hotels with "at least 50 relatively independent and continuous floor spaces as basic units". The policy of promoting high-quality development of the cultural and tourism industry in line with market demand has further clarified the application prerequisites, emphasizing the positive significance of identifying projects in response to the cultural, tourism, exhibition, and commercial industries in the cooperation zone. On the premise of not changing the land use subject and planning conditions, and meeting structural safety and fire safety requirements, the existing idle buildings will be temporarily converted into hotels for use; And clarify the factors considered by the Economic Development Bureau of the Cooperation Zone in determining the significance of the project for the cultural, tourism, exhibition, and commercial industry of the Cooperation Zone. The policy stipulates that applicants can apply to the Executive Committee as needed, with a minimum of 8 years and no more than the remaining term of land use rights, in order to extend the application deadline for long-term stable development of the industry; It is clear that three months before the expiration of the temporary conversion period for hotel use, if the project meets the same conditions as the temporary conversion of existing vacant buildings into hotels, the applicant can apply to the Executive Committee of the Cooperation Zone for renewal, and the renewal period cannot exceed the remaining period of land use rights. Improving the exit mechanism to reduce operational risks for enterprises. In terms of exit mechanism, after 8 years of policy clarification, applicants can apply to the Executive Committee by providing sufficient reasons to terminate temporary conversion to hotel use or engage in property rights transactions. It should be noted that the "Several Measures" are valid for 2 years, and at the same time, the "Notice on Printing and Distributing the" Several Measures to Promote the High quality Development of the Hotel Industry in the Cooperation Zone "and the" Operating Guidelines for Adjusting Existing Commercial Office Buildings for Temporary Use in Hotels "(Yue Ao Shen He Shi Zi [2024] No. 24) issued on April 30 are abolished. The adjustment and optimization of this policy fully consider the actual situation of idle buildings in the cooperation zone, effectively expand the application scope, further reduce the uncertainty that investors may face in the application and renewal process, create a more flexible and long-term business development environment, in order to further attract and stimulate the enthusiasm of investors, and promote the high-quality development of the hotel industry in the cooperation zone. (Lai Xin She)