Modern services come to traditional Hangzhou neighborhood

For years, old residential communities in downtown Hangzhou have lacked proper management. Sanitation, trash sorting, fire safety and health-care services are said to have not met the needs of residents.

To solve these problems and enhance people’s quality of life, local authorities have initiated the “Golden Housekeeper” project and piloted it in Caihe Community, one of the oldest residential communities in Hangzhou.

Ti Gong

Ti Gong

On January 6, Caihe Residential Committee signed a contract with Hangzhou Herui Service Company which will provide full management services to residents.

“We will dispatch professional housekeepers to Caihe. Everyone takes charge of a specific facet in daily management,” said Fang Furong, manager of Hangzhou Herui Service Company. "For example, if people are not satisfied with trash sorting, they can contact the one in charge. That  improves work efficiency.”

In addition, the company offers professional equipment, like road sweepers, patrol cars and watering carts.

Formerly, the management fee for every household was 0.15 yuan (2 US cents) per square meter, far cheaper than that in new communities. This is regarded to be the major factor behind the poor management of Caihe.

Ti Gong

Instead of charging a fee, Herui will explore a new payment model: It provides services, while the community offers outdoor advertising space to the company.

“In the first six months, we will definitely lose money, since advertising income cannot cover management expenditures,” Fang said. 

“However,  we will build good relations with residents. In the future, private services, including clinics and in-home health care, are going to charge additional fees. These are hoped to make a profit. It is a win-win business for two sides after all.”

This new commercial model will expand to other old communities if the pilot project runs smoothly after several months.