Many Chinese local governments have started auctioning off properties held by their asset management platforms or state-owned enterprises as they look to generate cash and ease mounting financial pressure.

State-owned enterprises in Xichang, a city in Sichuan province, recently divided 144 housing units into three separate packages and listed them for auction at prices slightly below the local market rate. Interested buyers can place a deposit to qualify for the auction and then submit bids online, according to a staff member overseeing the process.