Despite their strongly egalitarian ideology, there is considerable evidence from socialist countries that individuals of higher socioeconomic and political status have privileged access to housing of good quality and at a low cost. In this study of urban China, we examine the broader issue of the quality of neighborhoods to which people have access. We find that the political position of one's work unit has strong effects on locational resources. Individual characteristics including education, occupational standing, and political status also have significant effects, but income does not. We interpret these results in terms of a housing system based not on individuals but on firms, and not on markets but on rules of allocation.