According to Wikipedia, the design “followed the Chinese dwelling tradition of “closed outside, open inside” concept: an enclosure wall with living quarters around the peripheral and a common courtyard at the center.” (fullbloom:The Ancient Hula Hoop Buildings of China : TreeHugger)

I stayed in a building like this in Lijiang under Jade Dragon Mountain. China seemed to have far more shared living space - people used the streets & parks as living rooms - because personal space is so cramped.