A Study On The Management Of Cash Flow Signal For Real Estate Projects

Both money and land are of vital importance for Real Estate Firms (REFs), but comparatively, the former has become the first and foremost for REFs under a series of more rigorous macro-controlling policies directing on the real estate industry, such as more limitations on bank lending , urban land supply , increasing the lending rating, and so on. Thus, many issues in money management for REFs, such as how to achieve money enough for their real estate projects development, and how to improve the efficiency of money utilization in the course of their projects development, are considered by them as the focus of their business management. Basing on the analysis on Macro-conditional context, money management for REFs and the esentiality of cash flow management, this thesis continues to concentrate on money management for entire process of real estate projects development, by putting emphasis on detailed discussion with the linkage of cash flow in different stages of real estate projects development. In the discussion, three stages of real estate projects development, namely the stages of decision-making for projects development, implementing projects development, finishing projects development are pointed out to relatively establish three categories of cash flow as Conceptual Cash Flow, Mixed Cash Flow, and Fixed Cash Flow. This thesis investigates the signals of three cash flows as mentioned above. With the application of generic cash flow and cash flow management theory, this thesis makes a definition to Cash Flow for Real Estate Projects, and points out its characteristic and main points for its cash flow management. To present as follows: Firstly, the thesis points out the concept, essence and division of Conceptual Cash Flow for Real Estate development (CCFRE), and indicates how to manage the signals of CCFRE. Due to much uncertainty existing in CCFRE, the thesis further puts forward a method called Scope Decision-making for managing CCFRE signals, such as signal judgment, signal filter, and signal application. Secondly, the thesis states the concept of Mixed Cash Flow for Real Estate (MCFRE), and set forth a model of Crisis Management for MCFRE after discussing its characteristic. There is also a virtual REF as an example to show how to apply the model of Crisis management for MCFRE systematically. Thirdly, the thesis examines the substance of Fixed Cash Flow for Real Estate (FCFRE) and its management focuses, presents the outlines for FCFRE management, and brings forward some measures for the integral management of three categories of Cash Flow for Real Estate. To conclude, relying on data collected from many real estate projects in Chongqing, the thesis finds out the value of Cash Flow Signal, and builds up a useful systematical Cash Flow Signal Management for real estate projects.