The Feasibility Study Of Real Estate Investment And Development Project Of The County

With the background of the global financial crisis, China is actively trying to expand domestic demand for alleviating the impact on the financial crisis on China’s real economy. Housing consumption is one path of expanding domestic demand, which can promote the development of the entire real estate industry chain. With the income of urban residents increased in secondary or tertiary class cities, the demand for housing has also increased dramatically, which is prompting the real estate industry to develop rapidly. At present, the feasibility study report of the real estate industry in general is in the low state; furthermore, the feasibility studies of the real estate investment projects for the secondary or tertiary cities are even fewer. Therefore, this paper analyzes the theory and practice of the feasibility study for the county real estate investment projects with the example of "Dragon Family" real estate investment projects in Yuechi County. This study not only serves as foundation for investment decisions of the county real estate project "Dragon family", but also is a valuable reference for other county real estate project feasibility study.In this paper, according to the content requirements of real estate feasibility study,the theoretical and empirical analysis of the county real estate project feasibility study is done with the theories and methods in the fields of marketing, real estate economics, financial management and others. The whole paper is divided into seven chapters. The main content and conclusion are as follows.Chapter 1 deals with the topics of background, the purpose and significance.In Chapter 2, the real estate project feasibility study is maily introduced, including real estate project feasibility study of the basic principles, the main content and steps, and the foundation, in order to prepare the specific research paper methodology.In Chapter 3, from the point of macroeconomic environments, real estate investment, supply and demand analysis, it is shown that the real estate has rapidly developed in Yuechi County and the trading volume and trading price have been rapidly grownsince 2006, Particularly, in the reconstructing of the old city and 1.5 square kilometers expanding of Yuechi County. The real estate market is always hungry, so the project can be quickly digested, and the real estate has a good market prospects. It can be seen that development of the project of Dragon Family is the right timing in Yuechi County.In Chapter 4, through a competitive analysis of the project in Yuechi County, it is demonstrates that the advantages of Dragon Family project are closed to the beautiful Jiulong Pond and Fengshan Park, and in accordance with the composition of residents in the host location characteristics to determine the Dragon Family group of potential customers are parents, who mainly want their children to study in Yuechi middle schools in the future, or whose child has studied in Yuechi middle school, or Yuechi middle school teachers, retired veteran comrades, government staff, self-employed and so on. And then, it is also determined that the Dragon Family directing position is a low-rise residential with 6+1 layers. The unit types are on the small or medium basis with large-family supplement; shopping stores are maily directed as small- or medium- size supermarkets, medium and low food and school supplies stores, supplementing with franchised stores, specialty restaurants, entertainment, fitness, and other service industries.According to block shape, the volume ratio, the Dragon Family planning are determined. And then, according to location, facilities, construction quality, property management and costs, and Yuechi County real estate price trends, the unit price of housing is determined with an achievable competitive average price of 1380 per square meter. Shopping store’s average price is 3200 yuan per square meter, and garage’s average price is 1,800 yuan per square meter.In Chapter 5, the operation of "Dragon Family" is analysed. It is shown that the proposed project does not produce industrial waste, dust and odor, the waste generates from the major pollutants, sewage, garbage, noise and dust. The strong matrix organization is used to the project approach to project management, and the project is planned for 18 months, and the total investment of 26.2125 million Yuan.In Chapter 6, through the social and economic benefits analysis, it is shown that in the period of the investment operations of the project, the financial internal return is much higher than the benchmark bank lending rate and the discount rate. So it is thought that the project is viable in the finance. The second result is that the main uncertainties factors of this project are the project development cost and sales revenues. Another conclusion is that the project has a strong bearing capacity for the changes of prices, and that at the same time, the project is sensitive to changes of sales revenue,but has a certain ability of resisting risks. On the whole,the project is feasible.Chapter 7 is the conclusion in which the problems that may be faced with in this project are pointed out and their countmeasures are put forword.