Risk Management Research On Reits Financing Mode In Green Building Project

The real estate industry is a pillar industry of the economy in our country, theaverage growth of development investment is keeping above25%in recent years,which is playing an important role in driving the economy forward. Meanwhile, energyconsumption in building is another aspect that shouldn’t be ignored. Real estateindustry has already been one of the three major energy consumption fields in China.In order to keep sustainable and healthy development, a transition from the real estateindustry to green building industry is imminent.Due to the investment in green building is more than the general construction, thedevelopers who just intend to rely on bank must be disappointed.The country carriedout a series of macro-control policies, especially the tighten lending policies on the realestate industry of commercial banks, giving the real estate industry a heavy blow, sothat the developers encountered financing problems because most of their main capitalwas from the bank. On the other hand the number of domestic private capital is huge,but there are not enough stable and efficient investment channels. REITs is an effectiveway to solve the two problems indicated above in real estate industry, and it haspositive significance to promote green building and the development of capital marketin china. Since REITs in our country just started in recent years, it involves manyparticipants, the potential risk can’t be ignored, so that in-depth research on riskmanagement to the green building REITs financing mode is particularly urgent.First of all, the paper analyses the current financing predicament that greenbuilding being faced with, then points out that the money is the main reason ofrestricting development. By comparing and analyzing the familiar financing model indomestic, the paper introduces the advantage of real estate investment trusts, analyzesfrom the feasibility and necessity of green building into the applicability of REITs,then designs the green building the operation mechanism of REITs in green buildingfinancing model and expounds the income structure.Secondly, the paper studies the comprehensive risk management system of green building when using REITs financing mode. Risk checklist and expert investigationmethod is used to identify risk factors in the process of green building REITs financing,combined with the factorization classification, then a risk index evaluation system isestablished.On the basis of risk identification, grey fuzzy comprehensive evaluationmethod is used for scientific quantitative assessment on green building project in themode of REITs financing risks，so as to position its risk level.In the assessment, thegrey fuzzy evaluation matrix is built, so that the weight of each risk index isdetermined. Furthermore, considering each party should bear different degree of risk inthe process of the risk allocation, this article applied the Shapley value of thecooperative game theory in risk sharing, and modified the algorithm in order toimprove the motivation of each party. Based on the identified risk factors and the gameresult, the paper raised the sharing measures for the mode of REITs financing mode ingreen building project.Finally, the comprehensive research method that mentioned above is applied tothe practice of specific project. Taking the green building project of LS group whichcould use REITs financing mode in future as an example, a systematic analysis andresearch about the whole risk management process is carries out.Then the realisticscientific conclusion is obtained from the case, which verified the scientific nature ofthe comprehensive method and technical route. Meanwhile the paper theoreticallyenriches the research of REITs financing risk management in green building, andprovides certain reference on research methods.