Research On The Cost Financing Model Of Low-carbon Development For China’s Real Estate Enterprises

The life theme of the 21st century is" low-carbon,ecology,environmental protection and health",and the" Copenhagen Accord "signed in 2009 marks the beginning of the global low-carbon economy. Low-carbon as an important strategic objective of social development has also been put onto the agenda in our country. At this backgound, the real estate industry is a mainstay industry of China’s economic growth,but it is also a high energy consumption and high emission industriy,so encouraging real estate enterprises to develop in a low-carbon way can effectively promote China’s less carbon emissions.However, due to more initial investment for developing low-carbon real estate projects than traditional real estate projects,real estate enterprises face greater pressure on capital costs,and consumers do not accept the high prices,so real estate enterprises don’t have strong wills to develop. If we can find a reasonable financing model to eliminate the capital cost pressure for real estate enterprises that develop low-carbon projects,it will greatly promote the development of low-carbon real estate market in our country. Therefore,this paper studys the financing models for real estat enterprises from the perspective of cost financing for low-carbon development. It has important theoretical and practical significance for promoting the development of China’s low-carbon real estate market.This paper combines theoretical researchs and applied researchs.First of all, the cost financing for low-carbon development is divided into incremental cost financing and conventional cost financing, then analyze the factors and the potential benefits of low-carbon development. Secondly, research on the traditional financing models and low-carbon financing model for real estate enterprises,so that lay the groundwork for the paper below.Thirdly, analyze the incremental costs and benefits payback period, use the principal-agent model to analyze the necessity of introducing the government and Hydro, and based on this innovatively research two incremental cost financing models in which the main body and operator of low-carbon real estate projects consistently and separately.Finally,build a conventional cost financing evaluation system which includes a three-level index,and rearch the conventional cost financing with a real estate project in Fuzhou.This paper argues that the low-carbon development cost financing for China’s real estate enterprises can be divided into two stages.At the first stage of incremental cost financing, the introduction of Hydro and the purchasers of carbon emission rights to create two incremental cost financing models can internalize the incremental costs of low-carbon development,so it can eliminate incremental costs pressure for China’s real estate enterprises developing low-carbon projects. At the second stage of conventional cost financing, we can according to each real estate project’s own characteristics to build a evaluation system for conventional cost financing models. Then we can select the optimal financing model according to the results of the specific projects’evaluation value.This paper argues that only when the costs of low-carbon development are converted into conventional costs, low-carbon development can get the maximum development.