The Capital Chain Analysis Of Luohu Tourism Island Development Project

Real estate industry is highly capital concentrated. The smooth operation of its capital chain is the guarantee to run the project and make profits. “Tourism real estate” is a combination development model of tourism and real estate. Compared to the common real estate development model, it is with a bigger size, longer cycle, more projects, and needs more secure capital to support. Therefore, it is more difficult to ensure the smoothly operation of the capital chain of tourism real estate projects.This paper takes the Luohu tourist island development project(Luohu Tourist Island) as the research object, and analyzes the capital chain management of the developer Zhiyuan Industrial Co. Ltd(Zhiyuan) from capital financing, capital using and capital withdrawing these three stages. According to the planning of Luohu Tourist Island, this project consists of five parts: waterfront leisure zone, folk customs area, resort settlement and timeshare vacation area, the international health community and new Luohu village five parts. Apart from the latter two parts, the construction and operation right of the rest ones is owned by Zhiyuan.Firstly, on the basis of analyzing the market environment and the product positioning, we predict the capital flow of Zhiyuan in the stage of construction and operation, then find out its capital gap in the various stages, and make its financing plan. And finally, we make a sensitive analysis on the capital chain management from three aspects: cost, revenue and construction period. The results show that the main factors affect the project’s financing plan are the construction period and the construction cost. All the factors have a effect on the project’s cash flow, if we sort them according to the size of the effects, there factors are: the construction cost, the construction period, the sale price of resort settlement and timeshare vacation area, the operation cost, the income of land use rights transferring, the gain of waterfront leisure zone, the sale progress of the resort settlement and timeshare vacation area, the rent level of the folk customs area and the interest rate.The research of this paper can help Zhiyuan to fully recognize the cash inflow and outflow in all the stages of the project, to grasp the overall risk and the stage risk and make possible responses in advance, then improve the efficiency of capital use and maximize the profit. Meanwhile, this paper can provide a reference for similar real estate projects, and has important practical guiding significance for improving the efficiency of capital chain management for the entire real estate industry.