Application Study On Real Estate Investment Trusts(REITs) In China

As a new real estate financing instrument, Real Estate Investment Trusts(REITs)is significant to improve capital market system and promote the development of the real economy in our country. Therefore, the study of REITs financing application mode, for the realization of the smooth development of REITs in our country, is also very necessary.Through the study of the "CITIC Qi Hang special asset management plan", this paper attempts to show the innovation and deficiencies of the model adopted by REITs in the practice of the financing application, also point out the advantages and difficulties faced by REITs and make relevant policy recommendations for the better development of REITs in our country. Firstly, this paper introduces the basic situation and operating status of the project, then analyzes the project motivation, core joint design ideas, investment value and financing risks and so on.The project design does have merits in adapting to the actual situation, but the promotion of this mode will also be faced with many challenges. The last part of the article explains the difficulties currently faced by REITs, such as the lack of tax incentives system, supporting policies and regulations lag, rare find of high-quality asset base and proposes that we should make the relevant efforts in establishing preferential tax system, improving the supporting laws and regulations, promoting the balanced development of the various levels of the stock market and increasing government support to achieve the smooth promotion of REITs.