Case Analysis Of Long-rent Apartment Asset Securitization

Long-rental apartment asset securitization in China started late,with few products.The traditional asset securitization model is aimed at long-rental apartment enterprises operating in light assets.Therefore,there are operations in the state of’heavy assets and expect to transfer property in the process of asset securitization.The long-rental apartment companies with property rights cannot solve the huge industry problems of securitization with the existing securitization model.On October 11,2017,Xinpai Apartment first issued asset securitization products in the equity-type REITS model.The issuance of this securitized product successfully completed the asset securitization of long-rent apartments operated under the heavy asset model and transferred property rights..In order to explore how the design of this product succeeded in securing securitization of heavy-asset model long-term apartment by means of transfer of property rights,this paper analyzed the details of the core elements of the transaction,the arrangement of credit enhancement measures,and the risk prevention measures in the case of the new apartment.Summarize the successful experience provided by solving the problem and seek deficiencies and improvement methods,in order to enlighten the long-term apartment companies that follow this model for asset securitization.First of all,this paper introduces the research background and significance.Then,the relevant research results in the field of long-term rental apartments and asset securitization were sorted out.Then it introduces the development status of long-term rental apartments and their asset securitization.Then introduce the case of new-party apartment asset securitization,introduce the backg,round,issue situation and transaction plan design of its asset securitization.Then,how to solve the problem of the securitization core elements,the credit enhancement measures,and the risk prevention measures in the case,the problem of securitization of the long-rent apartment in the heavy asset model by means of transfer of property rights was systematically analyzed in detail.After the analysis,the main innovations and problems of this case were pointed out.And it summarizes the main successes of this new type of asset securitization model,and proposes improvements for the problems still existing in the case.Finally,from the overall perspective,I put forward suggestions on the development direction of the long-rental apartment asset securitization market.