Research On Application Value Of Reits In Real Estate Enterprise Financing

The real estate industry is the pillar industry of our country economy,its development has the vital function to the healthy development of the whole economy of our country.The real estate industry is a typical capital-intensive industry.And the real estate enterprise construction cycle is long,the enterprise faces the uncertainty that the higher capital cannot be recovered,needs to bear the bigger risk.From these characteristics of the real estate industry,obtaining sufficient funds is very important for the healthy development of the real estate industry.Real estate trust fund(REITs)came into being,the Ministry of Commerce for the first time in 2005 mentioned the opening of domestic REITs financing channels,In 2008,the General Office of the State Council published several opinions on the current financial promotion of economic development,referring to the "launching of the Real Estate Investment Trust Fund pilot".From 2015 to 2016,the Department of Housing and Construction of the State Council issued a number of policies to promote the realization of REITs.From the point of view of financing of real estate enterprises,this paper mainly aims at a series of difficult financing problems,such as single financing channel,high financing cost,high risk of financing structure,lack of long-term and stable operating capital,etc.This paper analyzes the necessity,feasibility and advancement of developing innovative financing mode of real estate enterprises-Real Estate Investment Trust Fund(REITs)in China,and further discusses the application value of REITs in financing of real estate enterprises.As an effective real estate financing tool,Real Estate Investment Trust Fund(REITs)has developed and matured abroad and occupied a considerable market share.But in China,real estate trust funds are in their infancy.Taking Yuexiu REITs--the first real estate investment trust fund listed overseas as an example,this paper compares and analyzes the impact of the issue of REITs on the financing effect and financial structure of enterprises,and compares it with similar real estate enterprises that do not issue REITs.This paper probes into the application value of the real estate investment trust fund(REITs)to the financing of the real estate enterprises in China and its further influence on the sustainable development of the real estate industry in China,and puts forward the corresponding prospects and suggestions.This paper points out the direction that our country should strive to further promote the development of REITs in the future.The innovation of this paper lies in the in-depth study of the application value of REITs,the deficiency is that the analysis is not in-depth and comprehensive,and the data is not sufficient.