Introduction Of REITs Financing Model For Public Rental Housing Construction In Changsha City

As an important net inflow of population in the central part of Changsha,Changsha has experienced rapid economic development in recent years,and the level of urbanization has also been continuously improved.The number of “sandwich”groups has also increased year by year.Safe public rental housing is an effective measure to solve the housing problem of “sandwich”.Relying on the government's financial input as a single financing channel can not provide sufficient funds for public rental housing construction,and it also puts great pressure on the finance of the Changsha municipal government.Therefore,a market-oriented financing model is urgently needed to broaden the public leasing in Changsha.The financing channels for housing ease the government's financial pressure.In view of the financing status and dilemma of public rental housing construction in Changsha,this paper proposes to introduce the REITs financing model to solve the problem of public rental housing financing in Changsha.This paper firstly expounds the background of the introduction of REITs financing model for public rental housing in Changsha,and summarizes the related theories of public rental housing and related theories of REITs,which lays a theoretical foundation for the subsequent design of the financing model of public rental housing in Changsha.Then it introduces the development process and operation mode of public rental housing in Changsha City,and analyzes the necessity of introducing REITs financing mode in public rental housing construction in Changsha.Then it demonstrates the feasibility of introducing the REITs financing model for public rental housing construction in Changsha City,and takes the public rental housing construction project in Yuelu District of Changsha as an example to judge whether the introduction of REITs in public rental housing construction in Changsha is economically feasible..On the basis of the previous paper,the specific operation mode of introducing REITs financing mode for public rental housing construction in Changsha City was designed,and the income and risk of public rental housing projects were analyzed by calculating the internal rate of return.Finally,relevant policy recommendations are proposed for the introduction of REITs in the construction of public rental housing.