Research On The Application Of REITs In The Financing Of Infrastructure Construction In Industrial Parks

The industrial park is an important carrier for urban economic development,industrial adjustment and upgrading,and has become an important infrastructure for urban supporting.All parts of the country are scrambling to promote the construction and development of industrial parks,and regard the construction of industrial parks as an important measure to catalyze economic transformation.At the same time,as the real estate industry,the industrial park is a typical capital-intensive industry.Regardless of whether the construction is led by the government or participated by market players,a large amount of capital investment is required in the preliminary preparation,land development and preparation,demolition and resettlement,construction and installation.Due to the strong public nature of the industrial park,it used to be dominated by the government and large and medium-sized state-owned enterprises.Insufficient reserves,the lack of policy support for asset securitization that has been carried out,and the existing legal framework and tax policy restrictions have led to the obstruction of the realization channels of most high-quality infrastructure industrial parks,resulting in an increase in the funding gap for new projects and good projects,and the reinvestment and reinvestment of industrial parks.Construction cannot be recycled efficiently;traditional bank loans and debt financing increase the risk of local debt and the leverage ratio.Therefore,new financing channels,good financing strategies and capital operation are crucial to the construction and development of industrial parks and economic transformation and upgrading.Real Estate Investsent Trusts(REITs for short),as a new type of real estate construction financing tool,first appeared in the United States in the 1960 s.After more than 60 years of exploration and development,it has become a trend in the development of the global real estate industry.At the beginning of this century,my country began to study REITs and explore the issuance of REITs products.In April 2020,the China Securities Regulatory Commission and the National Development and Reform Commission jointly issued the "Notice on Promoting the Pilot Project of Real Estate Investment Trusts(REITs)in the Infrastructure Sector" to promote the pilot projects of REITs in the infrastructure sector.A milestone in development.On June 21,2021,9 infrastructure REITs products were listed on the Shanghai and Shenzhen Stock Exchanges for the first time,marking the official landing of infrastructure REITs in my country.Among them,China Merchants Shekou Industrial Park Infrastructure REITs are the only industrial park REITs in the Guangdong-Hong Kong-Macao Greater Bay Area.Therefore,it is of practical significance to study the application experience of China Merchants Shekou Industrial Park using REITs in the construction and financing of industrial parks.Based on the above considerations,this thesis selects the representative infrastructure REITs of China Merchants Shekou Industrial Park as the case study object,studies the elements and implementation process of infrastructure REITs,analyzes their financing motivations,implementation characteristics and financing effects,and summarizes the corresponding conclusions.with revelation.Firstly,the research literatures related to REITs are sorted out from the perspectives of concept,financing motivation,type,transaction structure,management mode,taxation,etc.,and the basic concept,type,development stage,transaction structure,financing motivation and governance mechanism of REITs are expounded in detail.and related theoretical foundations.Secondly,the basic situation and product elements of China Merchants Shekou Company and its infrastructure REIT in China Merchants Shekou Industrial Park were reviewed,and the specific implementation process of the fund was sorted out.Thirdly,from the dimensions of financing motivation,implementation characteristics,financing effect,etc.,it focuses on analyzing the infrastructure REIT of China Merchants Shekou Industrial Park.In terms of financing motivation,it is mainly because high leverage has intensified the debt risk of the real estate industry,infrastructure REITs have financing advantages,and China Merchants Shekou itself needs to optimize its asset structure and strategic transformation.In terms of implementation characteristics,China Merchants Shekou has selected high-quality basic assets Wanrong and Wanhai Building,established SPV to enhance risk isolation,and adopted a separate establishment method in transaction structure,which is conducive to tax planning.In terms of financing effect,the implementation of infrastructure REITs in China Merchants Shekou is firstly to obtain direct financing to improve the solvency,secondly,to boost market performance due to favorable market conditions,and thirdly,to revitalize existing assets to help enterprises transform into light assets.Finally,relevant conclusions are drawn based on case analysis.Through case analysis,four conclusions are drawn,and three enlightenments are drawn on how to better use REITs to finance the construction of industrial parks.The main research conclusions are:(1)Infrastructure REITs reduce the financing cost of China Merchants Shekou;(2)Infrastructure REITs reduce the debt risk of China Merchants Shekou;(3)The introduction of SPV makes the transaction structure more complicated;(4)There are inconsistencies in tax planning.certainty.On this basis,this thesis provides some inspirations for policy makers and enterprises:(1)Simplify the transaction structure of infrastructure REITs to promote healthy development;(2)Issue special tax incentives and collection and management policies to eliminate the tax uncertainty of infrastructure REITs;(3)Enterprises should introduce high-quality targets to ensure the income of infrastructure REITs.