What are the financing strategies under the new economic situation?

Our chance is that we are still in such a period of relative economic growth. At the same time, we see that such a depressed state has also given us more opportunities for cheap land. We also see that with the change of the capital market, it has also given us opportunities for real estate enterprises to integrate with some industries. That is to say, for all of us, it is not only necessary to find our own position in such a challenge, but more importantly, especially for small and medium-sized real estate enterprises, it is relatively easy for large enterprises to engage in financing, bank loans and bond issuance. For small and medium-sized enterprises, how should they seize the opportunity and find some opportunities that are most suitable for their development in such a competitive and challenging environment? This is also a problem that we have to consider.

We see some financing paths and ways provided by China capital market, including not only bank loans and equity financing, but also IPO and M&A financing, as well as REITs, which are typical asset securitization products. On September 26th, the CSRC issued the Administrative Measures for Asset Securitization, which set out the basic conditions for asset securitization, such as developing real estate, especially commercial real estate and industrial real estate. There should be opportunities for asset securitization of self-sustaining properties. Asset securitization is conditional. More importantly, you should have a certain scale of commercial real estate, such as unsecured loans, which have a good overall operation effect. At the same time, we see that your rental income and property growth income are relatively mature, and it is relatively easy for such enterprises to use it for asset securitization.

Soon there will be REITs in government low-rent housing, and the price of the second low-rent housing will also increase. Low-rent housing has the conditions to issue REITs, which will create very good conditions for us to issue asset securitization products in the future. This is a mixed concept.

For example, Tianlang Hotel is owned by Tianlang Group, but it is leased to a hotel management company for management, and so is the office building. If such assets are large in scale, they can meet the conditions for the issuance of REITs, but only if the whole property is integrated, the lease can grow, and there can be no pledge and guarantee. It can't be said that the house is pledged to others, so it can't meet the issuance requirements of REITs. Of course, asset securitization products include not only REITs, but also financial asset securitization products, only commercial real estate, industrial real estate and low-rent housing. These REITs are embodied in REITs in the real estate industry. These aspects include the International Trade Center where we work in Beijing and three office buildings, two of which are owned by Japanese REITs. We sent REITs to Hong Kong, including Wanda, SOHO China and other real estate developers. Why did we buy commercial real estate and other real estate developers in the past? In fact, it is put into the bag, laying the foundation for the issuance of REITs.

The second financing method is grounded financing, which means how Internet finance can help small and medium-sized developers. Small and medium-sized developers are also building P2P websites, and the future development trend of Internet finance is irreversible. At present, there are more than 1200 P2P websites in China, but twenty or thirty new websites will appear every month, and twenty or thirty websites will run away or close down. Last month, 28 companies ran away, which was very risky. But for real estate enterprises and related enterprises, how to make good use of the development trend of internet finance and really make good use of such a platform? What problems have Internet finance solved? It is to enable small and medium-sized enterprises, or small investors, to obtain their own different interests through such a platform. For example, we are all high-net-worth people here. You won't invest in P2P products just because your products are in the bank, buy trust products from the bank, or have your own methods, but for migrant workers, he doesn't have such a path. Save a little money every month and the income is very low. If there is a P2P platform, I can get the annualized interest rate of 10% in almost three months, which is very popular with everyone. People around me and ordinary people will get more benefits with the help of P2P platform, at least much higher than banks, and of course the risks are also great. People don't know which P2P is good, so there is a problem of choice.

Now P2P keeps popping up and running away, making migrant workers afraid to put their money on P2P, which meets the investment needs of small and medium-sized investors and small investors. The second one meets the needs of some different enterprises in society, including developers, such as small and medium-sized developers. We have the opportunity to use this P2P, with few investors and a small amount, but it is a crowdfunding concept. For most ordinary people, they can still switch to P2P and crowdfunding.

As a real estate development enterprise, how should we use this fund? If the operation is not good, it will become illegal fund-raising. The concept of P2P is the transfer of creditor's rights. The so-called creditor's rights transfer means that if you have a part of creditor's rights in your project, or you have10 million, you can split it into 6.5438+0 million. At present, with the development of P2P platform in the future, you have 65.438+0 billion, which can be divided into 654.38+0 million and10 million. In order to improve the risk control of creditor's rights transfer, you need to think that you are not borrowing money from the bank, and the bank can blacklist you. If you don't pay back the P2P money, you will have social influence. If you want to know whether this project is really capable of using P2P, you should control the risks.

The third is to pay back the money in time, so we must make it clear to investors where the money went and ensure the transparency of the use of funds. So sometimes we have to explain the risks to the big brother of migrant workers in advance, which part of the10 million real estate project you invest in, what risks and benefits this project has, and whether your funds are priority or lag, that is, the transparency of your project use must be guaranteed. We say that the P2P platform itself is not impossible.

Everyone here is discussing a problem. Let's talk about whether we can pay special attention. We build a P2P website by ourselves, and I use the funds raised by myself. Of course, I can build it myself, or someone may invest, but you have to know where the risks are and where your independence is. If I don't have independence, I will build a P2P platform to finance my own projects, which may be more risky. P2P platform can never establish a fund pool. The fund account cannot be in the P2P platform account. Once you have established a fund pool, you can't afford it. The CBRC will solve your problem in the next step. After we have a comprehensive understanding of internet finance, we can make some new breakthroughs in these areas, which is also one of the issues that a considerable number of small and medium-sized housing enterprises can pay attention to.

For real estate enterprises, the combination of internet finance and grassroots finance is often a means that small and medium-sized real estate enterprises can use. Besides internet finance, what else can I continue to use? It is the fund model and method of equity investment. 20 1 1 is the first year of real estate equity investment fund, which has increased to 450 billion in recent years. The advantage of equity investment funds is that they will be more flexible, including funds for land acquisition, which can be used through equity investment funds. However, there is a restriction on equity investment funds, that is, a limited partnership enterprise can only have 50 people and 50 investors at most. You can't do more than 50. This is the limit. If you want to raise 1 100 million, 50 people must invest at least 2 million. This is a requirement. Of course, you can also put the trust in limited companies and limited partnerships, so that you can have better arrangements.

Real estate investment fund, its structure is different from the limited company of real estate developers. On the one hand, we see that it has managers, on the other hand, it is LP, called limited partner. As LP investors, we can invest money in a limited partnership, a limited partnership 1 100 million or 200 million projects that can directly invest in real estate developers. What is its structure? The limited partnership has 300 million yuan, and10 million can be invested as equity in the project company. Then a year later, the real estate developer promised me to buy back 20%. Then, for the fund, the yield is 20%, and there is still 200 million yuan, which can enter the invested enterprise in the form of creditor's rights. According to the agreement, it cannot be higher than 4 times the bank interest rate in the same period. Of course, the real estate group company can make a guarantee, which is also possible.

The use of equity investment funds is much looser than trusts, and it takes at least twenty or thirty. Its requirements will be supervised by CBRC and CSRC, and the management of equity investment products is relatively loose. Now it is filed with the CSRC, and equity investment is more flexible in all aspects of real estate development, whether it is land acquisition projects or self-owned real estate projects, because the development of commercial real estate now gives everyone more opportunities. Sometimes, in order to avoid taxes, I participate more.

After the equity investment funds arrive at the enterprise, it actually reduces your asset-liability ratio, so there should be more opportunities for us to develop from these aspects. In fact, the development of real estate enterprises, I think equity investment funds in China should be a very good path, we are talking about different paths.

Many foreign funds in China, including overseas, have used the concept of supplementary funds on a very large scale. If it is made into three plus one, it is often not an additional fund, but an equity investment fund. Because it takes three or four years to develop the project, I became one of the major shareholders of the development project through the three plus one fund. We invest 80%, developers invest 20%, and we work together on a project. You invested 1 billion, and then my 3 billion accounted for 75%, and you accounted for 25%. Although you account for 25%, I promise that 75% of 15% can be repaid as profit. Although you have 25% investment, your profit is 40%, which is also very cost-effective.

We see equity investment funds. In the future development process, I think there should be many links in China. I recently invested in a very big project in Sydney to build the third China Center in the CBD. When I was negotiating with the existing property in China Center, I found that six buildings were over 20 or 30 years old, and four buildings to be demolished were held by the fund, also in some office buildings in new york and London.

In Beijing CBD, you want to find an office building, and the fund wants to buy it. Xi' an also has such an opportunity. Can you issue a fund with a scale of10 billion to hold office buildings? The developer may not be sure about this office building, but the developer may want to sell it. Sales may be1500 million, and the fund can buy it out. Can it be1200 million? I can ask a professional organization to manage it. The level of the whole property has improved, and the overall value of the property is also improving. Therefore, the effective commercial real estate such as apartments and office buildings in the whole real estate market should be a huge business opportunity in the future.

In this regard, we should have all kinds of opportunities. Besides banks, our securities institutions should also be involved. Asset companies also have some asset management plans, including the management mode of equity investment funds. Now the scale is getting bigger and bigger. You can make better arrangements according to your familiar resources. We see that quite a few real estate enterprises are also making strategic shifts. How can we have more opportunities to ensure that it is not just development? Moreover, real estate investment funds can do some things. Can PE funds be diversified? I will also participate in some things. Mr. Sun mentioned that enterprise diversification is the potential for future development. Diversity may not be my own operation. I invest in operation, and investment is also one of the diversified modes. I only choose the best in the industry, but I don't run this enterprise. As investors, we sometimes feel the flexibility of investment. Last year, we invested in many real estate projects, and this year, it has decreased a lot.

At the same time, there is a particularly good model for everyone to learn, that is, PPP model, which is a new model recently launched by the Ministry of Finance. The concept of this model is the financial financing platform of each province and city. Now No.43 document has stopped issuing bonds, including Xi 'an. Xi 'an Construction Engineering Group used to be the main body of issuing bonds by itself. Now, what can we do? It is necessary to use the P2P free mode, such as the project invested in Yuncheng, the railway from Datong to Xi 'an in Yuncheng, and 2,500 mu of land in the square in front of the station. Originally, the government wanted to do something, but now the government has not done it. Who did this? When we developers do it, there are some opportunities. In the process of developers' doing, we see more P2P mode. The government's problems come from different sources of funds. We account for 60% of this project, and local developers account for 40%. We also use the fund model. This model is also very good. Now it is 1.200 mu. There is also a land development model at the level of China. Everyone has the opportunity to visit this land in Yuncheng. It is the lowest price at present. For those who come to the meeting today, please give Mr. Ding the lowest price for those who have reserved 10.

PPP mode can be used not only for public facilities construction of high-speed rail plaza, but also for water supply and power supply, including low-rent housing. But you have to understand that it is private investment and self-management, and the legal responsibility and government responsibility are borne by the government. You can learn more about this in the future.