Chinanews.com, November 23rd, title: Where is the "next stop" for the development of the real estate industry?
China-Singapore Finance and Economics reporter Xia Bin
The real estate industry is associated with many upstream and downstream industries, and its virtuous circle is of great significance to the healthy development of the economy.
In the past year, there have been some adjustments and risk events in China's real estate market, accelerating and forcing companies to explore new development models. Where is the "next stop" for future industry development?
Recently, the "2022 Habitat Innovators Conference" was held simultaneously in Guangzhou and Beijing in a combination of online and offline methods. The conference was hosted by the Organizing Committee of the Habitat Innovators Conference. co-host.
Focusing on the theme of "Thinking, Seeking Innovation, and Building the Future", the conference will discuss new trends and new opportunities in the field of human settlements, new scenarios and new formats of the human settlements industry, and jointly discuss industry changes and model iterations and how the industrial ecology will evolve into the future.
Zhang Ming, deputy director of the Institute of Finance and Economics of the Chinese Academy of Social Sciences and deputy director of the National Finance and Development Laboratory, believes that 2022 will be a year of global economic and political complexity. The drastic changes in overseas geopolitics and the continued tightening policies of the Federal Reserve, etc. Global financial markets create many uncertainties.
"In such an environment, investors' demand for asset liquidity is increasing, while the liquidity of real estate is declining at this time, which means that investors will have some new and diversified investment options." Zhang Ming said.
Against this background, what opportunities does the real estate industry have?
The Chinese government proposes to build a coordinated development pattern of large, medium and small cities based on urban agglomerations and metropolitan circles, and promote urbanization with counties as important carriers.
Zhang Ming said that the direction of the real estate industry in the future depends on key urban agglomerations and metropolitan areas. "To judge the prospects of a city, there are two key indicators, the flow of young labor and the distribution of high-quality public goods (hospitals, schools, etc.), which have In cities with these resources, the real estate market will have a relatively stable future.”
In these high-quality cities where space is relatively scarce, the entire industry will enter the stock track, and the transformation and upgrading of stock assets will become an important development direction.
"The road that developers used to take was 'manufacturing + sales', but in the future it may turn into 'holding + service'." Zhang Ming said, looking further, once the business model has shifted to "holding + service", some users Real estate financial products that improve the turnover rate of existing funds will be favored, such as REITs, MBS, ABS, etc., will accelerate their development.
Nie Meisheng, founding chairman of the Urban and Rural Development Committee of the Tsinghua Alumni Association and chairman of the Jingrui Habitat Development Foundation, also mentioned REITs when sharing "guaranteed rental housing".
Nie Meisheng believes that at present, there is no domestic supply system including capital, land, and operation to ensure the development of market-oriented rental housing in China, and the emergence of REITs can improve this pain point from financial innovation.
In her view, the expansion of the pilot projects of guaranteed rental housing REITs can broaden the source of funds for housing rental development and activate more market-oriented institutions to participate in the development of housing rental.
Zhong Wei, Chief Economist of the Habitat Innovators Conference and Chief Economist of Minsheng Royal Fund, analyzed the change trend of the Habitat Model from the perspective of social transformation.
He bluntly said that with the aging and the advent of a single society, the "person" in the future of human settlements should be individuals.
Therefore, the society needs to provide more effective and high-quality private products and public products.
Furthermore, even if you stay at home without going out, you can still get the private and public services you want.
"During this process, if the industry can focus on services and create a good future residential market, it may be a possible breakthrough direction." Zhong Wei suggested.
(Finish)