The Feasibility Research Of Real Estate Project

As the current real estate environment is full of uncertainties and the investment cycle, construction period and other factors of the project itself, decision-makers must conduct a feasibility study of real estate projects from the social, environmental, economic, technological and other aspects to analyze the feasibility of the project before deciding to invest in real estate project, so as to improve the accuracy of its decision-making and reduce business risk, so real estate feasibility analysis received more and more attention from the scholars and the real estate investors in china.Combining with the actual situation of ‘Pinfeng Garden’ project, using the theory of feasibility analysis, economic evaluation and risk analysis, this paper discussed the real estate project feasibility from two aspects. Firstly, this paper presents the research background and research significance, reviews the domestic and foreign literature of real estate project feasibility study, and introduced the research contents and structural arrangement. Form the economic evaluation and risk analysis, real estate development project feasibility analysis is described. Then this paper briefly introduced ‘Pinfeng Garden’ real estate project.Then, the paper evaluated the economic benefit on the ‘Pinfeng Garden’ real estate project. This paper analyzed the project’s profitability from investment cash flow, project capital cash flow and other aspects. This paper also analysed the project’s liquidity, fund balance and the situation of assets and liabilities. The results show that ‘Pinfeng Garden’ real estate project’s internal rate of is greater than the benchmark rate of return, and net present value is greater than zero. So ‘Pinfeng Garden’ project can get positive returns, has investment value, and the project’s balance sheet structure is good.Finally, this paper analyzed ‘Pinfeng Garden’ real estate project’ risks and project risks are identified. There are 7 risk factors in this project, including policy risk, financing risk, construction risk, environmental risk, selling stage risk, selling price risk and technique risk. On this basis, the project risk was evaluated by AHP and FCEM. It indicates that comprehensive project risk is in the average level, and the factor that influences project’s profit most is the selling price risk. Then, aiming at these risk factors, some countermeasures of risk are proposed. At last, a comprehensive evaluation of the project was made.