Research On Risk Management Of Real Estate Project

In recent years,China's real estate industry maintained a rapid development,which has become a pillar industry of China's national economy.The real estate investment in the proportion of investment in fixed assets increased year by year.Regardless of the trend of the real estate market in the future,whether the prices are rising or falling,the real estate industry will definitely maintain an important role in the economic component in our country in the long run.The overall risk of the real estate industry,which should not be simply estimated,is decided by the macro-economic policy,credit policy,purchasing power and especially the project itself.Combined with personal working experience and based on on-going projects,this thesis provides case analysis on comprehensive risk management on real estate projects with the example of Wongtee Center project in Shenzhen Futian District.This dissertation mostly adopts the methods of normal analysis and empirical analysis,applying analytic approach of qualitative and quantitative to discuss how to perform risk control.The thesis firstly discusses and summaries the existing theoretical results on risk management on real estate projects,analyses the relationship and concepts between risk management and real estate risk management.And then it confirms the main context of the paragraph by summarizing the risk features,risk recognition method,risk assessment,management and counteractions,and the main body of the thesis performs overall risk assessment on the Wongtee Center project which I work for by analyzing the risk features and recognition method;proposes feasible measures of risk management.Firstly,it gives an objective review on Wongtee Center project's locational factors,traffic conditions and construction scale,and deep analysis on inner and outside environment.Then the thesis carries out profound arguments on the Wongtee Center project investment behavior among different phases such as analysis stage,early stage,construction stage and stage of sale and rental,pointing out that each project has certain risk under the circumstances of the regulation of the real estate industry by the government but there exists good expectation on Wongtee Center project by an integrated view.The thesis proposes corresponding measures on various risks of the projects,for instance,preventing policy risks by enhancing policy analysis,defusing financing risks by diversification method,reducing the timing limit risks by coordinating interaction relations,controlling cost risks by tougher design alteration and budget management,decreasing price risks by adopting different discount plans and sales agents.The end of the thesis is the theoretical summary and perspective on the risk management of the real estate projects.