Research On PPP Mode In New Industrial City Of CFLD

In the past 40 years of reform and open policy,the economy of our country is developing.Moreover urbanization is accelerating.By the end of 2018,the rate of urbanization has increased from 17.92%to 59.58%,and the urban population has surged from 172 million to 831 million.Under the development trend of new mode of urbanization in China,the demand for the convergence of both industry and New City is becoming more and more urgent.However,due to the shortage of local government funds and the lack of relevant technical talents,a series of problems have arisen during the development and construction of Industry City.The PPP mode is a way to effectively alleviate the above problems.Among them,the Gu'an county government and the local private enterprise(China Fortune Land Development Co.,Ltd.)established the Industry City with the "highly-assimilated industries,well-equipped urban space,and eco-friendly environment" created by the PPP model,which is the one of the most successful case.After more than ten years of development,China Fortune Land Development(CFLD)has become a leading Industry City operator in China.This study selects CFLD as the research object,and takes the PPP model of the New Industry City as the research content to explore how CFLD can use the PPP model of the New Industry City to achieve success and how to avoid the risk points that may be encountered in the development process.This study participated in the research subject of the PPP model of the New Industry City for the PPP Institute of the Chinese Academy of Fiscal Sciences.Through the methods of literature induction,interview,case analysis and SWOT analysis,the research results were used to comprehensively analyze the content of the research.This research draws the following conclusions:firstly,introduces the basic situation of CFLD,as well as the service content,return settlement and operation mode of its PPP model of New Industry City;secondly,explains the internal environment of the PPP mode of the CFLDNew Industry City from three aspects:personnel quality and management level,selection logic of New Industry City location and key business model,and outlines its external environment from political,social and technical aspects;then,using SWOT analysis method puts emphasis on the advantages of the PPP model of CFLD New Industry City(accurate site selection principle,clear industry positioning,leading investment capabilities,perfect operational services,significant Gu'an brand effect),and the disadvantages(industrial development is not up to expectations,policy and law changes are greatly affected,investment scalelarge and capital liquidity tightened),potential opportunities(large development space of New Industry City and PPP model market demand)and threats(operational risk,legal risk and financial risk).On the base of all above mentioned,this study proposes optimization suggestions for the future development of CFLD:in terms of company operation,CFLD should participate in the government design planning in the early stage of the project,and the project scale should consider the development potential of the entrusted region and the company's capital status;in terms of legal compliance,the company should plan for each piece of land in the project,apply reasonably land according to law,and obtain each investment return legally and compliantly;in terms of finance,the project should implement a rolling development model to accelerate the securitization of project assets.