Research On REITs Of China’s Elderly Real Estate

As the elderly population in China continues to expand and the demand for elderly care continues to increase,opportunities for the development of China’s elderly real estate will follow.Elderly real estate has the characteristics of both the real estate industry and the elderly industry.The characteristics of long investment payback period and high risk have caused funding problems to become one of the major obstacles to the development of China’s elderly real estate.In order for elderly real estate to keep up with the aging population,China needs to find a suitable financing model to alleviate the funding gap.Real estate investment trusts(REITs),as a new type of financing tool,securitize real estate and lower the investment threshold for individuals in society.Not only do they have high liquidity,investors can also enjoy a high proportion of dividend returns,and their income is more stable.The United States took the lead in applying REITs to retirement real estate,and successfully constructed a US retirement real estate REITs model.To this end,this article applies REITs to the financing model of China’s senior care real estate,explores the current development of China’s elderly real estate and REITs,and uses the experience of the United States and the case of Poly Real Estate REITs to analyze the differences between China’s senior care real estate REITs and the United States.And make recommendations for improvement and future development direction of China’s old-age real estate REITs.This article not only broadens the financing channels for senior care real estate,but also provides reference and reference for the development of China’s senior care real estate REITs,and enriches the case database of China’s senior care real estate REITs.The article uses case analysis and comparative analysis,and through research the article thinks that China’s pension real estate REITs can first be improved in the direction of public offering,from a two-tier structure to a single-tier structure,and corporate REITs can be established in the future.At the same time,China needs to speed up the special legislation of REITs,and promote the further development of REITs through tax incentives.China needs to provide land preferential policies for senior housing real estate companies,cultivate professional senior housing REITs teams,strengthen information disclosure,and pay attention to risk control.However,because there are still relatively few cases of China’s senior care real estate REITs,this article may not be comprehensive enough to analyze,and there are certain particularities.Therefore,after new policies and new situations emerge,the paper needs to be updated and improved continuously.