Real Estate Development Project Feasibility Study Report

Feasibility Study Report on Real Estate Development Project

1

I. Background of the Project

1 , Project Name: Residential District (tentative name)

2, the preparation of the feasibility study report is based on:

(1)Urban Residential Planning and Design Specification

(2)Regulations on the Management of Urban Demolition and Removal in A City

(3)Regulations on the Setting of Public**** Service Facilities in A City

(4)Regulations on the Establishment of Public**** Service Facilities in A City

(2) "A City Urban Demolition and Relocation Management Regulations"

(3) "Provisions on the Installation of Public ****service Facilities in Urban Residential Areas"

(4) "Residential Design Specification"

(5) "Residential Architectural Design Standards"

(6) "Standards for Traffic Design and Parking Lot Installation of Architectural Works"

(7) "Greening of Urban Roads Planning and Design Code for Urban Roads

(8) Code for Fire Protection in the Design of High-rise Civil Buildings

3. Overview of the Project

1 ) The location of the land plot: the base is from the east to the road in the south, from the west to the road, from the north to the road, and the area of land within the enclosure is about square meters, which is a class of lot in A city.

2 )Construction scale and objectives:

Land area: mu ( square meters )

Volume ratio:

Development cycle:

Land price: yuan / mu (A city of state-owned land use rights listed for sale starting price) Building area (expected): total construction area: ㎡

3 )Surrounding environment and facilities

( 1) About 10 minutes walk to A city center.

( 2) The city's urban center attractions are on the west side.

(3) City green belt on the east side and square on the south side.

(4) The southwest side is near the A City Elementary School.

(5) The People's Bank of City A is to the north.

4, the project SWOT analysis

Strengths and opportunities

(1) The project is located in the most development potential of A city, the surrounding environment in the near future is the best residential area.

(2) A recent years of economic development and the pace of municipal construction, making the region's real estate has a large appreciation space.

(3) The successful development of the east side has provided market acceptance for the positioning of house prices in the area.

(4) The increasingly mature residential facilities and the gradual formation of the surrounding commercial atmosphere have laid a certain foundation for the project's store prices.

(5) Local residents who have been relocated choose to relocate back to a larger proportion of the site, which will ease the pressure on the capital flow of the project.

(6) The project was offered for sale as gross land at a starting price of RMB/mu, which made the upfront capital for acquiring the land less.

(7) The project is positioned as the first small high-rise residential district in City A. Our company's experience in developing small high-rise in City B can be used as a reference.

(8) Our company has a good public **** relationship background with the government and construction authorities in City A, which is conducive to our future development in the area.

(9) The first intervention of the property management company in City A has certain complementary advantages for the future property management of the project.

(10) The difficulty of demolition and relocation makes the foreign capital have concerns, for us to achieve the success of the bidding to create a certain opportunity.

Weaknesses and Threats

(11) Demolition density is too high, and the cost and risk of demolition is the key to the success of this project.

(12) Demolition and relocation implementation rules of City A are coming soon, and the prediction of demolition and relocation costs is risky.

(13) The uncertainty of the standards for municipal facilities with demolition and construction makes the measurement of costs somewhat uncertain.

(14) Involvement of foreign capital may raise the listing price of the land too high.

(15) The positioning of the residential land in the plan and whether the future commercial plan can be passed are uncertain.

(16) The formation of the concept of small high-rise living, property management fees, elevator operation and maintenance, etc., will bring some resistance to future sales.

(17) Most of the residents of the site are second-time demolition, and it is difficult to demolish and relocate.

(18) The growing sophistication of the gardens and the fact that they are multi-storey residences will be a fierce competition with this project.

(19) The difficulty of demolition and relocation makes the construction cycle of the project has the possibility of extension.

(20) The surrounding living facilities and transportation are not perfect.

Second, market analysis

1 A city profile (reference)

A city is located on the bank of Henan River, with an area of square kilometers and a population of 10,000 people.

Excellent ecological environment. There are national forest parks, national wildlife reserves and national waterfowl wetland reserves. The city's forest coverage rate of 56%, in 1996 and 1997 was approved by the state as a national ecological economic demonstration zone and the implementation of China's Agenda 21 local pilot.

Good investment environment. Convenient transportation and communication, highway has formed a national highway, provincial highway and river highway as the skeleton of the traffic and transportation network; water transport to the Yangtze River main stream of the important ports?A port as a hub, has a national open port, the annual design throughput capacity of 5 million tons, the A port of the new port area of the Nai Chau project has begun; communication has formed a variety of communication modes and multi-functional communications services network based on digital transmission, program-controlled switching.

The project area is located in the middle and lower reaches of the south bank of the river, bordering the city of B, is the political, economic and cultural center of A city. The district has a total area of 2,516 square kilometers, a population of 620,000, with 8 townships, 13 towns and 4 street offices under its jurisdiction. Urban population of 120,000 people.

2 A city real estate residential market analysis

A city real estate industry from the beginning to the development, roughly experienced three phases: 1988 to 1993 for the first stage, to the housing construction of the United States is the main housing built for the welfare of most of the housing, the commercialization rate is low, the real estate industry is in the embryonic state. 1994 to 1998 for the second stage, the United States built the act of disappearing, the commercial housing development is gradually emerging. 1999, the United States built the first stage of the real estate industry. Commodity housing development is gradually emerging. 1999 to the present for the development of real estate industry and standardize the stage. To the south gate of the city? Two points and a line? Old city renovation and the development of the Xiyuan District piece for the starting point, set off a new round of urban construction climax. Especially after the change of city, urban infrastructure construction to speed up the pace of urban built-up area population, the rapid expansion of the scale of urban construction and real estate development of the two benign interaction, the real estate field into the orderly development of the period. So far, A city real estate industry has basically realized the task of business start-up, completed the original accumulation. Residents housing quality has improved significantly, the industrial structure tends to be reasonable, the market system is basically established.

Two OO three years, A city real estate industry, the main characteristics of the following aspects:

One of the performance: the investment increase. Real estate development investment completed 460 million yuan, an increase of 33.4%, accounting for 65% of the city's construction system investment, accounting for the city's fixed asset investment of 12.6%.

Performance of two: market supply and sales. The main city completed 204,000 square meters of commercial housing area, sales area of 220,400 square meters, digestion of 20,000 square meters of vacant houses. Per capita housing construction area in the city has reached 26 square meters.

Performance of the third: the price of housing rose steadily. Urban residential prices rose 17% over last year, a net increase of about 400 yuan/m2.

Performance of the fourth: the transaction market continues to heat up. The city's annual *** for all kinds of real estate transactions 11,200. A city urban *** for all kinds of real estate transactions 7,938, an area of 896,200 m2, compared with the previous year, respectively, an increase of 25% and 35%, of which 2,305 cases of the purchase and sale of inventory, an area of 244,000 m2, the transaction amount of 88 million yuan.

Performance of the fifth: pulling the economy effect is remarkable. The added value of the real estate industry accounted for 14% of the city's GDP, driving the output value of related industries 887 million yuan, driving the sale of social commodities 616 million yuan; the real estate industry paid 28 million yuan of state taxes.

Forecast of the future market:

---? From the point of view of home-buying ability

Along with the economic growth, the disposable income of urban residents has been increasing year by year, from 2001 to 2003, the disposable income of urban residents rose from 5,222 yuan to 6,028 yuan. Despite the large increase in housing prices last year, the consumer market remained hot.

? From the investment point of view

As the stock market has been in the doldrums for a long time, the bank interest rate has been lowered several times, and the real estate industry has a significant function of preserving and increasing value, which makes the real estate market an important field of investment. This, coupled with the support of bank credit, has greatly stimulated market demand. Currently, the proportion of commercial properties purchased through mortgage loans is 42%, with an annual increase of 16%.

? From the consumption structure

With the development of the real estate market, the residents of the housing consumption concept has changed significantly. People can no longer be satisfied with ? Enough to live on the line? The traditional concept of improved housing demand is more obvious. Housing consumption is from? Residential? to? enjoyment type? change. The consumer group of second home purchase and third home purchase is expanding gradually. According to the survey, more than 95% of the buyers of the first phase of the Hui Jing Garden for the housing exchange.

? From the demand relationship

According to the city's master plan, the city's built-up area will develop from 14.6 square kilometers to 27.8 square kilometers, and the city's population will increase from 120,000 to 300,000 people. Without considering the effective purchasing power, just from the analysis of housing demand, the housing demand pulled by the annual population growth in City A, coupled with the purchasing demand of the city's foreign population and the need for urban demolition and relocation, will provide the real estate industry with a broad space for development.

3, the main competitive project analysis

Residential district details are shown in the table:

Project Number of sets of building area (10,000 square meters) Average unit price (yuan / ㎡) Location

Xiangyang District 1500 22 1400 Baoshan Road

Xinhua District 785 8 1344 Huanghe Street

Galaxy District 170 1460 Yinhe Street

Chengguang Subdivision 130 1400 College Road

Yangshen Subdivision 500 6.9 1508 Heroic Road

Details of some commercial outlets

Project Area ㎡ Unit Price Yuan/㎡ Location

Huifeng Garden 40~~80 4000~5600 New Town

Qiu Shuang Garden 50~~ 70 5000~12000 City Center

Biyuan Subdivision 36~~50 6800 Construction Road

Taoyuan Subdivision Garage 550 Qiupu Road

Lotus Village Garage 550 Construction Road

Third, the project's financial analysis

(a), the analysis of the cost of demolition and relocation

The houses in the enclosing area are all of brick-concrete structure. Among them, there are four 5-story residential buildings (40 households in the second building of the Experimental Primary School staff, 16 households in the first building of the four building company staff housing,

Demolition and relocation company demolition and resettlement of a building, 30 households). Other houses are two? Four-story.

According to the listing documents attached to the map and the site verification, enclosure area to be demolished housing area: residential 34329 square meters, 600 square meters of business premises, a total of about 205 households. The composition of the households is mostly demolished and relocated from the urban housing to this Jianhuang. More than 90% of the households have land certificates, planning and building certificates, house ownership certificates, single-family water and electricity meters. The company has a certain experience in house demolition.

Demolition and relocation cost estimates:

In accordance with the provisions of the A City "Urban Housing Demolition and Relocation Management Measures" and the demolition and relocation compensation assessment report.

1, residential: 640 yuan / square meter * (0.9 + 0.3 + 0.08 + 0) * 34,329 square meters = 34,329 * 819.20 yuan = 28,122,316.80 yuan

2, business premises: 640 yuan / square meter * (0.9 + 1.5 + 0.3 + 0.45 + 2.7) * 600 square meters = 600 square meters * 3776 yuan / square meter = 2,265,600 yuan

3, appurtenances (water, electricity, telephone, air-conditioning above other)

Residential 34329 square meters * 45 yuan / square meter = 1544,805 yuan

Business premises: 600 square meters * 45 yuan / square meter = 27,000 yuan

4, interior decoration : 34929 square meters * 80 yuan / square meter = 2794320 yuan

5, attic, fence yard flooring, etc.:

34929 square meters * 48 yuan = 1676592 yuan

6, moving costs, temporary transition costs, etc.:

1), moving expenses:

Residential: 200 families * 300 yuan = 60,000 yuan

Business premises: 9 households * 500 yuan = 4,500 yuan

Subtotal: 64,500 yuan

2) Transition fee:

Residential premises: 34,329 square meters * 2.5 yuan/square meter * 6 months = 51,495 yuan

Business premises: 600 square meters * 16 yuan/square meter * 6 months = 57,600 yuan

1) Moving fee:

Residential premises: 200 households * 300 yuan = 600 yuan months=57,600 yuan

Subtotal: 632,535 yuan

Other expenses

3), management fee, commissioned demolition fee:

34929 square meters*15 yuan/square meter=523,935 yuan

4), housing demolition and relocation appraisal service fee: 35,000 yuan

5), incentives:

34929 square meters*15 yuan/square meter=514935 yuan

5), awards:

34929 square meters*2 yuan/square meter=514935 yuan

34,929 square meters * 100 yuan / square meter = 34,929,900 yuan

Subtotal of all the above costs: 3,853,3208 yuan, offsetting the amount of compensation per square meter is 1103.18 yuan.

According to the order of the people's government of A city, the demolition of houses in the urban area of A city, in the first half of 2003 can still be implemented, since the provincial "urban housing demolition and relocation of management measures", in July 1, 2003 after the implementation of the city of A city housing demolition and relocation of difficulties, especially the national urban housing demolition and relocation of the general policy, to the demolition and relocation of people tilted to the verdict of the judiciary forced demolition and relocation of the basic stop.

1103.18 yuan / square meter + 100 yuan / square meter = 1203.18 square meters

1203.18 yuan * 34,929 square meters = 420,258,774.2 yuan

(ii) construction cost analysis

The construction scale of the site made a preliminary planning program, along the East Lake Road to build two two-story outlets. Land area: 50*10*2=1000 square meters, building area: 2000 square meters.

The main entrance is located between the two outlets on Donghu Road, and the secondary entrance is located on the road near the bridge next to the neighborhood. Along the east construction road to build two-story podium, the form is basically the same as the S small high-rise, podium on the three 12-story residential, podium covers an area of 110 * 15 * 2 = 3300 square meters, three 12-story residential building area: 29.4 * 13.8 * 12-story * 3 = 14606 square meters, the total construction area: 17906 square meters.

Approximate arrangement in the plot

One 15-story 29.4*13.8*15-story;

One 12-story 29.4*13.8*12-story;

Three 12-story 40*15*12-story;

One 15-story 40*15*15-story;

Covered area: 3,211 square meters. Building area: 41554 square meters

Total area: 5861 square meters, building density: 20.7%

Total building area: 61460 square meters, floor area ratio: 2.17

Basement is designed for all the upper floors, with an area of 4861 square meters, and the total number of households is about 297.

Estimated construction cost

(a), pre-construction costs:

1, demolition and relocation costs

2, land grant

3, urban infrastructure support costs: 61460 square meters * 50 yuan / square meter = 3.073 million yuan

4, the Human Defense Fund: supporting the construction of basement

5, planning technical Service Fee: 56160*1.4+5300*2.2=90,300 Yuan

6, Wall Reform: 61460*8=491,680 Yuan

7, Bulk Cement: 61460*2=122,900 Yuan

8, Termite Control Fee: 61460*2=122,900 Yuan

9, Quality Supervision Fee : 61460*2=122,960,000 Yuan

10, Construction Drawing Review: 61460*1=61,500 Yuan

11, Lightning Protection Review: 61460*1=61,500 Yuan

12, Fire Protection Review:

13, Cultural Relics: 0.2 Million Yuan

14, Planning and Design: 100,000 Yuan

15, architectural design: 2000*12+59460*30=1,807,800 Yuan

16, geological exploration: 61460*2=122,900 Yuan

17, measurement and positioning: 100,000 Yuan

18, gas capacity increase: 2,500 Yuan/household

19, water supply pipeline network support fee: 20 Yuan / ㎡

Subtotal: 6,279,300 yuan (18, 19 items collected on behalf of the payment, not counted)

(ii) Engineering Costs

1, piling: 59460 * 100 yuan / ㎡ = 5,946,000 yuan

2, basement: 4861 * 600 yuan / ㎡ = 2,916,600 yuan

3, the main body: 59460*900+2000*500=54.514 million yuan

4, elevator: 9 buildings *500,000 yuan / building = 4.5 million yuan

5, outdoor water and electrical works: 61460*50=3.073 million yuan

6, community greening, roads and other projects: 61460*60=3.6876 million yuan

7, supervision fees: 6337.66 * 1% = 633,800 yuan

Subtotal: 75,271,000 yuan

Total, 81,553,000 yuan

(C) project cost analysis

Based on the combination of comparative pricing and market pricing principles, the budget for the project pricing:

Small high-rise residential 1900 Yuan/㎡ Shop 6000 Yuan/㎡ Underground garage 800 Yuan/㎡

Sales revenue Residential 1900*56160=106704000

Shop 6000*5300=31800000

Underground 4861*800=3888800

Total: 142392800 Yuan

Business tax and tax revenue are as follows p>

Business tax and surcharge 142392800*5.5%=7831604

Various expenses 142392800*4%=5695712

Total cost: demolition cost + construction and safety cost + tax + expenses + land cost

=42025874.2+81550300+7831604 +5695712+X=137103490.2

Gross profit: sales revenue? Total cost

=142392800-137103490.2

=$5289309.8

Fourth, the conclusion of the analysis of project costs

If the land listing bidding price within five million two hundred and eighty thousand dollars, the project has a certain profit margin, the project is feasible. If beyond the project risk is large, the project is not feasible.

2

Generally speaking, the real estate study report is based on market demand as a foothold, to the limit of resource inputs, scientific methods as a strategy to systematic assessment of the results of the indicators, generally speaking, the performance of the following two questions:

Question 1: Is it feasible?

Question two: how to maximize economic returns?

From the actual situation of real estate project development, from the point of view of building construction technology alone, there is generally no major difficulties that can not be broken through, whether it is a large-span bridges, or ultra-high-rise buildings, such as Shanghai's Yangpu, Nanpu Bridge, and as high as 420 meters, 88-story Jinmao Tower and as high as 468 meters of the Oriental Pearl Tower is a very good proof. It can be seen that the key to the return on investment, that is, whether to achieve the best economic benefits, and take into account the social and environmental benefits.

2, the first project investment winning

A real estate project before the implementation of investment feasibility analysis must be carried out. At this stage, the feasibility analysis to address the possibility of success of a particular project. Of course, the possibility of success of an investment program, or that it is feasible, does not mean that the project is appropriate. -Generally, the feasibility analysis to study not only a program, but at the same time to study and submit a number of options, sometimes several options may be feasible, and are likely to be attractive. In a number of feasible options in the selection of the best program, the researchers can only be based on feasibility analysis, comprehensive consideration of the market, capital, risk and other aspects of the problem, a comprehensive evaluation of reasonable trade-offs. Feasibility study, at least to be able to accurately answer these three questions:

a, this project is feasible or infeasible

b, if feasible, feasible to what extent

c, if the investment, what is the worst case scenario that may be encountered, and what to do about it

The third operational link: real estate feasibility study strategy analysis

Analysis angle 1: the impact of the socio-economic environment on the real estate market

The real estate industry is not an isolated industry, this book emphasizes in many places, the real estate industry as the national economy? The real estate industry is not an isolated industry, this book emphasizes in many places that the real estate industry as the national economy? to look at is wrong, this is not just a statement of the problem, but one of the most basic understanding of the problem: in the end is the real estate industry to drive the development of the national economy or the growth of the national economy to drive the development of the real estate industry? If this question is reversed, there will be a fundamental error in the judgment of the situation. Both the government and enterprises will lead to? The first to dominate? Decision-making tendencies. Such as the early years of Hainan, Huizhou, Beihai and other places in the real estate industry monstrous expansion, ups and downs, are ignoring the development of the local national economy, the main and secondary upside down, did not correctly position the real estate industry brought about by the consequences.

Analysis of angle two: the local government administrative behavior on the market

Some local governments have a direct impact on the level of urban planning and planning control of local real estate development. As we all know, in the city of Zhangjiagang City and Jiangyin City, where urban planning and management are relatively good, real estate development has been in a relatively stable state. Advance and scientific planning, effective scale control, strict planning and management, so that the two cities of real estate development to avoid 7 blind, a swarm of phenomena, in line with the supporting a piece, development of a piece, the management of a piece of the principle of the residential market here basically did not appear in the community of demand exceeds supply, all the pre-sale of the property are very good results. In contrast, the scale of land grants in many cities is seriously out of control, and the management of the real estate market is chaotic, resulting in serious land speculation, excessive supply of commercial housing, market prices rise and fall too drastically, and improper planning and management by the local government, which has brought a great deal of risk to the developers.

Analysis of angle three: the neighborhood environment on the impact of real estate marketing

Gubei New District is not the downtown area of Shanghai, why is the property price so expensive? Originally, the first foreign trade zone in Shanghai was developed in the 80s. Hongqiao Development Zone, with more and more foreign businessmen stationed in the office, the neighboring Gubei New District has naturally become the main target of foreign businessmen to buy or rent housing. The area is full of luxury residences, and most of the residents are Hong Kong, Taiwan compatriots and foreigners, making it the only place in Shanghai where foreigners can live. It has become the only residential area for foreigners in Shanghai. This gave the Gubei New District a high profile and naturally created a unique social and living community. The quality of the buildings in the district was not bad, and there was a high demand for them and a willingness to spend a lot of money, so prices and rents were steadily on the rise. After 1996, the prices in this neighborhood have dropped, but they are still among the most expensive in the country.

As can be seen from the Gubei New District example, the value of real estate does not seem to depend entirely on the grade and quality of the development itself, but also on the surrounding neighborhood environment. It is precisely because of the development of the Hongqiao Development Zone that the demand for luxury housing in the Gubei New Area has arisen, and there is a clear functional complementarity between the Hongqiao Development Zone and the Gubei New Area. Neighborhood function is the extrinsic motivation for real estate to realize its market value.

The investor's own conditions to examine

1, to examine your experience

隔行如隔山，隔山买牛难. It is impossible for any company to invest in a field they know nothing about, and the same is true of real estate investment. Even if the company already has some seniority in the real estate industry, if the company used to develop office buildings in the city, and now the target investment object is a suburban villa, then can we consider it? That depends on the company's managerial level whether there are villa development experience in the talent, otherwise it is better to be cautious. Of course, things are not absolute, when you think? Experience? This risk is also worth taking when, there is no need to think more on this issue.

2, examine your investment approach

Due to the different backgrounds and strengths of the enterprises, the real estate investment enterprises are not the same way to invest in the project. Maybe your business will never build a building after relying on rental to get long-term returns, but to build a part of the sale of a part, or even by pre-sale of buildings to rolling development, then for those suitable for long-term development of the project and suitable for long money to invest in the region, you have to think twice before you go. Sometimes a good project, to the hands of some real estate companies into a stinking shit, want to throw also throw away.

3, examine your ability to finance

Every real estate project development will encounter borrowing and financing problems. The question is whether your lending channels and financing channels are reliable, if the project is built to half and your follow-up funds and no one to provide, that can be a life-threatening. I have seen a lot of things like this: a half-built project because there is no follow-up funds and stop working for two or three years, the cost of the early stage has risen by half, so even if the construction is not profitable to speak of, it is clearly a loss-making business. Analysis of Angle 4: the investor's own conditions on the impact of marketing as the saying goes? Too expensive to have self-knowledge? Real estate developers in the project analysis is impossible not to analyze their own conditions. A company can not be what kind of project can be developed, can not be what kind of risk are bold to take, so in the examination of a region, a project is worth to invest, but also must be targeted to weigh: the company is not suitable for that region to invest, suitable for investment in that kind of project.

The fourth operational link Designing a successful feasibility study process

Step A Staffing mix

Item Content Number of people in charge of the project Cost Time

Registered real estate appraisers

Cost engineers

Market researchers and analysts

Specialists in economic analysis

Production staff<

Sociological, environmental and other experts

Step B: Market Analysis

a. Macro Factors Analysis

When a real estate developer intends to invest in real estate in a certain region of a country, the first thing to consider is the country's macro factors such as political, economic, cultural, geographic features, customs and religious beliefs, the possibility of regional conflicts or wars. The possibility of war.

b, regional factor analysis

Generally speaking, the project is located in the country within the development of the region is not balanced, the difference is always different degrees of existence, only the study of its macro-factors are not enough, but also must be on the project region to analyze the factors, this is because: first of all, the macro-economic impact on the regional economy, the degree of influence on the regional influence, there are regions of the impact of the impact of the region, and there are regions of the impact of the impact of a small; Secondly, the regional economic development by the macroeconomic impact on the regional economy, there are regions of the impact of a large, small. Secondly, the regional economic development by the macroeconomic impact of the existence of? Time lag? Phenomenon, the macroeconomic status quo often after a long period of time in order to have an impact on the development of the regional economy, some regions react quickly, some regions are lagging behind more obvious, investment must be considered; Third, the country's specific regional economy makes some regional economy more or less affected by the macroeconomic fluctuations, and even the formation of the macroeconomic trend in the opposite direction of the reverse trend. China's special economic zones, free trade marriages, bonded zones on the international capital is relatively low, even during China's macroeconomic adjustment, the domestic financial constraints, its international capital is less affected by the impact of these areas of the project is also less impact.

c, micro-market analysis

The analysis of the real estate micro-market in the region of the proposed investment project can be divided into the following two parts, one of which is the analysis of the real estate market to be invested in, and the other is the analysis of the property market with the same type of investment project.

Step C: Market Forecasting

a Demand Forecasting

Demand Forecasting is to analyze and forecast the market demand pattern and trend of a certain type of property based on the information, data and data from the real estate market survey, and to deduce the demand for that type of property for the sake of the market by applying scientific methods.

b Supply Forecast

Supply forecasting is based on real estate market survey information and data, using scientific methods to analyze the law of market supply of certain types of properties and trends, so as to predict the supply of such properties for the market

c Forecasting Methods

Usually, it can be divided into the time-series analysis method and the causality analysis method. analysis method. Time series analysis can be divided into: moving average method, exponential smoothing method, etc.; causality analysis can be divided into: linear regression, non-linear regression, simulation method, etc.

The steps in the process of forecasting can be divided into two categories: time series analysis and causality analysis.

Step D: Cost Measurement

In the feasibility study of real estate development projects, the cost of the project is an important part of the cost measurement, which is completed by the appraiser in conjunction with the cost engineer. The correctness of the cost estimate, like the forecast of the rental and sales market, has a significant impact on the economic efficiency of the project, but relatively speaking, the cost estimate is easier to grasp.

Generally speaking, the cost components include the following four parts:

A Pre-landing costs: refers to the cost of obtaining a reasonable land title, completing the demolition of existing buildings on the land, the opening of the construction of water, electricity, roads, and the completion of the site until the completion of the cost of leveling. According to the different ways of obtaining land, and can be divided into three types of new land acquisition fee, the old district renovation fee and land lease fee.

B design and construction and installation costs: refers to the completion of the site after the three passes and one leveling, from planning and design to civil engineering, equipment installation, decoration works and community support, community greening costs included in the end.

C Municipal Supporting Fees: refers to the supporting fees that must be delivered to the city municipal construction when the project is developed, mainly due to the water and electricity costs arising from new real estate projects.

Step E: Financial Evaluation

The indicators for evaluating the project investment program are generally divided into two categories:

One category is to consider the dynamic indicators of the 7 discounting factors, that is, to consider the 7 time value of money factors, including the net present value, the profitability index, the dynamic payback period, the embedded compensation thing and other indicators.