“Hot Focus” Bay Area Urban renewal outlook for the Year of the Tiger

2022-05-22 0 By

With the continuous ferment of the storm caused by large-scale felling of trees in migrating cities in Guangzhou, the urban renewal (” three old “reconstruction) has experienced a drastic change from volcano to ice sea.Each we-media has issued the urban renewal “do we still do it?””Can you do it?””Dare you do it again?The question.The city’s renewal in the second half of 2021 May seem an understatement.In our tradition, the beginning of the year is a time to reflect on the past and look forward to the future. It is also a time for blessings.In the year of tiger, the auspicious year for Chinese people, what kind of market will urban renewal come out of?Law firm believes that despite market fluctuations and public sentiment fluctuations, urban renewal, as the main form of land use in the stock era, as the most important trend of future urbanization development, and as an important tool to promote high-quality urban development, will not change.With the recent LPR “double drop”, merger and loan no longer included in the “three red line” indicators and other policies, as well as the recently held national Housing and Urban and Rural Development work conference made relevant arrangements, the spring breeze of urban renewal and the rhythm of the Year of the Tiger Spring Festival will be blowing slowly.On January 20, the National Work Conference on Housing and Urban and Rural Development made arrangements for the work of housing and urban and rural development in 2022, putting forward eight key tasks, including the implementation of urban renewal action.The meeting stressed that “the implementation of urban renewal action as a major strategic measure to promote high-quality urban development, improve the system, optimize the layout, improve functions, control the bottom line, improve quality, improve efficiency, change the way.Urban physical examination evaluation will be carried out in all cities with districts.We will guide local governments in formulating and implementing urban renewal plans and carry out various tasks in a planned and step-by-step manner.”Implementation of urban renewal is the party of the fifth plenary session of the 19th to make major strategic decisions, the national work conference on housing and urban and rural construction clear once again, it is imperative to implement the strategy of city renewal has been as a national level, is expected next housing will further policy formulation and implementation of urban renewal planning around the guide, quality to promote and implement urban renewal work.02 guangzhou to national spatial planning as a whole lead high quality city update earlier this month, guangzhou city planning and natural resource bureau issued a “national spatial planning as a whole to lead high quality urban renewal”, emphasis on urban renewal is the national spatial development and protection “main battlefield”, is the focus of national spatial planning management field,Released the future guangzhou urban renewal will be further high-quality promotion of the signal.This paper is divided into four parts, which are “strengthening planning guidance, constructing urban renewal planning control mechanism”, “Improving standardized management, establishing urban renewal unit management system”, “zoning, classification, planning and staging, orderly promoting urban organic renewal”, “carry out special research, overall implementation of urban development strategy”.Among them, the third part, “Zoning, classification, planning and stages, orderly promotion of urban organic renewal”, has drawn the author’s special attention, which has clarified the path of guangzhou’s urban renewal action.As early as last November, the person in charge of urban renewal Bureau of Guangzhou Development Zone mentioned in an interview that the future urban renewal projects would be carried out “according to the situation” : “The normal projects will be accelerated, some projects will continue to be promoted after optimization and improvement, while some projects will be postponed.”While in this paper, the third part elaborated the “points” of standards: “partition” : guangzhou downtown core, divided into “central city and the surrounding city” and “periphery” three urban renewal areas, respectively according to “give priority to in order to protect the activation”, “mainly is optimized, the principle of” give priority to with the coordinated development of urban and rural areas “urban renewal work.Classification:From two latitude line protection and high quality development, divided into seven types of urban renewal projects “historical and cultural protection type”, “ecological restoration”, “village renovation ascending type”, “city-level key platform type” and “new industrial district in new type”, “major infrastructure type”, “improving people’s livelihood”, according to different types of update project adjust measures to local conditions to implement different update policy.”Sub-policies” : combine with annual land use plan indicators and land supply plans, promote the project through micro-transformation, mixed transformation and comprehensive transformation, and carry out “retaining, changing and demolishing” simultaneously.”Phased” : the priority areas and key areas will be identified, and the plan will be carried out in phases by 2025, 2030 and 2035.Among them, there are three kinds of urban renewal projects planned to be promoted before 2025: first, urban renewal projects already under construction or approved but not yet built, and key projects in the 14th Five-Year Plan;The second is the urban renewal project of the start-up area of key function areas and the comprehensive transportation hub;Third, important urban renewal projects to improve people’s livelihood and promote historical and cultural preservation.This paper undoubtedly points out a new direction for the future urban renewal work of Guangzhou. The urban renewal of Guangzhou will not “lie flat”, but will move forward step by step and stage in a more steady and scientific way in the future.Future update is likely to be the focus of the center of guangzhou city urban area and surrounding city the focus of the development platform, the real estate developers shall focus on the attention to the follow-up all the new classification of belonging, update interval policy, further to control the purpose of cycle and update the key target to invest, to achieve maximum benefit.The People’s Bank of China authorized the National Inter-bank Lending Center to announce that on January 20, 2022, the loan market quoted interest rate (LPR) is 3.7% for the 1-year LPR and 4.6% for the 5-year LPR.This is the first decline in the 5-year LPR in 21 months and will have a positive impact on the housing market:Liu Guoqiang, deputy governor of the People’s Bank of China, publicly said earlier this month that “we should timely respond to the general concerns of the market. If we delay for a long time, the concerns of the market will come to nothing. If we don’t come to nothing, we will lose our concern.Recently, due to national policy regulation and market adjustment, many industries have appeared different vibrations, even individual industry was “wipe”, coupled with the recent news from “BaoLei” multiple real estate mogul, stable development trend of the domestic economy and people’s livelihood has become a common concern of the market, the rate cut in the early, it is the central bank to respond to market concerns,Strive to convey national monetary policy to stabilize economic growth before the Spring Festival.The stability of the real estate industry is an important basis for the stability of the national economy. The interest rate cut is good news for the real estate industry, which has a huge demand for loans, and helps to stimulate the confidence of investment in the real estate industry to a certain extent.The 5-year LPR is one of the important reference interest rate indicators of real estate enterprise loans, and the interest rate of personal commercial housing loan is formed by adding a point based on the 5-year LPR as the pricing benchmark. Therefore, the decline of 5-year LPR brings the first spring breeze of the New Year to the mortgage market.The central bank interest rate cut policy, in real estate enterprises, medium and long-term loan costs will be reduced, helping to encourage real estate enterprises in line with the relevant loan policies “willing to lend dare to lend”;In terms of personal mortgage market, the reduction of mortgage interest rate cost can further activate reasonable housing consumption demand, activate transaction market, promote the transaction of wait-and-see, and help real estate enterprises to recover funds to a certain extent.Due to the long cycle of urban renewal projects and the large capital demand, there are high requirements for the capital turnover capacity of real estate enterprises. It can even be said that the capital strength is the most important strength for major real estate enterprises to compete for urban renewal projects.In 2021, major real estate enterprises have been overwhelmed by the “three red lines” and the “loan restriction” policies of major banks, and many urban renewal projects are facing severe financial pressure. Therefore, the interest rate cut by the bank is undoubtedly to reduce the burden on the supply side and the consumption side of the real estate industry, which will help activate the capital operation of the real estate industry.The policy reflects the country’s attention to the financial pressure of enterprises. After the central bank cut the reserve requirement ratio, the money market will release more reserve funds, and the future lending rates are expected to be further lowered.On December 20, 2021, the People’s Bank of China and the Banking and Insurance Regulatory Commission issued the Notice on Providing Financial Services for MERGERS and acquisitions of Risk Disposal Projects of Key Real Estate Enterprises, explicitly encouraging banks to carry out merger and acquisition loan services in a steady and orderly manner.To support high-quality real estate enterprises to merge and acquire high-quality projects of large real estate enterprises out of danger and difficulties.At present, local governments have begun to implement the central government’s call on the acquisition of housing enterprises out of danger, including real estate acquisition and loan is no longer included in the “three red lines” index is one of them.According to media reports on January 6, banks have informed some large high-quality real estate companies that the debt-related m&a loans for the projects of insurance companies will no longer be included in the “three red lines” related indicators.The author confirmed with some bank practitioners that relevant implementation policies have been formulated within the bank, and m&a loans are no longer included in the “three red lines” related indicators, which are about to be implemented.The so-called “three red lines” were proposed by the Central bank, the China Banking and Insurance Regulatory Commission and other institutions for real estate enterprises in August 2020, namely, the asset-liability ratio should not exceed 70% after excluding advance payments, the net debt ratio should not exceed 100%, and the cash-to-debt ratio should be greater than 1.In terms of the above three indicators, real estate enterprises are classified as red, orange, yellow and green. Those who step on three items are classified as red, those who step on two items are classified as orange, and those who step on one item are classified as yellow. None of them are classified as green.”Three red lines” is the most important index for banks to assess the loan qualification of real estate enterprises.The real estate m&a loan will no longer be included in the “three red lines” index, which can greatly promote the debt-related acquisition of the projects of risk enterprises by high-quality real estate enterprises, which has an important impact on the field of urban renewal.Recently, many real estate enterprises have been unable to pay high temporary relocation fees and compensation fees due to lack of funds, leading to the suspension of many urban renewal projects, and the turbulent public sentiment, and the need for many urban renewal projects to be “transferred” and “undertaken”.The implementation of this policy can eliminate the worries of high-quality real estate enterprises. They can not only obtain part of loans through mergers and acquisitions, but also do not have to worry about the impact of urban renewal projects acquired by risky enterprises on the assessment indicators of the “three red lines”, thus affecting their own financing costs.Under the guidance of the government, high-quality real estate enterprises can be encouraged to take over the urban renewal projects of insurance enterprises, so as to make the original enterprises withdraw smoothly, ensure the continued advancement of urban renewal projects, stabilize people’s livelihood, and ensure the orderly and stable advancement of urban renewal actions.It is clear that urban renewal has become a national strategy and imperative.From the ministry of national conference in 2022, the key work of the deployment to guangzhou from bureau send clear rules to promote urban renewal, with high quality from a five-year decline in LPR to implement the central about m&a receive compensation of enterprise, called on the policy of the project, reflect the state of existing urban renewal projects unfunded “rescue” at the same time,Make clear the determination that the future urban renewal will inevitably change from high-speed development to high-quality development.What the people want and what the government wants.Urban renewal is the most fundamental interests problem such as the people live, live, is a matter of city planning, industrial development, such as long-term strategy, the development of the construction of modern country is concerned, so we have no reason to not optimistic about temporary twists and turns, temporary rest just for a better look at themselves, sum up experience, xu li thin hair,In the future, urban renewal is bound to achieve high-quality development under the guidance of more scientific and effective policies.On the occasion of the Spring Festival in the Year of the Tiger, the law firm wishes the city renewal.