FEATURES OF LAND VALUATION IN PROJECT FINANCING USING ESCROW ACCOUNTS

2021 ◽  
pp. 112-121
Author(s):  
Елена Николаевна Карпушко ◽  
Алексей Алексеевич Тимников
Keyword(s):  
Private Investment ◽  
Cash Flows ◽  
Real Estate Market ◽  
Equity Capital ◽  
Project Financing ◽  
Financing System ◽  
Land Plot ◽  
Foreign Countries ◽  
Land Valuation ◽  
Development Institutions

Проведен анализ текущей ситуации на первичном рынке жилой недвижимости в рамках перехода на новые условия финансирования жилищного строительства. Выявлены преимущества внедрения проектного финансирования, а также проблемы, ограничивающие его эффективность на основе основных тенденций и направлений применения проектного финансирования в России в строительстве, при реализации инфраструктурных проектов и в деятельности институтов развития по привлечению в систему проектного финансирования частных инвестиций. Показаны принципы построения схемы для строительного проекта, реализующейся с проектным финансированием по заранее составленной модели, где применены эскроу-счета. Предложен метод оценки земельного участка при проектном финансировании с использованием эскроу-счетов. Для оценки инвестиционной стоимости земли, то есть стоимости, при которой доход от приобретения земельного участка соответствует норме интереса, установленной инвестором, или стоимости, удовлетворяющей требования инвестора к доходности конкретного проекта, рекомендовано использовать три денежных потока, а именно денежный поток от инвестиционной деятельности, финансовой деятельности и поток на собственный капитал проекта. Проведен анализ опыта иностранных государств в вопросе формирования стоимости земли в черте города и влияющих на неё факторов. Показаны преимущества оценки земельного участка при проектном финансировании с использованием эскроу-счетов: удобство, гарантии; прозрачность и поддержка. We carried out the analysis of the current situation in the primary residential real estate market as part of the transition to new conditions for financing housing construction. We identified the advantages of introducing project financing, as well as problems limiting its effectiveness on the basis of the identified main trends and areas of application of project financing in Russia in construction, when implementing infrastructure projects and in the activities of development institutions to attract private investment into the project financing system. We show the principles of constructing a scheme for a construction project, implemented with project financing according to a pre-compiled model, where escrow accounts are used. A method for assessing a land plot for project financing using escrow accounts of the intended use is proposed. To assess the investment value of land, that is the value at which the income from the acquisition of a land plot corresponds to the rate of interest set by the investor, or the value that meets the investor's requirements for the profitability of a particular project, it is recommended to use three cash flows, namely, cash flow from investment activities, financial activities and the flow on equity capital of the project. We analyzed the development of foreign countries in the context of cost formation of land within the city and relevant factors influencing this cost. The advantages of assessing a land plot with project financing using escrow accounts have also been revealed: convenience, guarantees, transparency and support.

scholarly journals The System of Developing the Primary Market of Residential Real Estate in Terms of Project Financing

2021 ◽  
Vol 31 (1) ◽  
pp. 90-97
Author(s):  
Valeriya Pukhova
Keyword(s):  
Real Estate ◽  
Real Estate Market ◽  
Equity Capital ◽  
Project Financing ◽  
Residential Real Estate ◽  
Economic Methods ◽  
Project Life Cycle ◽  
Financing Mechanism ◽  
The Russian Federation ◽  
Project Life

Analysis of the current situation in the primary market of residential real estate within the framework of the transition to new conditions for financing residential construction showed the need for the development of the primary residential real estate market. Based on the systematization of well-known information and the author's recommendations, the article proposes and substantiates a project financing mechanism using escrow accounts within the framework of the primary market development system in the new conditions of housing finance, all the components of the proposed mechanism are described in detail. The tools (administrative, economic), methods (variability in terms of the use of equity capital by the developer and replenishing escrow accounts in accordance with the stage of the project life cycle), forms of regulation (legislative, administrative-institutional, socio-economic), principles for the implementation of project financing (customization, completeness, algorithmization) for a comfortable transition to new financing conditions for all the subjects of the residential real estate market are specified. The proposed system for the development of the primary market will make the transition to new financing conditions more comfortable for all market entities: citizens, developers, banks and the state, which ultimately will lead to the achievement of the main goal: increasing the efficiency of the housing construction sector in the Russian Federation.

Specifics of creating an effective system of project financing of innovation and investment activities of dairy subcomplex enterprises

2020 ◽  
Vol 26 (9) ◽  
pp. 1951-1969
Author(s):  
S.A. Chernikova
Keyword(s):  
Financial Stability ◽  
Current Model ◽  
Methodological Approach ◽  
Information Support ◽  
Competitive Advantages ◽  
Project Financing ◽  
Financing System ◽  
Management Of Innovation ◽  
Effective System ◽  
The Impact

Subject. The article considers the need to study the financing of investment and innovation processes and creating an effective system of project financing. Objectives. The purpose is to search for new opportunities to enhance the competitive advantages of enterprises of the dairy subcomplex, to ensure their financial stability and steady position in specialized agricultural food-product markets. Methods. The study draws on the theoretical and methodological approach to the impact of project management of innovation and investment activities on improving the efficiency of the project financing system and financial stability of enterprises operating in the dairy subcomplex. Results. The findings show that four levels can be distinguished in the formation and improvement of the system of project financing and the management of innovation and investment activities, depending on the depth of transformation. The principle that provides the integration of the said system with the current model of management of the dairy subcomplex enterprise is defined as a driver. The paper offers a number of levels of the system transformation to gain competitive advantages. Conclusions. I present a mechanism for creating and improving the system of project financing and the management of innovation and investment activities, and a mechanism for interaction of the network of automated information systems, intended to make management decisions, with the automation of information support to innovative solutions.

Profit as a key motive and the resulting indicator of the activity of state corporations

2021 ◽  
pp. 42-49
Author(s):  
M.V. Dubrova
Keyword(s):  
Economic Activity ◽  
The State ◽  
Financial Resources ◽  
Project Financing ◽  
State Development ◽  
Non Profit ◽  
Priority Areas ◽  
The World ◽  
Development Institutions ◽  
State Corporation

Development institutions are becoming the most important tools for regulating economic activity both in Russia and in the world, through the implementation of social projects, the accumulation of financial resources and their direction to the priority areas of state development. The purpose of the study is to study the financial results of state corporations, in particular development institutions, and their role in providing project financing. The proposed article provides an assessment of the profit of the state corporation «Bank for Development and Foreign Economic Activity» (GC «Vnesheconombank»), emphasizes the specifics of the state corporation as a non-profit organization, and provides recommendations for improving the efficiency of the financial activities of the GC «Bank for Development and Foreign Economic Activity».

scholarly journals Motivation, Dilemma and Countermeasures of Foreign Bond Financing of Real Estate Enterprises?Based on Perspective of Financial Internationalization

2020 ◽  
Vol 3 (5) ◽  
Author(s):  
Yasai Liu
Keyword(s):  
Sustainable Development ◽  
Real Estate ◽  
Real Estate Market ◽  
Financing System ◽  
Real Estate Enterprises ◽  
Financing Channels ◽  
Financing Costs ◽  
Financial Internationalization ◽  
The Cost

Several real estate enterprises in China (hereinafter referred to as housing enterprises) rely on overseas financing to meet their financing needs, but it is fraught with challenges such as high financing costs. Premised on the internationalization of finance, combined with the background of "staying and not speculating" and establishing a long-term mechanism for real estate market, based on the investigation of the financing motives of real estate enterprises, combined with a large amount of data, the present study examines the current situation and predicament of overseas financing of housing enterprises. It proposes four feasible countermeasures to promote sustainable development of real estate enterprises overseas financing including building a special financing system to reduce the cost, expanding various financing channels, strengthening the supervision of overseas bond financing, and reducing the loss devaluation of RMB internally and externally.

The role of project financing in the development of the real estate funding market in Russia

2021 ◽  
Vol 27 (4) ◽  
pp. 894-912
Author(s):  
Tat'yana A. RUBLEVA
Keyword(s):  
Real Estate ◽  
Systems Approach ◽  
Complex Structure ◽  
Real Estate Market ◽  
Digital Economy ◽  
Project Financing ◽  
The Real ◽  
The Real Estate ◽  
Object Oriented Design ◽  
The Impact

Subject. This article examines the impact of project financing on the development of the real estate funding market in the context of the transition to the digital economy. Objectives. The article aims to define the features of project financing in the property construction and its development prospects in the context of the transition to the digital economy. Methods. For the study, I used comparative and logical analyses, object-oriented design, and the systems approach. Results. The article defines the essence of project financing and its role in the development of the real estate funding market in the transition to the digital economy. It describes a number of features of project financing in construction and compares them with the features of project financing of innovative industrial projects. The article shows how to solve existing problems in this area and offers a use case diagram that helps develop a software product relevant to the real estate funding market. Conclusions and Relevance. The real estate funding market is a complex structure and it includes the synergy of the real estate market, banking market, and the financial market. Project financing is an integral part of the real estate funding market. It stimulates the development of quality consulting services in the market and produces key requirements for the profession of the next generation. The results of the study can be used to improve banking activities in project financing and when creating quality services of consulting companies in the real estate funding market.

scholarly journals The Effect of Corporate Tax Avoidance on the Cost of Equity

2016 ◽  
Vol 91 (6) ◽  
pp. 1647-1670 ◽  
Author(s):  
Beng Wee Goh ◽  
Jimmy Lee ◽  
Chee Yeow Lim ◽  
Terry Shevlin
Keyword(s):  
Information Quality ◽  
Tax Avoidance ◽  
Cash Flows ◽  
Equity Capital ◽  
Testable Hypothesis ◽  
Cost Of Equity Capital ◽  
Cost Of Equity ◽  
Corporate Tax ◽  
Long Run ◽  
The Cost

ABSTRACT Based on Lambert, Leuz, and Verrecchia's (2007) derivation of the cost of equity capital in terms of expected cash flows, we generate a testable hypothesis that relates tax avoidance to a firm's cost of equity capital. Using three broad measures of tax avoidance—book-tax differences, permanent book-tax differences, and long-run cash effective tax rates—to test our hypothesis, we find that the cost of equity is lower for tax-avoiding firms. This effect is stronger for firms with better outside monitoring, firms that likely realize higher marginal benefits from tax savings, and firms with higher information quality. Overall, our results suggest that equity investors generally require a lower expected rate of return due to the positive cash flow effects of corporate tax avoidance. JEL Classifications: G32; H26; M41.

scholarly journals Russia’s place and role in the remittances world system

Upravlenie ◽  
2020 ◽  
Vol 7 (4) ◽  
pp. 67-75
Author(s):  
V. V. Narbut
Keyword(s):  
World System ◽  
Growth Dynamics ◽  
High Volume ◽  
Cash Flows ◽  
Commonwealth Of Independent States ◽  
Cross Border ◽  
Foreign Countries ◽  
Independent States ◽  
Money Transfers ◽  
Cis Countries

The results of the analysis of Russia’s role in the world system of remittances for the period from 2010 to 2018 have been presented in the article. The volumes of cash outflow from Russia and their inflow to Russia have been determined. The features of cross-border cash flows with the Commonwealth of Independent States countries and foreign countries have been revealed, which consist in the fact, that Russia is characterized by an extremely high volume and rate of outflow of funds in the form of cross-border transfers, along with a low volume of their inflow. It has been established, that the exchange of funds with the Commonwealth of Independent States countries and with foreign countries are independent flows with their own characteristics.The main foreign and CIS countries – Russia’s partners in cross-border money transfers-have been defined. The growth dynamics and the target structure of remittances have been assessed. It has been revealed, that cross-border remittances from Russia are characterized by seasonality: a steadily recurring growth of remittances in the fourth quarter and a decrease in the first quarter of each year. The results of the forecast of the volume of remittances of individuals for 2019 have been presented. In accordance with the forecast, the growth of remittances from the Russian Federation will continue in 2019. According to the forecast, 21,755 million dollars USA will be transferred abroad in the second half of 2019. In general, in 2019, the volume of money transfers abroad will be less than the volume of 2018 and will amount to 42,804 million dollars USA. In the first half of 2020, 17,635 million dollars USA is expected to be transferred abroad.

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