Beijing land bank nearly 80 billion insurance funded rush to the rescue standby

Nearly 80 billion insurance fund entrenched land market in Beijing. Their goal is the protection of land reserve Center in Beijing housing development project at the land level. According to a disclosed to reporters, the first capital at around 10 billion scale, admission in June. While under the influence of macro-control, Beijing land and market trading volume dropped significantly compared with the same period last year, but insurance companies are not worried about Beijing land reserve Center scheduled repayments. Take protection room of machine recommended reading insurance weekly: April premium as scheduled diving silver insurance effect or Super expected insurance funded participation protection room looked was batch insurance funded contrarian buy wrong killed "white horse unit" new shares frequently break insurance funded playing new encounter floating losses car sales decline drag casualty profit tailored buy insurance figure out terms then Xia Dan Qiming: shocks city in the how mining Daniel unit Beijing early Yu December 2010 on started has name for "blue de plan (LAND)" of bond investment plan, is Beijing land reserves finishing Center and Turbo, and Kunihisa, and peace, and protection, domestic seven home insurance company signed of total amount or up to 70 billion-80 billion yuan of claims investment plan, "blue de plan" recently has get insurance regulatory Commission approval, but Beijing city land finishing reserves Center Executive Deputy Director Wang Bing said cannot to this reporter confirmed this a message. Participation in the Beijing guarantees housing project-specific way: from above 7 insurance asset management companies by issuing debt plan insurance funds borrowed billions to land reserve Center in Beijing, Beijing, which use these funds to protect the land supply for housing construction to provide an initial, principally in protection of house construction before demolition, pipeline and road construction, to prepare, without participating in the secondary market in the late development. Sources: above 7 insurance asset management companies, and other insurance company claims subscription plan. Principles on the allocation of the line are: under 7 insurance asset management company of assets to be prorated, 7 insurance asset management companies to the line, then assigned to the insurance of other companies. This debt investment plan is the period of 7 years. Public information displays, China insurance regulatory Commission on risk capital investments ensure housing construction has been positive. Due to the protection of local government is responsible for the construction of housing, land transfers, as well as profit margins relative to determine, for risk capital, are medium-and long-term investments with limited risk-controlled, profit, has a certain appeal. The "two sessions" period, China insurance regulatory Commission Chairman Wu dingfu said "support pilot risk capital investment in Shanghai security housing." Shortly thereafter, on March 9, Turbo (601,601, unit) that its Pacific (601,099, unit) initiated the establishment of asset management companies "debt investment plans Pacific-Shanghai public rental housing projects" adopted and the China insurance regulatory Commission for the record, plans to raise $ 4 billion on Shanghai real estate (Group) limited in Shanghai construction nearly 500,000 square meters of construction and operation of public housing projects. This is the China insurance regulatory Commission after the introduction of the interim measures for the investment of insurance funds real estate first single real estate debt investment plan, creating a precedent for claims insurance funds to invest real estate. In May, ping (601,318, unit) and the Shanghai City investment holdings (600,649, unit) launched the "safety-city investment holdings protection housing project debt investment scheme", raising money not exceeding $ 3 billion to support security housing construction in Shanghai. Claims and ping an of China in Shanghai plans to use a combination of fixed-income and floating income, that is 50% in accordance with a fixed interest rate of 6.4532% of the amount of debt interest; loan base interest rates to fall 5.1% and 50% in accordance with the same period, yields on floating rate interest-bearing claims part of the year no less than 5.44% and less than 8.16%. Local relief trapped guarantee of housing construction is different from the ordinary commercial housing development, long operation period, thin profits, together with the Central Government for the virtual-high real estate prices of strict control and supervision of land policy, makes local government pressure in guaranteeing housing funds to support douzeng. As relocation costs, infrastructure costs rise, land consolidation requires a lot of money. And land reserves in Beijing also shoulder a very heavy programme of the Centre. On March 30 this year, land, development and Reform Commission, Planning Commission in Beijing jointly issued by the Beijing State-owned construction land supply programme for 2011 show. In 2011, Beijing plans for all year round with a total of 6,500 hectares. 2,550 hectares of land for residential use, transportation with 1000 hectares of land, waters and water conservancy facilities 100 hectares, special 100 hectares, 1200 hectares of land for public administration and public services, industrial and mining warehouse 1000 hectares, taking 550 hectares of land. 2010 Beijing schedule 6,400 hectares of the total land supply, actual total of 6,489 hectares for the whole year, 101% for completing the project. 2011 Beijing plans to supply 2,550 hectares of land for residential use, taking 550 hectares, respectively than the 2010 land supply plan, 2%, 300 hectares of land for affordable housing and public housing, is 6 times last year. Major project needs financial support. Over the years, the land bank financing is very dependent on banks, but restrictions on land bank loans made to the competent authorities. Limited by the Central Bank 121th,, land bank loans subject to the mortgage of land, and cannot be more than 2-year period. In 2010 the CBRC specifically noted in the, land bank loans and real estate development loans are key areas of risk control. With the tightening of monetary policy, local governments could feel financial pressure. "Need to spend money project, into less money projects. "Beijingshifandaxue Zhong Wei, Director of financial Research Center said to reporters. One unwilling to open name of Government persons has to this reporter pointed out that, land reserves and a level development are need inputs large funds, except bank loan outside, currently country has not been exploration out stability reliable of financing channel and financing mode, this on restricting has land reserves and a level development work of carried out, effect has Government land reserves plan and city land supply plan of smooth implementation, and Government using land supply regulation real estate market of target produced has huge contradictions. Insurance companies are the largest institutional investors on the market today, the industry may use funds up to $ 5 trillion. And compared to bank loans, insurance funds to provide loans of longer. It is understood that many local government financing platform are active evenLine insurance companies, insurance companies and did not respond to all, fearing that some of the local government cannot guarantee repayment and without guarantee overall planning. In May, Beijing again cold, 2011-May land transactions income and decrease compared with the same period last year near 50%. But insurance companies are not worried about repayment problems Beijing the first-tier cities. Preceding insurance sector, "said Beijing land sales income of 160 billion last year, the repayment ability of good, benefit and insurance capital in pursuit of long-term, not short-term volatility". It is understood, in addition to Beijing, Shanghai, Chongqing ensure housing construction also actively introduce insurance funds.