| Title |
A Study on Financial Cost Analysis of Apartment Project under the influence of redemption |
| Authors |
Kim Gwang-Ho ; Song Sung-Jin |
| Keywords |
PF(Project Financing) ; Surplus ; Redemption ; Financial cost |
| Abstract |
Usually feasibility analysis in a narrow sense is a economic analysis of project. Feasibility analysis focused in this study is confined to the matter of finance. Construction company guarantees developer whose financial ability is low to make a loan. In this situation, when the developer become insolvent temporarily he should pay construction interest instead of PF(Project Financing) interest which is cheaper than that of construction. Therefore, to control the cash flow is a crucial matter. On the other hand, if the developer has surplus it will be more lucrative to redeem even if he should pay earlier redemption fee. The purpose of this study is to analyze the relationship between cost of apartment, construction cost, and land price when redemption take place. |