Core Viewpoint - The recent debt restructuring breakthroughs by major private real estate companies like Sunac and Country Garden provide an opportunity for the industry to focus on "ensuring delivery of properties" and transitioning to asset-light models [2][4][10] Debt Restructuring Progress - Sunac's offshore debt restructuring plan, amounting to approximately $9.6 billion, was approved by the Hong Kong High Court on November 5, while Country Garden's plan received over 75% approval from creditors on November 6 [2][3] - Country Garden's debt restructuring involves a total debt of about $17.7 billion, with an expected debt reduction of approximately $11.7 billion, achieving a debt reduction ratio of around 66% [3][4] - Sunac's restructuring has effectively cleared its offshore debt, with a total scale of about $9.55 billion [3][4] Industry Trends - The debt restructuring process has accelerated, with many companies shifting from "extension-focused" strategies to "substantive debt reduction," with most firms reducing their offshore debt by over 50% [2][7] - The restructuring has led to significant improvements in companies' balance sheets, extending debt maturities and reducing financial costs [4][8] Market Sentiment - Creditors are becoming more pragmatic, recognizing the challenges in debt repayment and preferring restructuring solutions to enhance recovery rates [8] - The acceleration of risk clearance among major real estate companies is alleviating systemic concerns regarding private firms, which may improve the overall credit environment [8] Future Opportunities - Post-restructuring, companies are expected to focus on asset-light business models, such as property management and asset management, which require less capital investment and can help restore cash flow [9][10] - The industry is transitioning from incremental development to stock operation, with significant opportunities in property management and asset revitalization [9]