Economic Equilibrium Analysis of Urban Village Renovation Projects from a Life Cycle Perspective

The transformation of urban villages is a major livelihood project to solve the urgent problems of the masses, and how to ensure the economic balance of income and expenditure during the life cycle of urban village transformation projects is an important means and path to guarantee the sustainable development of urban village transformation areas. This study optimises the life-cycle cost method by adding the time and capital perspectives in order to analyse the cost composition and expenditure sequence of the whole life cycle of the urban village renovation project, and to identify the key factors affecting the cost. The study analyses the economic balance of the project in the context of the project’s funding sources and its support scope, and finds that the urban village renovation project faces problems such as a long implementation cycle, a large amount of capital deposits, a small source of revenue, a high dependence on land revenue, and the existence of structural funding gaps, and that it needs to carry out strategic innovations in terms of the financial model, land supply, industrial coordination, and expropriation management in order to improve the economic balance of the urban village renovation project.