Assessing facade value - how clients make business cases in changing real estate markets

Assessing facade value - how clients make business cases in changing real estate markets

RELEVANCE: The value of any intervention in the built environment is most relevant for the stakeholders that are investing in it. For them all costs need to be balanced with benefits not necessarily directly financial, but adding value to the performance of the accommodated organization. Business cases contain performance criteria like competitive advantage (branding the organization), producti...

Bubbles in Real Estate Markets

Real estate markets and bank distress

We investigate the relationship between real estate markets and bank distress among German universal and specialized mortgage banks between 1995 and 2004. Higher house prices increase the value of collateral, which reduces the probability of bank distress (PDs). But higher prices at given rents may also indicate excessive expectations regarding the present value of real estate assets, which can...

Over-Confidence and Cycles in Real Estate Markets: Cases in Hong Kong and Asia

Studies on the calibration of subjective probabilities find that people tend to overestimate the precision of their knowledge. In this paper we develop a semi-rational model and apply it to the real estate markets in Hong Kong and other Asian countries. The key point is that a person is rational about her/his private information until her/his private information is confirmed by a clearly define...

Integration And Segmentation In European Investment Services Markets: Assessing The Implications For International Real Estate Investment