This study investigates the design of the royalty rate in a first-price auction across three types of investments: incremental and lumpy with or without an exogenously given intensity. A bidder's investment cost comprises private information. This, together with the stochastic evolution of the...

While previous studies investigate the determinants of housing prices when the seller chooses between an English auction and negotiation, this paper allows sellers to choose among negotiation, English auction, and first-price sealed-bid auction (i.e., tender) by employing a sample of 46,600...

This article employs a real options approach to investigate the determinants of an optimal capital structure in real estate investment. An investor has the option to delay the purchase of an income-producing property because the investor incurs sunk transaction costs and receives stochastic...