Share (percentage rent) lease contracts have not been explained in the case of stand-alone property. To do so we develop a model of a local trade area with an incumbent retail tenant that makes non-contractable specific investment at the time of initial contracting and a monopolist landlord that...

The influential work of Genesove and Mayer (2001) uses loss aversion theory to explain several puzzling behaviors in the housing market. In this study, we present an alternative theory, which does not require an asymmetric value function, to observe the same "loss aversion" behavior....

This paper examines an important topic about the performance of securitized real estate by estimating the expected equity risk premium for U.S. Real Estate Investment Trusts-REITs. The estimation of the expected risk premium has been a thorny issue that spans the intersection of real estate...

Two recent empirical papers have blamed the Fed for the latest boom and bust in housing. Neither study includes long-term interest rates, which are more affected by global factors than the federal funds rate (FFR). In this paper, I include both the mortgage rate and the FFR as determinants of...

This study examines the determinants of direct costs for REIT seasoned equity offerings. These costs are not related to information asymmetries, unlike non-REIT firms. Gross spreads vary inversely with stock liquidity, price, and industry activity. Concerning REIT-specific heterogeneity, gross...

The limitations of traditional linear multiple regression analysis (MRA) for assessing value of real estate property have been recognized for some time. Artificial intelligence (AI) based methods, such as neural networks (NNs), have been studied in an attempt to address these limitations, with...

In this paper, we estimate expected return on housing by exploiting information from the variations in the consumption- wealth ratio. We combine a present-value model of consumption with an unobserved component model to express the excess consumption-assets ratio (consumption in excess of labor...

This paper examines the continuing evolution of the Internet and the resulting effects on the efficiency of buyer search. The study encompassed market conditions indicative of both a buyer's and seller's market. The results indicate that as Internet usage increased search duration increased,...

This paper examines the dynamics of the residential property market in the United States between 1960 and 2011. Given the cyclicality and apparent overvaluation of the market over this period, we determine whether deviations of real estate prices from their fundamentals were caused by the...

With increasing numbers of communities considering wind power developments, empirical investigations regarding related community concerns are needed. One such concern is that proximate property values may be adversely affected, yet relatively little research exists on the subject. The present...