scholarly journals Analyst Forecasts during the COVID-19 Pandemic: Evidence from REITs

2021 ◽  
Vol 14 (10) ◽  
pp. 457
Author(s):  
Paul Anglin ◽  
Jianxin Cui ◽  
Yanmin Gao ◽  
Li Zhang
Keyword(s):  
Real Estate ◽  
Forecast Error ◽  
Analyst Forecasts ◽  
The United States ◽  
Decision Makers ◽  
Real Estate Investment ◽  
Government Interventions ◽  
The Real Estate ◽  
Real Estate Sector ◽  
Using Data

The COVID-19 pandemic disrupts capital markets and confuses decision makers. This event represents an opportunity to better understand how financial analysts forecast earnings. We focus on forecasts for Real Estate Investment Trusts (REITs) in the United States, since REITs are relatively transparent during normal times, and since the real estate sector, as a whole, displays wide variations in forecasts during the pandemic. Using data between October 2018 and November 2020, our regression analysis finds that the severity of the pandemic increases analysts’ forecast error and dispersion. Government interventions have an offsetting effect, which is relevant during the more severe times. These results are robust to various measures of the severity of the pandemic. We also find that the pandemic has differential effects across property types, where forecast error rises by more, for REITs, when focusing on Hospitality and Industrial properties, and dispersion rises by more, for REITs, when focusing on Hospitality, Retail, and Technology properties.

scholarly journals Crowdfunding REITs: a new asset class for the real estate industry?

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lucia Gibilaro ◽  
Gianluca Mattarocci
Keyword(s):  
Real Estate ◽  
The United States ◽  
Individual Investors ◽  
Diversification Strategy ◽  
Content Type ◽  
The Real ◽  
The Real Estate ◽  
Real Estate Sector ◽  
Real Estate Investments ◽  
Asset Class

PurposeThe paper aims to study the performance of crowdfunding REITs with respect to traditional REITs in order to evaluate the differences in the risk–return profile and their usefulness for a diversification strategy within the indirect real estate investments.Design/methodology/approachThe paper considers the crowdfunding REITs introduced after the JOBS act in the United States and evaluates their performance and risk during the time period 2016–2018. Performance achieved by crowdfunding REITs is compared with other types of REITs in order to evaluate their usefulness for constructing an optimal portfolio strategy based on a standard mean variance approach.FindingsResults show that the performance of crowdfunding REITs is more stable over time with respect to other REITs and the lack of correlation with traditional REITs may be exploited for constructing a more efficient diversified portfolio of indirect real estate investments.Practical implicationsCrowdfunding REITs have different performance with respect to standard REITs and, especially individual investors, may benefit from including this new investment opportunity in their portfolio.Originality/valueThe paper is the first study on the performance of the crowdfunding REITs that is evaluating their usefulness for a diversification strategy within the real estate sector.

scholarly journals Information for decision-making in in-house and outsourced real estate management organisations

Facilities ◽  
2016 ◽  
Vol 34 (13/14) ◽  
pp. 891-905 ◽  
Author(s):  
Peter Palm
Keyword(s):  
Real Estate ◽  
Decision Maker ◽  
Commercial Real Estate ◽  
Decision Makers ◽  
Content Type ◽  
The Real ◽  
The Real Estate ◽  
Real Estate Sector ◽  
Estate Management ◽  
Real Estate Management

Purpose The purpose of this paper is to examine how the real estate owner (decision maker) insures being able to make informed decisions and how they differ according to organisational form. Design/methodology/approach This research is based on an interview study of nineteen firm representatives, six decision makers and thirteen management representatives, all from Swedish commercial real estate sector. Findings The study concludes that, regardless of organisational setting, the industry has a plan regarding handling information. The decision makers have all secured themselves access to the required/desired information. How this is done and what kind of information it is however differ, if the real estate management is in-house or outsourced. Furthermore, a clear focus on financial and contractual information is evident in both organisational settings. Research limitations/implications The research in this paper is limited to Swedish commercial real estate sector. Practical implications The insight the paper provides regarding required information can shed light on how information systems are built and how to improve your information sharing. Originality/value It provides an insight regarding how the industry, depending on organisation setting, prioritises different information and how the decision maker secures access to it.

scholarly journals Web-based Fractional Ownership in Real Estate

2021 ◽  
Vol 9 (VII) ◽  
pp. 3875-3880
Author(s):  
Suraj Zinzuwadia
Keyword(s):  
Real Estate ◽  
Future Cost ◽  
Real Estate Investment ◽  
Application System ◽  
Web Based ◽  
The Real Estate ◽  
Real Estate Sector ◽  
Machine Learning Model ◽  
Fractional Ownership ◽  
The Cost

The Indian real estate sector is one of the fastest-growing sectors. Real estate crowdfunding is a way of raising money for real estate investment by reaching out to a pool of investors to contribute a small amount of money towards a project. Real estate crowdfunding can be achieved by fractional ownership. Fractional ownership splits the cost of expensive property among several people. As popular the concepts seem, it has not been implemented in some parts concerning the higher risk factor. Such a process is complex if the person is a beginner and has little idea about the same. The objective of this paper is to display the real estate properties and connect investors-owners using a web-based application system. This system also advises market patterns, value ranges, and enhancing the advancements of the future cost will be predicted through machine learning model.

Pakistan’s First Successful Launch of a Real Estate Investment Trust-Dolmen City (REIT)—(Shariah Compliant Rental REIT Scheme)

2018 ◽  
Vol 15 (2) ◽  
pp. 129-146
Author(s):  
Fazal Jawad Seyyed ◽  
Salman Khan ◽  
Yasir Mir ◽  
Zeeshan Amir
Keyword(s):  
Real Estate ◽  
Crucial Role ◽  
Real Estate Investment Trust ◽  
Real Estate Investment ◽  
The Real ◽  
The Real Estate ◽  
Real Estate Sector ◽  
Legal Challenges ◽  
Successful Launch ◽  
The Way

It was the start of November 2015. Muhammad Ejaz, the CEO of Arif Habib Dolmen REIT Management Limited (AHDRML), was preparing for a presentation to the Board of AHDRML for the following week. The presentation was to recount the story of Dolmen City REIT (DCR), launched a few months back in June 2015, highlighting the regulatory and legal challenges faced during the process and many lingering issues still confronting this nascent sector. Ejaz realized that the group, as a leading player in the sector, had a crucial role to play in lobbying for further changes in the regulation to pave the way for future launches. More importantly, Ejaz wanted a nod from the Board for launch of a different REIT structure in 2016 to capitalize on the immense opportunity in the real estate sector of Pakistan.

Spatial Deployment of the Chinese Property Market (2010–2016)

2019 ◽  
Vol 55 (03) ◽  
pp. 1950006
Author(s):  
ELFIE SWERTS
Keyword(s):  
Real Estate ◽  
Direct Investment ◽  
Multinational Firms ◽  
Spatial Location ◽  
Real Estate Market ◽  
Property Market ◽  
Real Estate Investment ◽  
The Real Estate ◽  
Real Estate Sector ◽  
New Perspective

Real estate activities and companies in China have grown considerably since the major reforms of the late 1970s. This paper examines the spatial deployment of firms linked to the Chinese real estate market in Chinese cities in 2010, 2013 and 2016. It provides a first mapping of multinational firms specialized in the real estate sector. It describes the patterns of ownership networks built by financial links both between foreign multinational firms and Chinese firms and among multinational firms themselves. It therefore provides a new understanding about the penetration of both foreign direct investment (FDI) and Hong Kong’s role in the Chinese real estate market. This paper provides a comparison of the spatial location logics of these firms according to their Chinese or foreign origin and offers a new perspective on the geography of real estate investment by analyzing financial links between the Chinese and foreign cities involved.

Real estate investors’ behaviour

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohamad Hussein Ismail Abdallah ◽  
Hussein A. Hassan Al-Tamimi ◽  
Andi Duqi
Keyword(s):  
Real Estate ◽  
United Arab Emirates ◽  
Empirical Studies ◽  
Investment Decisions ◽  
Decision Makers ◽  
Personal Factors ◽  
Market Conditions ◽  
Content Type ◽  
The Real Estate ◽  
Real Estate Sector

Purpose This paper aims to investigate perceptions of United Arab Emirates (UAE) real estate investors’ behaviour and the factors that most influence their investment decisions. Design/methodology/approach This study used a modified questionnaire that was divided into two parts. The first part covered demographic and socioeconomic variables. The second part identified 36 factors that affect the perceptions of real estate investors in the UAE regarding their investment decisions. These factors were placed in eight different categories that correspond to non-personal factors such as, profit, market conditions, risk, transparency, credit facilities (loans), infrastructure and services. Findings The findings confirm that there is a significant and positive relationship between three factors; namely, profitability, risk and service quality regarding investments in the real estate sector. The findings also confirm a positive but statistically insignificant relationship between transparency, market conditions, credit facilities, infrastructure and investment in the UAE’s real estate sector. Research limitations/implications The sample size represents one of the limitations of this study. In addition, the gender of the sample is another limitation as, in general, men are more involved in investment than women are. Furthermore, there are no previous studies regarding the behaviour of UAE real estate investors; thus, the findings of this study cannot be directly compared with other empirical studies. Practical implications It might be helpful to create separate units under the name “Real Estate Information Unit” in every municipality of each of the seven emirates. In addition, it is recommended that decision makers should consider ensuring that modern high-quality real estate infrastructure is available to attract more investors. Finally, minimizing any restrictions on access financing facilities may encourage investors to invest more in the UAE real estate sector. Originality/value This study is the first of its kind to be conducted in the context of the behaviour of UAE real estate investors.

The financial crisis in Kurdistan and its repercussions on real estate investment in Sulaymaniyah

2017 ◽  
Vol 3 (2) ◽  
pp. 604
Author(s):  
Shorsh Qadir Ali ◽  
Yousif Obaid Hama Amin
Keyword(s):  
Financial Crisis ◽  
Real Estate ◽  
Kurdistan Region ◽  
Real Estate Investment ◽  
The Real ◽  
The Real Estate ◽  
Investment Projects ◽  
Surrounding Environment ◽  
Real Estate Sector ◽  
The One

This research aims to explain the financial crisis in the Kurdistan region and its implications on the real estate sector in Sulaymaniyah governorate on the one hand, as well as investigating the causes of the frequency of the financial crisis and its causes, and the presentation of mechanisms and preventive measures for the financial crisis, focusing on the crisis of the real estate sector in Sulaymaniyah Governorate, to determine the implications of the financial crisis on the real estate activity in the province of Sulaymaniyah, and reached research to a set of conclusions that the most important real estate investment in the region was affected by the financial crisis, as the withdrawal of investment projects worth (10) Billions Dollar.  In light of the research proposals were presented a number of recommendations, including the need for radical reforms of the financial system in the Kurdistan region of Iraq and the re-engineering of approved activities in various institutions to ensure that keeping up with the surrounding environment and rapid response to any defect occurs as a result of the country's anticipated exposure to financial crisis.

scholarly journals Real estate management: incentives for effort

Facilities ◽  
2017 ◽  
Vol 35 (9/10) ◽  
pp. 573-587
Author(s):  
Peter Palm
Keyword(s):  
Real Estate ◽  
Commercial Real Estate ◽  
Decision Makers ◽  
Content Type ◽  
The Real ◽  
The Real Estate ◽  
Real Estate Sector ◽  
Work Tasks ◽  
Estate Management ◽  
Real Estate Management

Purpose The aim of this paper is to examine how the real estate owner (decision maker) can ensure that the preferred tasks are prioritised. In particular, the incentives to ensure motivation to perform to accomplish the strategic goals of the decision maker are investigated. Design/methodology/approach This research is based on an interview study of 19 firm representatives, 6 decision makers and 13 management representatives, all from the Swedish commercial real estate sector. Findings The study concludes that the real estate management organisation in the outsourced management setting is governed by the contract, in detail constituting work tasks, and in the in-house management setting, there is freedom with responsibilities instead of regulations. Research limitations/implications The research in this paper is limited to Swedish commercial real estate sector. Practical implications The insight in the paper regarding how decision makers create incentives for the real estate management organisation in the different organisational settings can provide inspiration to design incentives for effort. Originality/value It provides an insight regarding how the industry, depending on organisation setting, prioritise different work tasks and how incentives are created to enable effort.

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