Asian Retailers in Glasgow: A Glimpse of Commercial and Property Relations in the Early Eighties

As noted in the paper published in the last issue of this journal, shopkeeping and retail have been one of the important ways of entry into the host economy in the case of some prewar migrating communities such as the Jews and the Italians and the post-war migrants such as the Asians (mostly Panjabis from India and Pakistan) to Glasgow in Scotland. We explore how the two major sets of theories the ethnic customer niche and middlemen minority theory apply to this group and explore the unchartered area of the nature of ‘property relations’ of retailers, i.e.in terms of the acquired commercial and housing property. Specifically, we explore the similarities and differences between the commercial and residential markets and their relationship and possible interdependence for entrepreneurial and asset building and the phenomenon of segregated property markets. We begin by exploring the background of retailers and their possible influence on entry into the business. We also compare some key aspects of Glasgow’s retail economy with other Asian retail localized economies using the studies of the period for comparative perspective purposes. The paper adds to the very sparse literature on asset ownership or on ethnic commercial property markets and explores if the high ownership of housing and the presence of ethnic origin national banks helped with both ethnic enterprise and asset creation. It also explores the extent to which the ‘ethnic niche’ model and the ‘middle minorities’ model applies to the Asians in Glasgow in addition to the hypothesis if the agricultural background which requires some sense of business and related skills, and the notion of success and the status of property may be the crucial cultural and experiential drivers of asset acquisition and enterprise.

Analyzing the Influence of Metro Stations on Commercial Property Values in Delhi: A Hedonic Approach

The effect of proximity to a transit system on property values has become a key issue of debate regarding public infrastructure and economic development. This article aims to examine the impact of selected stations along the Blue line of Delhi Mass Rapid Transit System (MRTS) on commercial property prices. The research analyzed 1,413 commercial property parcels sold before and after the commissioning of Blue line in 2005. Hedonic Price Analysis (HPA) was used to estimate the effects of proximity to the metro rail on commercial property values. The method was applied to two time periods, i.e., from 2000-2004 and 2005-2008, coinciding with planning and construction (pre-commissioning phase and the operation phase (post-commissioning phase) of metro rail using actual sale prices of commercial units. The results indicate that a station node shows a negative trend during the planning and construction period. However, the operation period has produced a significant price premium associated with commercial properties, connected with improved accessibility. The coefficients indicate that MRTS has induced an increase in prices from INR 732.80 to INR 246.19, and its radius of impact covers an area of approximately 1/2 km from the stations. The methodology and results provide insight with a specific focus on commercial real estate values in other metropolitan cities developing and expanding MRTSs.

THE DEVELOPMENT OF PENANG SHOP PRICE INDEX (PSPI) USING LASPEYRES HEDONIC PRICE MODEL

The index is considered an important benchmark and is a decision-making tool in the financial and capital markets, as well as in the property market. In Malaysia, continuous monitoring of property price movements is important as almost half of banking exposure is on property. Further, NAPIC has published indicators displaying the performance of property such as MHPI and PBO-RI. However, indicators regarding the price of commercial property are still less widely published in Malaysia. This study was conducted to develop indicators related to the price of commercial property, especially to shop property. This study has focused on the state of Penang as a study area. The literature review methodology is used to identify existing methods and practices used in developing the index of commercial property both in Malaysia and internationally. In determining the appropriate form of hedonic functions for the development of PSPI, analysis of dependent and independent variables was performed. Meanwhile, the development of the index is based on the Laspeyres hedonic model which is the same as the development of MHPI and PBO-RI. The development of PSPI will be able to help the industry and investors to make decisions and benchmark the performance of shop. This is also one of the pilot studies in Malaysia to form an indicator of commercial property.

A REVIEW OF SPATIAL ECONOMETRICS IN EXPLICIT LOCATION MODELLING OF COMMERCIAL PROPERTY MARKET

‘Location, location, location’ is a real property parlance mostly used to describe the influence of location in the property market. Location is mainly considered as the most significant influencer of commercial property prices. Location is modelled traditionally using hedonic pricing model by either proxy location dummies or distances relative to other neighbourhood features. This was shown to be inadequate due to spatial autocorrelation and heterogeneity inherent in spatial data, which jeopardises the estimates' consistency. Consequently, spatial econometrics is used to explicitly model location into property pricing by controlling spatial effects of autocorrelation and heterogeneity. Housing studies dominate the use of this approach with limited application in the commercial property market. This paper reviewed spatial econometrics and found that the commercial property market exhibits significant spatial dependence and heterogeneity. Accounting for such effects improves model accuracy significantly. It, therefore, recommends increase use of spatial econometrics in commercial property market modelling.

The Effect of Expected Losses on the Hong Kong Property Market

Expected losses anchored to purchase prices can affect actual transactions in different property sectors. Utilizing the data of over a million commercial and residential property transactions in Hong Kong from 1991 to 2015, we find that sellers facing nominal losses relative to their prior purchase prices attained higher selling prices than their counterparts. We suggest two market factors to account for the extent of the loss effect on the market transaction prices. First, the loss effect is only prominent when comparable transaction information is not readily accessible, such as in the less-transacted commercial property market. Second, our results suggest the relevance of the loss effect to the boom-bust property cycle in both the residential and commercial markets. The effect of expected losses on transaction prices is relatively weak in the bust period between 1998 and 2003 when the Hong Kong property market lost almost two-thirds of its value, and it enlarges with the market recovering. The loss effect is not attenuated at the aggregate market level but is associated with strong reductions in price declines in the bust period and in the commercial market. These results have implications for understanding the market adjustment of the loss effect in the property market and its association with the aggregate market dynamics in a boom-bust property cycle.

APPRAISAL OF THE IMPLEMENTATION OF LAND-USE REGULATIONS ON COMMERCIAL PROPERTY DEVELOPMENT IN ILORIN, NIGERIA

The implementation of land use regulations on commercial property development is extremely important because of benefits abound in it for the society. Ilorin the capital of Kwara state, Nigeria is experiencing influx of many residents which gave rise to series of urban challenges. This paper appraised the implementation of land use regulations on commercial property development in Ilorin, Nigeria. The study adopted survey research design and census method was adopted for the commercial properties and Estate Surveying and Valuation firms in the study area. Questionnaires were distributed to 26 practicing Estate firms in Ilorin Kwara State, 110 and 39 selected landlords / occupiers of commercial properties in Gambari-Ipata-Emir’s road and Government Reserved Area in Ilorin, Nigeria. Out of which 24 questionnaires (92%) and 110 (100%), 36 (92 %) were returned and found useful for the study. Data collected were analysed using descriptive statistics of cross tabulation and inferential statistics of Independent Sample t – Test and test of hypothesis. The research revealed that the p-values were all greater than 0.01 which led to the acceptance of null hypothesis that the level of implementation of land use regulations on commercial property development does not vary in the study area. The study conclude that there were hindrances to effective implementations of land use regulations on commercial property development across the study areas, and if not corrected will continue to affect the welfare of the citizens, ease of commercial activities, will lead to falling in commercial property’s rental value, falling in urban aesthetic value, and an increase in externalities. The study recommended proper government intervention in providing better resources to improve the level of monitoring and enforcement of land use regulations on commercial property development.