bluuebunny/crossref_metadata_2025_split huggingface dataset:
Single tenant net lease guidelines to achieve maximum financing
Authors: Monsen Gordon , Yiu Joseph C. 
Published: July 2006

AbstractDevelopers and acquirers of single credit tenant properties sometimes overlook lease terms that can dramatically affect the ultimate capital leverage — or lowest and most accretive interest rate — that could be achievable on a particular property. Where remaining lease terms are greater than 15 years, this is a bit less of an issue; however, where terms are less than 15 years, it is critical. These lease issues can reduce the maximum leverage attainable based on the cash flows by more than 25 per cent. These issues are subtle and part of corporate America's push to sign shorter, more flexible leases than the 20‐year bond‐type leases that were common five to ten years ago. Real estate professionals cannot be faulted for not focusing on the financing implications of the structural nuances of these lease provisions and the financial constraints they create in the capital markets. This paper outlines the perspective of lenders and the capital markets on these lease issues and provisions to help developers and acquirers achieve the optimal capital structure and understand the specific economics of lease terms that impinge on the capital structure. Copyright © 2004 Henry Stewart Publications
Comparing mezzanine to alternative debt and equity products
Authors: Rosenthal Shawn 
Published: July 2006

AbstractThe following paper will address the potential use of mezzanine debt by a real estate buyer who is purchasing an office building in a major US market. Advantages and disadvantages of using mezzanine debt will be discussed and contrasted with alternative financing structures, including the use of additional equity. A short case study will be utilised to monitor the economic returns to the buyer in a best and worst case scenario. Copyright © 2004 Henry Stewart Publications
Asset allocation versus entrepreneurial decisions in real estate investment
Authors: Armonat Stefan , Pfnuer Andreas 
Published: July 2006

AbstractAlthough the application of capital market theory is questionable in real estate investment, many institutional investors still perform asset allocation with historical real estate data. Entrepreneurial investment analysis relies on a different information setting. To date, it is unclear which approach, or which data set, offers the most efficient solutions for the use of capital. In order to evaluate policy recommendations for decision making in pension fund real estate investment, an empirical investigation of the investment environment in Germany is described here. The authors find that current market information restricts the application of capital market models. While the use of investment models and capital market models has been strictly separated, there is no theoretically justified reason for this. Investors should be aware that they can determine performance parameters for real estate only as approximations. Therefore, it may be fruitful to consider and compare alternative parameter estimates for determining optimal real estate allocations in pension fund investment. Copyright © 2004 Henry Stewart Publications
Property investment and development finance in European jurisdictions: France
Authors: Murray Neil 
Published: July 2006

AbstractThis paper looks at legal and practical issues which may arise for prospective lenders in relation to secured property loans concerning property in France. While the issues discussed are necessarily subjective, and appropriate legal advice should be taken in all cases, it is hoped that the paper will provide initial guidance in respect of transactions undertaken in France, relative to the typical expectations of a lender in respect of a similar UK deal. Copyright © 2004 Henry Stewart Publications
The convergence of real estate and technology
Authors: Young Amy 
Published: July 2006

AbstractTechnology is impacting on all companies at Internet speed, and an e‐understanding of the future is required in order for real estate companies to determine their strategies and how they plan to fit into the New Economy. Real estate companies present some of the greatest challenges as well as the greatest opportunities, depending on the vision of the CEOs. Considering the inefficiencies and fragmentation in the industry, significant wealth may be created in those real estate companies willing to move to the edge of the frontier and explore opportunities to converge real estate and technology. This is entering into uncharted territory, and the importance of management and a clear strategy to steer through these changing times has never been greater. The author recently published a report, ‘Wired Real Estate: The Ultimate Portal’, which highlights the potential that exists in the real estate industry as real estate and technology converge. Based upon this analysis, a wired infrastructure is seen not only as a competitive advantage, but an opportunity to expand beyond bricks and mortar to offer tenants value‐added services, or intangible assets, which should lead to high stock valuations. This paper gives a brief summary of the 164‐page report. Copyright © 2001 Henry Stewart Publications
Questions to ask for any commercial real estate acquisition or financing: expectations and practices in New York
Authors: Stein Joshua , Hisiger James I. 
Published: July 2006

AbstractWhat are the questions that any investor needs to ask about any commercial real estate before buying it or financing it? This paper lists and summarises those questions as a starting point for any investor's due diligence. The discussion first considers potential showstoppers such as development and approvals. It then turns to legal issues, leasing, title and other searches, financial matters, physical due diligence, a range of tax‐related concerns, contract negotiations and some other issues. Armed with this list, an investor can decide which issues it cares about, and which to disregard, and plan its due diligence accordingly. Copyright © 2001 Henry Stewart Publications
Buying and selling residential portfolios
Authors: Collett Alan 
Published: July 2006

AbstractThe residential investment market in England and Wales is at a crossroads. Private renting in the UK fell from 90 per cent of the housing market at the beginning of the 20th century to 10 per cent at the end. The tide has now just turned and the size of the private rented sector (PRS) is slowly increasing. Large‐scale investors are operating at this crossroads both with the remaining portfolios of historic tenancies and also with the first of those which have been set up since the 1988 Housing Act deregulated the market. This paper analyses movements in the market and looks for the rationale behind investors' decisions. Performance reviews and different methods for making profit in the sector are also studied. Finally the alternative exit routes are investigated. Copyright © 2001 Henry Stewart Publications
Accounting for investment properties in the UK: problems of definition and implementation
Authors: Eccles Timothy , Holt Andrew 
Published: July 2006

AbstractThis paper is concerned with accounting for investment properties within the UK. It examines the current requirements for reporting investment properties. The authors then explain the concerns that existing practice cause for accountants within their traditional conceptual framework on understanding the nature of assets. This disquiet emanates from the use of open market value and reference is made to the concerns it engenders. The paper concludes with an analysis of the concerns that those dealing with investment properties should remain vigilant over, both within domestic consultations and forthcoming European and international developments. Copyright © 2001 Henry Stewart Publications
Towards a European property index
Authors: Key Tony 
Published: July 2006

AbstractThis paper reports on the total returns achieved on European property investments in recent years, drawing on the IPD Indices of performance for six countries. The results demonstrate the dominance of ‘national’ factors in determining widely varying property returns, and lack of any evidence of convergence in rates of return or in the composition of investor portfolios. The issues involved in creating a property index with full European coverage, and progress towards that objective, are discussed. Copyright © 2001 Henry Stewart Publications
Pricing of risk and the cost of money: how banks are pricing property funding
Authors: Griffiths Allan 
Published: July 2006

AbstractWhen the author was first asked to write for the Journal, the working title was ‘Creative property lending and how to maximise gearing’. As a member of the Association of Property Bankers, and having the honour of being a past president of that organisation, the author was not at all sure that he should accept the engagement! However, encouraged by the chance to get a point of view across – ie that sound property lending does not necessarily depend on low loan‐to‐ value ratios (and the promise of payment in liquid measure), the author gave in. In this paper, he wants to look at techniques for understanding risk, avoiding unnecessary risk, and establishing ‘correct’ pricing for the risks which cannot be avoided. Of course, there is no such thing as ‘correct’ pricing, but in this context, the author means pricing at a level which, over the long term and after allowing for the occasional loss, still shows a profitable outcome. It was often said after the 1990 crash (mainly by insolvency practitioners), that for many property lending banks, it would have been cheaper to pay for their entire property lending teams to play golf for the previous ten years! At the risk of sounding condescending, this paper will start with something obvious but which nevertheless is fundamental. Copyright © 2001 Henry Stewart Publications
Deluge or dribble? EU pension reform and real estate investment flows
Authors: McAllister Patrick 
Published: July 2006

AbstractThis paper assesses the implications of increases in private pension provision within the European Union (EU) for the level and destination of real estate investment. The first part discusses the increasing ‘institutionalisation’ of the savings markets, current asset allocation patterns and demographic and fiscal pressures for reform of pensions markets. The projections for future growth in pensions are outlined and implications for real estate investment assessed. It is concluded that, although numerous imponderables render reliable quantitative projections problematic, growth and restructuring of the pensions market is likely to increase cross‐border capital flows to real estate markets. However, current projections imply limited growth of direct real estate investment. Copyright © 2001 Henry Stewart Publications
The impact of portfolio size on the variability of the terminal wealth of real estate funds
Authors: Lee Stephen , Byrne Peter 
Published: July 2006

AbstractStudies have examined the number of properties required to reduce the risk in a real estate portfolio. This research has concentrated on examining the impact of portfolio size on the reduction in the standard deviation of returns from ex post time‐series data. However, the ex post time‐series standard deviation is not really relevant to long‐term institutional investors, such as insurance companies and pension funds, who are more concerned with the variability of the terminal wealth of their portfolios, from which policy holders and pensioners will derive their benefits. Long‐term investors with specific holding period requirements are less concerned with the within‐period volatility of their portfolios than with the possibility that their portfolio returns will fail to finance their liabilities. The terminal‐wealth standard deviation (TWSD) rather than the time‐series standard deviation (TSSD) has been proposed as the ‘true’ measure of portfolio variability to such investors. This paper compares the potential benefits and limitations of risk reduction, as measured by TWSD and TSSD, in the UK property market using a large sample of actual property returns over the period 1981 to 1996. Copyright © 2002 Henry Stewart Publications
The information content of the yield curve for predicting property performance
Authors: Tsolacos Sotiris 
Published: July 2006

AbstractThe present study applies GARCH models to explain and forecast the variation in monthly IPD total returns for office, retail and industrial space. With the exception of retail returns, the forecasting performance of the estimated GARCH models is very good. Over the 16‐month period from January 2000 to April 2001 total office returns were 17 per cent and industrial returns 16.2 per cent. The GARCH models would have predicted 21 per cent for offices and 18.3 per cent for industrial units. Improvements in the forecast performance are sought with the inclusion of information based on the yield curve, a well‐known indicator of future economic conditions. The volatility of the yield curve and a ‘good and bad news’ variable, based on the changes in the yield spread through time, are used as inputs in the variance equation of the GARCH specification to help model the unexplained variance of the return series and improve the forecasts. The forecasts seem to improve in the case of office returns but slightly worsen for retail returns. Yield curve information was not relevant in the model of industrial returns. The findings of the present study suggest that situations of clusters of large and small errors arising from speculative behaviour should be tested in models and treated accordingly. They also show that the contributions of expectation variables such as the yield spread should be examined within forecasting methodologies more extensively. Omission of such series may come at the expense of producing more accurate forecasts. Copyright © 2002 Henry Stewart Publications
The US economy: the real estate outlook for 2002
Authors: Louargand Marc 
Published: July 2006

AbstractThe combined impact of recession and terrorist attacks on America on US real estate markets has already proved troublesome for investors and operators and is likely to be felt in 2002 as well. Stresses on US real estate include a slowing economy, the hangover of excess real estate consumption from the bubble year of 2000 and a widespread reluctance to travel domestically or internationally. Herein, we take our annual look at the space markets and capital markets in the USA. Copyright © 2002 Henry Stewart Publications
Calendar anomalies in the stock returns of real estate investment trusts
Authors: Connors David N. , Jackman Matthew L. , Lamb Reinhold P. , Rosenberg Sidney B. 
Published: July 2006

AbstractRecurring behaviours of broad market stock returns around various calendar dates have been widely documented in the finance literature. Some studies have exposed similar performances in subsectors of the market. This paper considers such anomalous return behaviour in REITs from 1994–99. Rather than finding January and Monday effects, like are present in the broad market, we report on December and Friday effects in the REIT market. December returns are higher than those experienced in other months. Friday produces the highest returns during the week and Monday returns are positive and not significantly different from those of Tuesday to Thursday. Consistent with other research, we find support for a holiday effect and a turn‐of‐the‐month effect. Most of the findings hold across industry subsamples within the REIT market. Copyright © 2002 Henry Stewart Publications
Pricing lending in the current market: securing the capital — security value sensitivities
Authors: Edwards Elizabeth 
Published: July 2006

AbstractThere is always a danger when writing a paper on the pricing of lending that it will become immediately historic. The market for property finance in the UK is a constantly moving target, probably even considered too erratic by some foreign lenders. However, this is precisely why the UK market is so attractive and, at the end of the day, so liquid. Lending figures are subject to scrutiny, but the most recent Bank of England figures reported some £73bn of debt as at December 2001. This accounted for approximately 9.5 per cent of all reported bank lending in the UK. The issues of capital availability and security values are covered in this paper: these are intrinsically linked and an attempt will be made to cover some of the contemporary micro and macro issues affecting them. Copyright © 2002 Henry Stewart Publications.
The evolution of innovative debt and equity structures: the securitisation of US lodging real estate finance
Authors: Singh Arjun J. 
Published: July 2006

AbstractThe mid‐1990s saw the alignment of real estate and capital markets. The primary driver of this convergence was the emergence of securitisation for real estate debt and equity markets. The evolution of the innovative instruments introduced during this period and their resulting impact on financing the US lodging industry are discussed in this paper. Copyright © 2002 Henry Stewart Publications.
Managing risk in apartment development
Authors: Louargand Marc A. , Murdy Brian T. 
Published: July 2006

AbstractMultifamily investment is popular with US institutional investors at present despite weak fundamentals in the rental market. There is evidence that apartments provide some protection from recessionary forces and are the first product type to recover from a downturn. Capital flows have increased to the sector, putting downward pressure on capitalisation rates. Development of new stock allows investors to capture the spread between return on cost to build and capitalisation rates on existing properties. Managing the risks inherent in development is a different prospect than underwriting existing properties. This paper examines methods for managing the risks associated with construction, marketing, financing and interest rate risk, among other factors. Copyright © 2002 Henry Stewart Publications
Best practices in commercial real estate financing: essential issues in negotiating A/B note intercreditor agreements
Authors: Stewart David M. 
Published: July 2006

AbstractIn this quarterly feature the nuts and bolts of loan document structuring and negotiations are investigated, as well as the closing process and loan administration. This issue's paper examines the most hotly negotiated legal issues between the senior and junior lenders in the context of A/B notes originated for the REMIC securitisation market, where both the senior (A) and junior (B) note share a mortgage interest in the same real property. The paper outlines the ways in which the holder of the B note may attempt to protect its interest in the face of actions by the A note holder that could otherwise modify or reduce the borrower's obligations to the B note holder, or eliminate the collateral for the B note. In each case, the author suggests typical compromise positions that should satisfy both the B note holder and the holders of all tranches of the securities backed by the A note. Copyright © 2002 Henry Stewart Publications
Research review
Authors: Adair Alastair 
Published: July 2006

AbstractThe aim of the Research Reviews is to focus on current academic research which contributes to and enhances professional practice. The objective is to provide the busy practitioner with a synopsis of leading edge research in the area and hopefully to stimulate a desire for greater understanding and application of knowledge and techniques that will enhance professional practice. The reader is encouraged to examine in depth each of the reviewed papers. Copyright © 2003 Henry Stewart Publications
Financial performance effects of synthetic leases
Authors: Danvers Kreag , Reinstein Alan , Jones Lawrence S. 
Published: July 2006

AbstractThis paper examines selected financial performance measures of companies using synthetic leases. First, an example is provided of some advantages of using a synthetic lease. Synthetic lease announcements are then identified for retail and manufacturing sectors from 1997–2002 through Academic LexisNexis searches, and performance measures statistically compared from pre‐ to post‐disclosure for synthetic lease companies, relative to a control sample of companies. While observing some differences in interest coverage and profitability across samples in the year prior to lease disclosure, logistic regression results indicate that the measures do not statistically discriminate between synthetic lease and control companies. These findings suggest that the level at which companies use synthetic leases does not appear to significantly influence basic financial performance measures. Besides showing the little ‘real’ benefit of establishing such types of leases for non‐economic reasons, the results suggest that capital allocation decisions should focus on the substance rather than the form of such synthetic lease transactions. Copyright © 2003 Henry Stewart Publications
Determinants of environmental innovation adoption in the printing industry: the importance of task environment
Authors: Rothenberg Sandra , Zyglidopoulos Stelios C. 
Published: July 2006

AbstractIn this paper, we investigate the impact that the task environment has on the adoption of environmental innovations by firms. Specifically, we investigate the impact of two dimensions of a firm's external context – munificence and dynamism. We investigate both of these factors by drawing on the relevant literatures, developing hypotheses and testing our hypotheses with data drawn from the US printing industry. Our major findings are that firms in highly dynamic environments, as well as firms that have adopted other productive innovations, are more likely to adopt a greater number of environmental innovations. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.
Relationship between environmental performance and financial performance: an empirical analysis of japanese corporations
Authors: Nakao Yuriko , Amano Akihiro , Matsumura Kanichiro , Genba Kiminori , Nakano Makiko 
Published: July 2006

AbstractThe hypotheses that a firm's environmental performance has a positive impact on its financial performance and vice versa are statistically supported by Japanese data. However, this tendency for two‐way positive interaction appears to be only a relatively recent phenomenon. The tendency for realizing the two‐way interaction is not limited to the top‐scoring firms in terms of both financial and environmental performance. On the contrary, this is also a trend that can be observed fairly generally. Obviously, when we consider only scores of those companies that published the relevant information in their environmental reports, and conduct the statistical causality test with such information as additional input to the pooled time‐series and cross‐section data of financial performance, the results become more strongly significant. From the recent experience of environmental policies in Japan, we infer that information‐based environmental policy measures are effective to encourage the ongoing transition toward a more sustainable market economy. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.