Banks will become increasingly willing to lend against Internet property. In the short run, given the highly unpredictable nature of the industry, firms will probably not use significant amounts of leverage. Analogously, many real estate investors use mortgages to lift equity returns. As market leaders emerge, they will gain economies of scale from growing deal making expertise, databases of completed transactions, name identification and registration technologies, and brokerage expertise. Similarly, in the retail segment of the real property industry, a tenant can add significant value to an otherwise undistinguished retail development.
All current income helps to stabilize cash flows.
Industry players will pro-actively pursue firms in this situation and offer to buy their domain name from them. Similarly, professional real estate investors will often buy property that is not marked for sale, pro-actively asking the owners for the release of their property. FASB 66 and 67 contain thorough statements of current GAAP for real property. The owner gets a percentage of the resulting company.