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Cross Border Real Estate Investments and Commercial Office Property Market Performance: Evidence from Australia

Author

Listed:
  • Kwabena Mintah

    (RMIT University)

  • Woon-Weng Wong

    (RMIT University)

  • Peng Yew Wong

    (RMIT University)

Abstract

The purpose of this study is to evaluate the impact of cross border real estate investments on the performance of the direct commercial property market in Australia. Using an autoregressive distributed lag (ARDL) model, factors including volume of cross border real estate investments, real gross domestic product (RGDP), office stock, and vacancy and net absorption rates are examined for their impact on total returns. The results indicate that traditionally established long-term drivers, including RGDP, office stock, and vacancy and net absorption rates, are still relevant. It is found that cross border real estate investments have impact on the performance of the direct commercial office property market in Australia. The results and findings would help property investors, developers, policymakers, and stakeholders in decision making around property investments. This research is an initial study that focuses on the impact that cross border real estate investments have on the performance of the direct commercial/office property market in Australia.

Suggested Citation

  • Kwabena Mintah & Woon-Weng Wong & Peng Yew Wong, 2020. "Cross Border Real Estate Investments and Commercial Office Property Market Performance: Evidence from Australia," International Real Estate Review, Global Social Science Institute, vol. 23(2), pages 211-234.
    • Handle: RePEc:ire:issued:v:23:n:02:2020:p:211-234
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    References listed on IDEAS

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    Cited by:

    1. Shizhen Wang & David Hartzell, 2021. "Real Estate Return in Hong Kong and its Determinants: A Dynamic Gordon Growth Model Analysis," International Real Estate Review, Global Social Science Institute, vol. 24(1), pages 113-138.

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    More about this item

    Keywords

    Commercial Property; Office; Cross Border Real Estate Investments; ARDL; Total Returns.;
    All these keywords.

    JEL classification:

    • L85 - Industrial Organization - - Industry Studies: Services - - - Real Estate Services

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