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A Global Tour of Commercial Property and REIT Markets

Author

Listed:
  • Frank Packer

    (Asia and the Pacific at the Bank for International Settlements)

  • Timothy Riddiough

    (University of Wisconsin School of Business)

  • Jimmy Shek

    (Asia and the Pacific at the Bank for International Settlements)

Abstract

Securitized equity interests in commercial property (the so-called listed REIT market) across a number of countries are analyzed. In so doing, we have pulled together financial as well as real economic data from a large number of different sources. On the real side, we focus particularly on office property construction, as data are fairly available in that sector. The comparison of REIT markets across countries reveals significant variation in terms of institutional characteristics, but many similarities in terms of financial performance. Office construction activity also displays some synchronicity across countries, with a general pattern of reduced levels and volatility in construction activity over the past two decades. Linkages between REIT market development and the dynamics of new construction activity are explored.

Suggested Citation

  • Frank Packer & Timothy Riddiough & Jimmy Shek, 2014. "A Global Tour of Commercial Property and REIT Markets," International Real Estate Review, Global Social Science Institute, vol. 17(2), pages 241-274.
    • Handle: RePEc:ire:issued:v:17:n:02:2014:p:241-274
    as

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    References listed on IDEAS

    as
    1. Jensen, Michael C, 1986. "Agency Costs of Free Cash Flow, Corporate Finance, and Takeovers," American Economic Review, American Economic Association, vol. 76(2), pages 323-329, May.
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    3. Bradford Case & Yawei Yang & Yildiray Yildirim, 2012. "Dynamic Correlations Among Asset Classes: REIT and Stock Returns," The Journal of Real Estate Finance and Economics, Springer, vol. 44(3), pages 298-318, April.
    4. Kerry D. Vandell, 1999. "The Mortgage REITs: Dynamos or Duds?," Wisconsin-Madison CULER working papers 99-03, University of Wisconsin Center for Urban Land Economic Research.
    5. Haibin Zhu, 2006. "The structure of housing finance markets and house prices in Asia," BIS Quarterly Review, Bank for International Settlements, December.
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    More about this item

    Keywords

    Securitization; REITs; Commercial real estate; Office property; CrossCountry comparison;
    All these keywords.

    JEL classification:

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

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