Volume 22 (2014): Issue 1 (March 2014)

When compared to other segments of the market, the agricultural real estate market is a completely different world. While there have been possibilities to observe price corrections over the recent years of the economic crisis, e.g., on the housing market in big cities, on the market of holiday apartments or building plots, the agricultural real estate market remains stable in relation to prices. The average transactional prices of agricultural real properties are gradually growing, and the number of purchase transactions is continuously increasing. Based to the above mentioned trends, the author of the present paper put forward the thesis that investing in agricultural real properties is economically justified during times of economic crisis. One of the best forms of capital investment is that of a limited joint-stock company (S.K.A.).

Constant access to reliable information concerning future land use is of utmost importance for the real estate market as well as for spatial monitoring and public participation in spatial planning. The implementation of the INSPIRE Directive (Directive 2007/2/EC of the European Parliament and of the Council of 14 March 2007 establishing an Infrastructure for Spatial Information in the European Community) introduces new means for sharing spatial planning data. According to the Act of March 4 2010 on Spatial Information Infrastructure, which is a transposition of the Directive, every member state is obliged to publish data and metadata concerning the subject of spatial planning. In the Directive, this is defined as a “territory characterized according to its current and future planned functional dimension or socio-economic purpose (e.g., residential, industrial, commercial, agricultural, forestry, recreational)”. In the article, the authors present new possibilities for spatial planning data access, which result from the implementation of the INSPIRE Directive with the use of new information technologies, in the context of real estate management conditions.

The research subjects are regeneration investments, initiated and/or carried out by the public sector. Regeneration investments are an integral part of modern city management and the urban renewal process. This process should respect the changing needs of local communities and the individuals who constitute them. However, the main aim of regeneration investments is to restore former functions to degraded space or switch to new ones, respecting the principles of sustainable development. The management of regeneration investments depends on many factors. These include the external and internal environment. The diversity of these factors may mean that the same factor is beneficial for one participant, and unfavourable for another. An understanding of their diverse strength and direction of impact is very important for stakeholders. The study attempts to identify and systematize the determinants of investment management in the regeneration process, especially in the context of new challenges and socio-economic phenomena. The research thesis states that identification and systematization of regeneration investment management determinants is essential for making rational investment decisions. Hence, the study results may prove useful to decision-makers. The innovativeness of the study lies in approaching regeneration investments from the perspective of particular groups of stakeholders. Research methodology requires the application of a method of document analysis, a method of analysis and logical design.

The development of new areas is associated with costs that partly burden public budgets. One example of such costs is the necessity of purchasing land for the construction of public roads. Geoinformation can be used to forecast such costs. In the era of transformation, the land administration system and transition from traditional (raster) data to an electronic (vector) version opens new possibilities for the use of geoinformation. Modern systems must satisfy certain requirements set out by the recipient as well as by legislation, on both the European and national level. They must also be powered by expertise gained in accordance with good practice. In this case, a property appraiser is the source of such information.. The study presents the possibility of using the CommunityViz system for forecasting the financial consequences of adopting the local plan for the area Jagodno II in Wroclaw. The paper also presents the possibility of using the results of the calculations during public consultations.

In a development project, land is the key factor of production. The concepts of its identification, selection and development are fundamental to the pre-investment phase. The purpose of the article is to present a definition of a land bank and identify the factors which have an impact on creating land banks by developers. If the length of time between the actual acquisition of land and the commencement of construction work is difficult to predict, developers will increase the size of their land banks. The author assumes that one of the most important premises for developers to accumulate land resources is the land development system which creates land availability.

The construction of residual value is a key element of income methods in asset valuation. Its main task is to include asset value at the end of the forecasted cash flow period. Although it is common to apply simplified models of residual value in valuation practice, its meaning in shaping the final outcome is substantial. The aim of the article is to emphasize the role of using an appropriate formula in determining residual value in the valuation process. Moreover, alternative methods of estimating residual value will be presented together with scenarios of applying them.

Diversifying an investment portfolio through the diversification of assets, which is accompanied by the dispersion of risk, is aimed at achieving an appropriate balance between the expected return and an acceptable level of investment risk. While considering the specificity of various forms of investing in property, the level of the liquidity risk of property assets and the risk of financial instruments in the real estate market, as well as the volume of the capital involved and the regional differentiation of its allocation, this paper intends to present the possible ways of diversifying the portfolio, including sectoral and geographical diversification on the assumption that investments are concentrated in metropolitan areas. The identification of investment portfolio diversification principles, including liquid assets and the real estate market, embraces this perspective on the conditions of the functioning of EU REITs, whose business goal is to manage professionally diversified real estate portfolios

One of the fundamental ways in which an advantage over competitors can be gained in business is to develop real estate portfolios in such a way that will lead to an increase in market share and value for shareholders. This serves as justification for the formulation and implementation of specific real estate strategies regarding the best manner in which to use CRE, make decisions regarding restructuring, and carry out necessary development projects, taking into account the criteria of: location, time, and procurement options. This paper presents the formulation and realization of real estate strategies, focusing on the use of the category of property value. Moreover, the authors formulate a possible classification of CRE, which is useful from the perspective of real estate strategies, in addition to identifying and evaluating different types of property values which can be used for real estate strategies. For the majority of operational properties, these categories differ from market value. The last part of the publication provides a reference of selected valuation methods used to determine the value of CRE in the context of formulating and implementing real estate strategies.

The average price of residential real estate offered on the housing market in Szczecin has been declining since 2008. Prices on both the primary and secondary markets were regularly adjusted, disregarding the fact that the cost of 1 square meter of newly built flats was rising. Therefore, the question of how low can prices fall for the market to remain profitable arises? The situation on the residential real estate market has been analyzed in four areas: on the primary and secondary market, as well as by offer and transaction prices. The study was conducted in Szczecin on a quarterly basis in the period of 2007-2012.

The article pertains to the topic of speculative price bubbles which arise in the real estate market. The individual parts of the article deal with the connection between the price bubble in the American real estate market and the global economic crisis, defining the concept of a price bubble with regard to the behaviors of market participants, providing a description of the environment generating price bubbles, and systematizing the reasons behind the formation of price bubbles. The analysis of behavioral aspects accompanying the existence of a price bubble is a key issue. The assumed considerations indicate that the housing price bubble could not exist in the real estate market (REM) if its formation was not accompanied by behavioral aspects. These aspects include, among others, giving in to temptations and emotions, limited rationalism, herd behavior, and seeking to make profits in a short amount of time at the expense of long-term negative consequences. The nature of these deliberations is theoretical.

The real estate market is a specific and imperfect field of research, and its complex structure and the presence of information gaps necessitate the use of advanced analytical tools. One such tool is simulation modeling, which has a variety of practical applications and can be used to model real-life systems characterized by a high degree of complexity and a high share of random components. In this paper, virtual data was used to simulate transactions on the local real estate market. Simulation tools were applied to generate additional information about transactions, their spatial distribution and transaction prices. The applicability of the iterative Monte Carlo approach with a standard regression model and a spatial regression model was evaluated.