- Journal Details
- First Published
- 16 May 2013
- Publication timeframe
- 4 times per year
- Open Access
The Origin of Property Buyers in Poznań and its Suburbs
Page range: 5 - 12
The market for land for single-family housing is one of the most important segments of the real estate market. Over the last several years, we have witnessed the development of this market in the suburban areas of large agglomerations. This is connected with the intensified migration of people from the centers of big cities, and with the development of housing in suburban zones.
The aim of this paper is to present the structure of the territorial origin of buyers purchasing plots designated for single-family housing in Poznań and its suburbs (with division into buyers derived from the city of Poznań, from the Poznań poviat (district), the Wielkopolska voivodeship (province), the rest of the country, and from abroad). The analysis covers the years 1995-2010.
- the origin of the buyers of properties
- the market for land plots
- Poznań agglomeration
- Open Access
Application of the Beta Coefficient in the Market of Direct residential Real Estate Investments
Page range: 13 - 21
The beta coefficient is one of the most popular indices used in contemporary finances. Despite the fact that there are justified doubts connected with its application, it is currently difficult to imagine a situation in which the cost of capital would be calculated without the use of the CAPM model. Thus, an attempt at answering the question whether and to what degree beta may be used in the real estate market constitutes an interesting problem. This is because on the one hand, the formal structure suggests that beta should not be used for assets which are not included in the benchmark but, on the other hand, such a benchmark should, at least theoretically, contain all market assets. Therefore, a decision was made to have a closer look at this issue, with the analysis of the possibility of using the beta coefficient in the residential real estate market set as the objective. Using the database of prices in the direct real estate investment created by the NBP, a comparison was conducted with regard to features of undertaken investments on the basis of an analysis of systematic risk calculated using selected indices available on the Polish market.
- beta coefficient
- systematic risk
- real estate market
- Open Access
University Space Management Exemplified by Selected European Entities
Page range: 22 - 29
The rapid changes taking place in the environment of academic institutions (market rules in tertiary education, the greater availability of university education, globalization and internationalization, emergence of knowledge-based societies) force them to adjust to the new environment and to adopt a new approach to management, (Friga, Berris, Sullivan 2003; Jajszczyk 2009; Clarysse, Mosey, Lambrecht 2009; Law, Ho 2009; Amthor, Metzger 2011; Leja 2013), as well as to competition and value creation.
Due to the pressure of their environment, universities have to be more efficient, functional and effective (Antonowicz 2005; Robbins 2008). They are increasingly more and more often expected to be more effective in their work, open to the outside world, and more entrepreneurial (Keast 1995; Etzkovitz, Webster 2000; Etzkovitz 2004; Kirby 2006). Without meeting these expectations, success on the market cannot be achieved.
In many renowned European universities, the strategic role of real estate as an asset creating the value of the entity has long been emphasized. This means that the effective use of space and implementation of a rational space management policy enable the entity to enhance its value and affect its economic condition (Wolski, Załęczna 2011; Konowalczuk, Ramian 2012). The existing space management expertise of foreign universities makes it possible to implement this knowledge in the process of university management in Poland. The basic goal of this paper is to present the nature of the space management process, as well as chief indicators that are used in selected European universities to assess the degree of estate utilization. In other words, space management solutions used outside of Poland will be sought, which can help to resolve the problems of many Polish tertiary institutions.
- space management
- higher education institutions
- Open Access
Identifying Selected Behavioral Determinants of Risk and Uncertainty on the Real Estate Market
Page range: 30 - 40
Various market behaviors can be characterized as risky or uncertain, thus their observation is important to the real estate market system. The extensive use of behavioral factors facilitates their implementation and studies in relation to the real estate market system. The behavioral approach has established its own instrumentation which enables elements of risk and uncertainty to be quantified.
The belief that behavioral determinants connected with risk and uncertainty occur in the real estate market system (REMS) is the research hypothesis of the present paper which aims to:
1) analyze risk and uncertainty in the REM system using the behavioral approach,
2) identify and systematize behavioral determinants of risk and uncertainly shaping the REM,
3) develop a methodology for measuring behavioral determinants of risk and uncertainty in the REM,
4) present the significance of behavioral determinants of risk and uncertainty on the example of the Olsztyn REM.
The aims were realized by means of a laboratory experiment conducted on a representative sample, as well as through the statistical verification of the obtained results. The article builds on current knowledge regarding the mechanisms of how the REM operates by introducing new issues connected with the behavioral approach to the topic of risk and uncertainty.
- behavioral economics
- real estate market
- risk aversion
- uncertainty aversion
- Open Access
The Corporate Real Estate Market in Public Statistics in Poland
Page range: 41 - 51
This paper presents theoretical considerations regarding the needs and criteria of creating ownership divisions of real estate markets for the purpose of public surveys and research. The scope of necessary changes to the collection of information in public registers and institutional conditions is indicated, as a necessary aspect towards enabling separate studies for corporate real estate to be conducted. Study results comparing the basic parameters of the real estate market in the Silesian voivodeship (Silesia province) in 2004-2012, as per the Central Statistical Office (CSO) annual reports, are also presented, as are the results of an analysis of data collected from a database of appraisers and valuers. The market parameters adopted for comparison have in both cases been developed based on the same source data obtained from public documents of the Registers of Real Estate Prices and Values (RREPV). The article presents the detailed results of own research on the real estate market in the Silesian voivodeship for 2012, with regards to the amount of real estate, the transaction values, the area of properties, and selected averages with regards to property type in line with those used in CSO studies. Also included is an assessment of the completeness of the market data presented by the CSO, taking into account the selected types of real estate. This paper also indicates the results of a pilot survey study of office workers of the RREPV in poviat (district) council offices. The comparison of the regional real estate market forms a basis for the critical evaluation of the categories of real estate used in official statistics and selected forms of real estate turnover. Proposals regarding the needs and conditions that must be met in order to enable research on the corporate real estate market have also been formulated.
- Corporate real estate (CRE)
- CRE market in Poland
- real estate in public statistics
- Open Access
The Role of Spatial Planning in the Investment Process in Poland and Slovenia
Page range: 52 - 66
This paper is based on the hypothesis that: “Spatial planning should regulate spatial development, taking into account the public and private interests, and enabling the development of public and private investments in construction projects. Investors may be discouraged from construction on account of too small or too excessive a number of spatial implementation conditions (land use guidelines) in particular, where an adequate professional basis has not been provided”
This hypothesis has been verified by analyzing spatial planning processes in Poland and Slovenia, two countries whose centrally-planned economies (in Slovenia, this was called the socialist market economy) have been transformed into functioning market economies.
The main aim of this study was to discuss the significance of spatial planning documents in the investment process and their contribution to the preservation of spatial order. Special emphasis was placed on planning documents that allow construction in areas not covered by a local zoning plan. In Poland, the relevant document is the outline planning permission for development of land or property. Investors are required to prepare extensive source documents that are used by the (local) authorities for issuing outline permissions for the development of land and of property. Due to a lengthy procedure for obtaining outline planning permission, development is delayed and, as a consequence, investors are discouraged from building. In Slovenia, the relevant spatial plans at the local level include the municipal spatial plan, which set out the spatial implementation conditions and the detailed spatial plan. The spatial implementation conditions are the criteria and conditions for intervention as determined by the spatial planning document, in accordance with which the acquisition of building permits under regulations on construction is prepared. These can have a significant impact on the performance of the investment project. In some cases, such conditions even discourage investors from building, because they are not on an adequate professional basis.
The three examples discussed in this paper show that both too general and too precise spatial implementation conditions (land use guidelines) are unfavorable for investors and validate the hypothesis.
- construction permits
- spatial chaos
- spatial planning in Poland and Slovenia
- Open Access
Reproduction of Real Estate Valuation Methodology in Practice. An Attempt at Identifying Sources of Divergences
Page range: 67 - 79
The objective of the study is to try and identify the reasons for the detachment of the valuation practice from its methodology. Two methods have been used in the paper: the analysis method and the case study method, under which fourteen property valuation reports posted on websites and two opinions about the property valuation prepared for court purposes in order to detect and identify sources of deviations from the valuation methodology have been analyzed. The study, besides theoretical aspects, includes references to practical application: pointing out directions of changes in legal regulations and national valuation principles, which should help achieve uniformity in interpreting the valuation concept, allowing the reduction of its uncertainty, understood as the uncertainty of a single valuation and uncertainty as the difference between valuations.
- valuation methodology
- valuation uncertainty
- valuation standards
- methodological errors
- professional organisation
- Open Access
Spatial and Real Estate Management Determinants of Tourism Sector Development
Page range: 80 - 85
Satisfying residents’ needs is the main purpose of local authorities. Given that of the most fundamental of needs is the possibility of receiving fair income from work, local authorities should create an attractive investment climate, consistent with the directions of development described in strategic documents. One of the main directions, both for Poland as well as its individual regions and local units-gminas (communes), is the development of the tourism sector. To achieve this goal, local authorities possess tools that allow social-economic conditions to be shaped. The realization of particular tasks is a very complex process, and requires rational and active spatial and real estate management, coherent with the principles of spatial order and sustainable development.
- spatial and real estate management
- spatial order
- Open Access
Development of Areas and Public Purpose Investments in Suburban Territories
Page range: 86 - 97
Suburban areas are subjected to particularly strong investment pressure, thus facing the challenge arising from the need to impose new spatial order. Satisfying the residents’ expectations by implementing necessary technical and social infrastructure becomes a priority. Therefore, public investments play an important role in suburban areas.
The article discusses the role of public purpose goals and their achievement using a case study which encompassed the outskirts of Olsztyn and consisted of detailed analyses of two gminas (communes) adjacent to the city. The research covered the time period from 2006 to 2010. The relationship between the development of housing functions in a suburban area and the location of public purpose investments such as technical and social infrastructure has been documented. The execution of public purpose projects is a follow-up of the development strategies prepared for the gminas where public investments are shown as a stimulant of suburban development. It has been demonstrated that decisions permitting such investments to be carried out are issued in response to the needs of the local community and investors moving to suburban territories.
- public investment
- suburban areas
- Open Access
Rating in the Assessment of Investment Property
Page range: 98 - 107
The implementation of rating procedures is associated with searching for tools that provide an objective and standardized assessment of investment risk. For this reason, rating is an important and often essential element of investment decision-making processes which determines the development of the capital market, including the real estate investment market. In the investment property market, not only does rating provide transparency of property risk, but it can also be used for real estate portfolio analysis, investment controlling, and the analysis of factors determining investment decisions (ESV 2012).
In this article, the authors present an assessment of the suitability of the rating recommended by TEGoVA for properties considered as active investments, namely properties in the course of development and intended for future development projects. The analysis will include criteria affecting the assessment of property quality and risk, taking into account four classes: market, location, property characteristics, and the quality of cash flows. The study will allow to identify assessment parameters and determine a recommended scope for the analysis of real estate investment potential.
- property rating
- property and market rating
- investment property