To operate effectively in today's dynamic global real estate markets, it is essential to understand the complex processes that underpin them. This up-to-date work, which brings together contributions from industry and academic experts from around the world, is a valuable corollary to effective investment decision-making within the property sector and will be of interest to post-graduate property students, researchers and practising real estate investors. Recent years have seen some rapid developments in the global scale and structure of real estate markets. Such transformations have been paralleled by significant changes in the financial structures, and processes that serve these markets, including sophisticated new investment and finance structures and products. Examples of these include the real estate investment trusts (REIT) products that have been developed in USA, Europe and Asia, the range of unlisted products emerging in UK and Europe, and the innovative financing structures being developed in many countries.
Global Trends in Real Estate Finance addresses this emerging complexity and sophistication in contemporary real estate markets by discussing the history, merits and implications of a range of products and processes. Also examined are the changes in the practices and environment needed to ensure the success of these property products, including increased disclosure, corporate governance, market transparency and improved skills base. Chapters are written by leading international contributors, both academic and practitioner. The context is explicitly international, with a focus on UK, Europe, Asia, Australia and the USA. The aim is to identify specific market areas to describe the key innovations, rather than simply providing a description of various geographical markets.
Graeme Newell, Professor of Property Investment, School of Construction ,Property and Planning, University of Western Sydney Karen Sieracki, director of KASPAR Associates Ltd - property research
Preface Contributors Part I: Products 1. Global REITs universe continues to expand and develop (Lijian Chen and Thomas I. Mills). Global core real estate universe: $8 trillion and growing Why have REITs succeeded? REIT proliferation: thriving in 18 countries and counting Early growth cycle: only the tip of the iceberg Relative risk and return 2. The US real estate investment trust (REIT) market (Will McIntosh). Introduction The evolution of US REITs US REITs: creation to 1993 US REITs: the Modern Era The investment performance of REITs The future of REITs 3. Progress on REIT regimes in Europe (Simon Clark and Tom Road, Linklaters, Olivier Mesmin, Baker McKenzie, Matthias Roche). Introduction Developments in France: SIIC 2/3/4 and the OPCI OPCI: 'the non-listed SIIC' The German REIT The UK REIT EU law and REITs: what are the issues? 4. Listed Property Trusts in Australia (Graeme Newell). Background to LPTs LPT regulatory framework LPT profile LPT performance analysis Recent issues in the strategic development of LPTs Changing LPT and property landscape in 2007-2008 Conclusion 5. Asian REITs: playing the yield game (Joseph T.L. Ooi and Neo Poh Har). REIT markets in Asia Ways to enhance distribution yield Yield-accretive acquisitions Conclusion 6. European real estate unlisted vehicles: a mature market now or is there more to come? (Karen Sieracki). Introduction Characteristics of European real estate unlisted vehicles Performance of European real estate unlisted vehicles Management fees Discussion and conclusion 7. Constructing a Global Real Estate Investment Index ( Ian Cullen). Introduction Top down or bottom up? Rolling out national market indices The first IPD multi-market index - the pan-European ...and finally the world - IPD's first global index 8. Property derivatives (Gary McNamara). Introduction The history and innovation behind the property derivatives market The drivers for change Pricing and underlying index activity Alternative indices and products being traded Has the market achieved the results expected of it? How have derivatives changed the market place? Future expectations, unintended consequences and lessons learned Conclusions 9. Property markets in central and eastern Europe (Stanley McGreal, Jim Berry and Alastair Adair). Introduction Development of real estate markets Property markets, data availability and economic competitiveness Bank lending on property in central and eastern Europe Conclusions 10. Islamic finance and Shariah compliant real estate investment (Ali Parsa, University of Ulster, and Ali Muwlazadeh). Introduction Defining SCI Shariah funds in the research agenda Conclusion PART II: Processes 11. Socially responsible property investment - background, trends and consequences (Thomas Lutzkendorf and David Lorenz) . Introduction Social responsibility and sustainable development - background The principles for responsible investment Trends and concepts within the property market The benefits of sustainable buildings and of SRIs Criteria and assessment tools Realisation of SRPIs Implications for property professionals Conclusion and recommendations 12. Corporate governance in the real estate industry (Prof. Dr. Karl-Werner Schulte, Prof. Dr. Wolfgang Schafers and Nicolas Kohl). Introduction Reasons for the rising importance of corporate governance Existing corporate governance principles for the real estate industry Impact of corporate governance on firm value Research agenda for corporate governance in the real estate industry Appendices 13.The future of real estate education (Tony Key). Introduction The demand for real estate skills Paradigms for real estate education A real estate body of knowledge The methods of real estate education The future of real estate education Index.