Commercial Real Estate Development Research Articles

Pennichuck Corp.

AbstractWater Utilities (MIC: 7.2 SIC: 4941 NAIC:221310)Pennichuck is a holding company. Through its subsidiaries, Co. is engaged primarily in the collection, storage, treatment, distribution and sale of potable water throughout southern and central New Hampshire. Pennichuck Water Works, Pennichuck East Utility and Pittsfield Aquaduct Company each operate as regulated public utilities. As of Dec 31 2003, Co. served approximately 29,400 residential and commercial and industrial customers. Co. is also involved in the development of commercial and residential real estate through its Southwood real estate subsidiary, and additional non‐regulated, water‐related management services and contract operations through Pennichuck Water Service Corporation.

Pennichuck Corp.

AbstractWater Utilities (MIC: 7.2 SIC: 4941 NAIC:221310)Pennichuck is a holding company. Through its subsidiaries, Co. is engaged primarily in the collection, storage, treatment, distribution and sale of potable water throughout southern and central New Hampshire. Pennichuck Water Works, Pennichuck East Utility and Pittsfield Aquaduct Company each operate as regulated public utilities. As of Dec 31 2003, Co. served approximately 29,400 residential and commercial and industrial customers. Co. is also involved in the development of commercial and residential real estate through its Southwood real estate subsidiary, and additional non‐regulated, water‐related management services and contract operations through Pennichuck Water Service Corporation.

Real Estate Speculation as a Source of Banking and Currency Instability: Some Different Lessons from the Asian Crisis

AbstractA central feature of the Asian currency crisis of 1997/1998 was the vast prior capital inflow into the region, and the later rapid reversal of that movement. In seeking to explain why this outflow of capital took place and was so devastating for the countries concerned, various writers have laid blame upon a combination of connected lending, poor bank supervision, moral hazard and “crony capitalism”.Our emphasis is different. Much of the capital inflow financed a vast over-expansion of commercial real estate development. Plunging real estate values accompanied by severe difficulties in the banking and financial sector were common occurrences across the region. The argument we advance is that property plays a special role in banks’ portfolios and that large international portfolio capital flows mediated by banks will usually lead to rapidly appreciating asset prices which will result in banking/currency crises.

The commercial property development process

This paper is concerned with the development of commercial real estate in broadly capitalist economies. Rational project planning for such development is not well advanced. Property advisers agree that the development process is infinitely flexible; circumstances alter cases. There is much objective knowledge about aspects of development, although decisions are often based on subjective personal experience. Academic research from various disciplines has concentrated on the process, providing a framework of ideas but little empirical support. How development projects evolve depends upon structural forces that are not only economic, and the actors who become involved. This paper argues that the nature of the site is also important. Analysis of literature suggests a model based on four “dimensions”, structure, actors, site and events. Two case studies from Newcastle upon Tyne and Cape Town are used to test this theory; these were researched largely by interviewing the actors. Software for development is underdeveloped. Financial appraisal packages merely crunch the numbers provided. Existing software does little to alert actors to opportunities, constraints and pitfalls or assist them with decisions. Research should aim to develop decision‐support software of real practical use to actors in the management of projects.