Office Market Research Articles

Analyzing the Commercial Success of the Film Barbie

Abstract: The movie "Barbie" was released globally in 2023 and has garnered a large fan base worldwide, achieving significant artistic and commercial success. This article focuses on analyzing the reasons behind "Barbie's" commercial success, primarily covering the global influence of the Barbie IP, its alignment with current pop culture trends, the feminist core of the film, and aspects of its production, including the cast, music, set design, and scenery. Through this analysis, the article confirms Barbie's success in the global box office market. The success of "Barbie" has resonated with a wide range of social groups and has encouraged the spread of feminism. The social impact of "Barbie" is substantial enough to leave a mark on the milestone of film production for the movie and its production team. This commercially successful film with a feminist core is also set to spark a wave of thought in Hollywood and worldwide, encouraging and promoting the flourishing of feminism and feminist films.

A Study on the Appropriateness of Office Market Evaluation Indicators in Seoul

A Study on the Appropriateness of Office Market Evaluation Indicators in Seoul

A Study on the Appropriateness of Office Market Evaluation Indicators in Seoul

A Study on the Appropriateness of Office Market Evaluation Indicators in Seoul

Does Energy Performance Rating Affect Office Rents? A Study of the UK Office Market

Environmental concerns and the rise in energy costs have heightened the focus on reducing CO2 emissions within the built environment. By concentrating on the office market in the UK, where a significant portion of a service-based economy operates, progress towards achieving emission reduction goals could be accelerated. Nevertheless, the speed at which this sector can enhance its environmental impact and whether individuals are willing to invest in energy-efficient measures and new energy-efficient buildings has remained uncertain. This paper investigates the influence of varying Energy Performance Certificate (EPC) ratings on the rental rates of office buildings in the UK, drawing on an extensive dataset spanning the years of 2011–2021. Our research seeks to determine whether there exists a willingness to pay for more energy-efficient office spaces by assessing whether there is a rental premium associated with office building with higher EPC ratings. Furthermore, we examine whether buildings failing to meet minimum energy efficiency standard (defined as EPC ratings of F and G) experience rental discounts. Our findings, which take into account heteroscedasticity and various disaggregations within the office market, consistently reveal a willingness to pay for energy-efficient office spaces.

The Impact of the Flight to Quality on Office Rents and Vacancy Rates in Tokyo

Abstract With the rapid spread of telecommuting since the COVID-19 pandemic, companies have been relocating to high-end business centers, thereby enhancing the workplace experience for employees, a phenomenon called the "flight to quality." However, this trend’s impact on rents and vacancy rates in individual office buildings has not been extensively studied. To determine the effects of the flight-to-quality phenomenon on individual buildings, we examine the impact of modern amenities, which directly influence employee lifestyles, on rents and vacancy rates in the Tokyo office market. Using a propensity score-based quasi-experimental method, we find that commercial properties with such modern amenities command higher rents and experience lower vacancy rates than those without. The difference in vacancy rates has increased since 2020. However, the significance of these amenities diminishes for properties less competitive in age, size, and location. The results indicate that the "flight to quality" may further polarize the office real estate market into two categories: one for high-end buildings experiencing increasing demand, and another for those with modest amenities experiencing decreasing demand. The findings have implications for office building owners/investors and the government, make educated decisions as to whether to invest in modern amenities, join the quality competition, or encourage urban restructuring.

An Analysis of the Marketing Mode of Modern Chinese Commercial Movies

China's movie market has continued to grow over the past few years and is now the world's second-largest box office market. Commercial movies are undoubtedly the fastest-growing category of films. This paper will systematically discuss the specific subcategory of Chinese commercial films from various aspects and explore the marketing model of Chinese commercial movies as a complex and diversified systematic project. First, this study analyzes the characteristics of the Chinese film market, the marketing mode of modern Chinese commercial films, and the types and needs of Chinese film audiences; secondly, it aims to discuss the drawbacks and challenges Chinese commercial films face under the characteristics of such an environment and marketing methods. By analyzing the market trends, industry models, and marketing strategies, the paper will delve into the development of Chinese commercial cinema as an industry and provide some suggestions on how to succeed in the highly competitive film industry.

Low Interest Rates and Uncreative Destruction in the Office Market

Abstract Low interest rates were introduced in the global economy to support the weak economic growth that followed the global financial crisis. In the real estate sector, low interest rates usually lead to a boom in investment and prices. This boom, however, is not spread throughout the economy, but rather concentrated in major cities. We demonstrate this phenomenon on the example of the office market in Warsaw (Poland). While it would be beneficial for the Polish economy to develop office space in smaller cities that have an insufficient supply of modern office space, investors have focused mainly on the capital. This has not only led to an increase in the cost of building land and construction, but has also pushed some relatively new existing office buildings off the market. We call such behaviour uncreative destruction and explain why it was possible.

The added value of environmental certification in the Dutch office market

Purpose This study examines the relationship between environmental building certification Building Research Establishment Environmental Assessment Method (BREEAM-NL) and office rents in the Dutch office market.Design/methodology/approach A hedonic price model was used to assess the impact of BREEAM certification on office rents. The study is based on 4,355 rent transactions in the period 2015 to mid-2022, in which 331 transactions took place in certified office buildings and 4,024 transactions in non-certified office buildings.Findings The results provide empirical evidence on quantitative economic benefits of BREEAM-certified offices in the Netherlands. After controlling for all important office rent determinants, the results show a rental premium for certified office buildings of 10.3% on average. The green premiums highly differ across submarkets and vary between 5.1 and 12.6% in the five largest Dutch cities. Additionally, the results show significant positive correlation between BREEAM-NL label score and rents, whereby better performing buildings generally command higher rents.Originality/value The study contributes to the current literature on green building economics by providing, as one of the first, empirical evidence on the existence of financial benefits for BREEAM-certified office buildings in the Dutch office market.

Determinants of office rents: the role of physical and locational characteristics in Colombo

PurposeThis paper examines rent determinants and their relationship with commercial office property rents.Design/methodology/approachThe method adopted in this study differs from that of previous studies on this topic. Firstly, based on the survey of the viewpoints of experts, Relative Importance Index (RII) analysis was used to identify rent determinants and to rank and ensure their relevance and validity in the Sri Lankan context. Secondly, sampling of data related to 115 office properties collected from property tenants and landlords located within the central built-up area of Colombo City was conducted using a multi-methods approach to carry out an objective hedonic analysis of office rents.FindingsThis research utilizes RII and hedonic models to provide insights into determinants and relationships. Both analyses confirm that the three top drivers of commercial office rent are distance from the major town center, availability of parking space and the condition of the property. In addition to these three factors, hedonic models reveal that the age of the property and the availability of a conference hall also play a relevant role in explaining office rents. Given the disparities in the findings of the two methods, further examination was able to confirm that factors such as distance from the major town center, parking availability, age of the property, presence of a conference hall, building condition, floor size, business type and type of building are likely to influence commercial office rent. These findings reflect elements such as the quality, newness and better facilities of different office properties.Practical implicationsThis systematic study and analysis of office rent for the guidance of real estate investors can support sound investment decisions, potentially leading to more financially sound property development, reduced public debt levels and improved public-private financing. Further, the research findings offer valuable insights to real estate investors, developers and planners regarding location decisions for office development quality enhancements in future office developments.Originality/valueThis research provides fresh insights into the local scale office market, an area where limited evidence currently exists. Further, the methodology adopted provides evidence that hedonic analysis, supported by a multi-method approach, can mitigate the subjective judgments made by professionals.

Spillover Effect of Large Building Construction on Neighborhood Office Rents

The impact of newly constructed buildings on local property markets can be explained by tradeoffs between the supply effect, absorbing demand and reducing rents, and the amenity effect, attracting new amenities and increasing rent. While scholars are increasingly discussing the effects of this tradeoff, particularly in the residential market, work on the office market—a major component of urban areas—is scarce. This study aims to identify these tradeoffs in the Tokyo office market using two identification strategies based on an event study plot. The results indicate a strong spillover of supply effects to lower-tier office buildings. However, in suburban areas, new supply was found to decrease rents for medium-sized office buildings while increasing rents for small ones. In all cases, similarly sized office buildings near the new buildings were not significantly affected. These findings suggest that new supply leads to a filtering process and gentrification and, moreover, that these effects depend on location and size. Furthermore, the results suggest that the new Tokyo supply stimulates latent demand. Such an effect may be unique to a market in which vacancies are low and development is thriving. Our findings are important for investors seeking to understand urban dynamics and optimize their portfolios.

Yield rate in the Warsaw office market and its determinants. Further studies

This article is a continuation and extension of a previous study which, to the best of the author’s knowledge, was the first scientific attempt to identify determinants of the yield rate in the Warsaw office market. The paper is based on the Gordon growth model. In this approach, the yield rate of buildings offering office space to let is a function of the risk-free interest rate, the risk premium and a constant rate of growth of generated cash flows. In the article, five different elements of the risk premium were identified (term structure, alternative investments’, market (country) specific, monetary and local office market capacity risk premium). The Error Correction Model was formulated based on quarterly time series data from 2007Q1 to 2021Q2. Most investors in the office market in Poland are financial institutions representing foreign capital. Therefore, the innovation of the paper and its main goal was to define which factors play key roles in determining yield rates in the Warsaw office space market – national or regional/international. However, the selected group of Polish determinants were indicated as having prevailing an impact on the yield rate in the Warsaw office market than the corresponding determinants from the European Monetary Union and the USA. Based on the model, the lead-lag, as well as asymmetric relations, were depicted. Moreover, the use of dummy variables checks, the Chow test and the Markov switching model indicated the presence of structural breaks and the existence of the two regimes in the model.

The effectiveness of climate change regulations in the commercial real estate market

Legislation to increase building energy efficiency is a key climate change policy instrument in many countries. Although most of these regulations concern the housing stock, office buildings are also a considerable source of greenhouse gas emissions. Office markets face fewer pricing regulations than the residential market and may thus provide a clearer pricing signal of any policy impacts. This paper focusses on the introduction of Minimum Energy Efficiency Standards (MEES) in England and Wales. Applying machine-learning methods, Difference in Differences (DiD) and Fixed Effects (FE) panel data estimation to a comprehensive database of the London office market, our results suggest that the MEES policy has had a measurable and significant impact and lowered the rents of the combined group of affected office units by 6–8% following the announcement of MEES and in the run-up to implementation. A weakly significant 4.4% rental discount is detected for the bordering but unaffected class of EPC E-rated office buildings relative to the A–C EPC group, perhaps due to market expectations of a further expansion of MEES.

거래사례 기반 기계학습 공간군집화를 이용한 서울 오피스 시장 권역 분석

This study attempts to regionalize the Seoul office market by focusing on the investors’ perspectives. The study uses the transaction price data announced by the Ministry of Land, Infrastructure, and Transport and applies the Fuzzy C-Means algorithms, which are machine learning-based clustering techniques. The study found the following: First, as a result of comparing various algorithms, the Spatial Fuzzy C-Means algorithm performs the best clustering. Second, the three major office districts in Seoul form clusters differentiated from other areas. Third, the number of Dongs belonging to each district is smaller than the general consensus. The traditional business district (CBD) includes only parts of Jongno-Gu and Jung-Gu, the Yeouido business district (YBD) is composed of only Yeouido-Dong, and the Gangnam business district (GBD) comprises not many Dongs of Gangnam-Gu and Seocho-Gu. Fourth, by weakening the criteria, the clustering results in different spatial expansions by district. CBD has expanded to Seodaemun-Gu and Yongsan-Gu, whereas YBD has not expanded to Mapo-Gu or Yeongdeungpo. In particular, GBD expands to a considerable number of Dongs in Gangnam-Gu and Seocho-Gu. Fifth, the range of each district changes by period. When the office price increases rapidly, the range of each district is widened, and vice versa. These results show that, unlike the general perception of office districts, the CBD is expanding to Seodaemun-Gu and Yongsan-Gu. Moreover, Yeouido and nearby Mapo-Gu and Yeongdeungpo are not homogenous enough to be viewed as one district, and GBD is not linear but rectangular. Furthermore, Songpa-Gu does not form a spatially connected district with Seocho-Gu and Gangnam-Gu.

Office Building Rental Prediction Model Based on Locational Determinants

The importance of locational determinants in determining rental rates in the office market has long been acknowledged and unquestionably become the significant factor for assessing the rental potential of various property types. Nevertheless, the rapid progressing research that discovers the effect of locational determinants on the rental, limited study that was deeply looked into the provision of location to the rental mainly in Malaysia cases. Thus, this study aims to develop a predictive model for office building rentals based on a comprehensive analysis of locational determinants. To achieve the aims of this study, the objectives was outline which are to identify the determinant factors of location and to analyse the significant determinant factors. Through the application of machine learning, this study captured the intricate connections between rentals and different location-related factors. By leveraging advanced algorithms which are decision trees, random forests, support vector machines and gradient boosted trees, the model can effectively handle diverse datasets, encompassing variables such as proximity to central business districts, access to public transport network, neighbourhood and amenities, and traffic condition. Through rigorous data collection and pre-processing, this study constructs a robust dataset comprising historical rental dataset collected in the city area of Kuala Lumpur, Malaysia acquired from Property Services Department (JPPH) were used to train and validate the predictive model via R-squared performance metrics. The results indicate that proximity to Central Business District (CBD) emerges as a significant determinant with the most contribution to the model’s prediction, with offices located in close proximity commanding higher rentals. This study provides valuable insights into the prediction of office building rentals based on locational determinants, offering a practical tool for stakeholders in the real estate industry.

A comparison of green and conventional buildings in selected office nodes in Gauteng province, South Africa

ABSTRACT This study investigates the economic characteristics of green and conventional office buildings in selected nodes in Gauteng Province in South Africa. We estimated the gross rent, net rent and operating cost per square meter elasticities using hedonic regression models. Contrary to international research, which points to tenants willing to pay rent premiums and enjoy cost savings for green, compared to conventional buildings, our results show that in some nodes, green and conventional buildings of similar quality were not differentiable based on rents and operating costs. In one node, 3-star rated green buildings rented at a premium and their operating costs were higher, compared to conventional buildings of similar quality. Only in one node were 4-star rated green buildings characterized by rent premium and lower operating cost advantages for tenants. Differences in the attractiveness of nodes imply that tenants may forgo the expected cost savings from renting green offices in addition to paying a rent premium if the location is right. Since the dataset is archival, findings may not reflect market conditions caused by the COVID-19 Pandemic. In addition, the relatively limited size of the dataset may inhibit applicability of the insights across the South African office market.

Supply Constraints and Search Equilibrium in Office Markets

AbstractWe present a new conceptual framework to estimate office supply elasticity, where net business survival, physical and economic mismatch are used to identify frictional and structural vacancy. Alongside regulatory and geographical constraints, we also find an unobserved feature of supply elasticity linked to natural vacancy. Our results confirm that US Metropolitan Statistical Areas are generally supply inelastic and the search and matching process plays a key role in supply dynamics. In the least inelastic markets, investors tend to be more flexible to respond to negative demand shocks. As a result, we observe a reduction in structural vacancy and a subsequent increase in cyclical vacancy given the slow short-term movement in absorption. These findings also shed light upon office market dynamics during the COVID-19 period.

Prices, uses, and (r)evolutionary change: the outlook for post-pandemic office investing

PurposeThe authors take a historical perspective and compare office market performance metrics and CMBS loan delinquency rates over the past two years with previous downturns.Design/methodology/approachWhat will happen to the office sector in the post-pandemic era? we examine this question from three perspectives. First, the authors discuss the (short-term) risk of commercial real estate investment with high inflation and rising interest rates. If investors want to use CRE as an inflationary hedge, the cash flow must increase enough to counteract growing cap rates given rising interest rates.FindingsAs it turns out, the COVID-19 recession has been notably innocuous. Third, the authors focus on medical office space – an emerging investment option for the office sector.Practical implicationsThe authors remain somewhat positive (or at least less downbeat) about the future of the office market based on the data they reviewed.Originality/valueThe office market is experiencing an odyssey rather than an exodus, at least in the short run. However, the authors remain cautious and they are monitoring key signs, prepared for the possibility of (r)evolutionary change in the office sector.

The substantiation of market opportunities for domestic manufacturers in the segment of anti-inflammatory and anti-rheummatic medicines

Goal is an analysis of the assortment of anti-inflammatory and anti-rheumatic medicines presented on the pharmaceutical market of Ukraine, and substantiation of market opportunities for domestic manufacturers. Materials and methods. The research materials are data from the State Register of Medicines of Ukraine and the online directory of medicines Compendium, publications of scientific and practically-oriented medical and pharmaceutical publications. The methods of office marketing research, comparative analysis, logical summarization of results, and the graphic method were used for achieving the goal. Results of the research. During the study, the structure of the assortment of anti-inflammatory and anti-rheumatic medicines and the characteristic trends for the registration of new medicines on the domestic pharmaceutical market were determined. It has been established that in 2022, 463 trade names will be registered on the domestic pharmaceutical market. The assortment of anti-inflammatory and anti-rheumatic medicines was analyzed by active substance, release form, producing countries, and the possibility of use in pediatrics. Prospective directions for updating the product assortment of anti-inflammatory and anti-rheumatic medicines of domestic production have been determined. Conclusions. According to the results of the study, it was found that the group of anti-inflammatory and anti-rheumatic medicines is represented by a wide assortment, however, the market is characterized by import dependence, which has a negative impact on the medical supply of certain categories of consumers. Prospective segments on the market of anti-inflammatory and anti-rheumatic medicines for domestic manufacturers have been established.

Commercial office portfolio risks during the COVID pandemic and the future beyond – a survey of stakeholders in India

PurposeThis paper investigates the dynamic nature of risk in pre-, during- and post-COVID duration. It investigates how commercial office portfolio stakeholders in India perceived risk during the COVID pandemic, their risk response and mitigation strategies, and emerging structural changes that would impact the commercial office portfolio (COP) in the post-COVID period.Design/methodology/approachA qualitative and applied research method is adopted for the study. Through purposive sampling, commercial office portfolio stakeholders were selected and interviewed using a semi-structured questionnaire having two parts. In the first part, risk attributes were accessed on the Likert scale and in the second part there were open-ended questions.FindingsThe uncertainty during the COVID period increased the risk perception significantly. There was a sense of urgency to retain the tenants, preserve the headline rentals and keep the properties operational. COP managers were forthcoming to offer rent deferments, common area maintenance discounts and upgrades in the physical office in form of touchless equipment, better air filters, etc. Post-pandemic there would be extensive use of technology and data for facility management and space utilization analytics; mainstreaming of hybrid working and flexible office spaces; increased certification of buildings; adoption of ESG and sustainability norms; and better-designed buildings with a focus on EHS and wellbeing.Practical implicationsIdentifying structural changes in the post-pandemic period will help the COP managers to align their portfolios to the emerging office market requirements.Originality/valueThis study helps in developing an understanding of the dynamic nature of the risk across pre-, during- and post-COVID periods. And risk responses and mitigation strategies adopted during the COVID period in an emerging market.

오피스 시장에서 비체계적 위험과 투자수익률간의 관계

In this paper, the excess ROI(Return on Investment) and SCL(Security Characteristic Line) ofthe Seoul office market by region are driven based on the ROI of the Seoul office market and CD(91days) rate of return(quarterly), then with this, idiosyncratic risk is extracted, and the idiosyncraticrisk-excess rate of return on investment relationship in the office market by district is analyzed. Finally,the results driven from this study is as follows; 1) Regarding the idiosyncratic risk-excess ROIrelationship by district in Seoul, the CBD shows a low risk-low return tendency, and the YBD showsa high risk-high return. Moreover, in the case of total risk-return, the risk of the ETC is higher thanthat of the GBD, but the idiosyncratic risk is lower than that of the GBD, showing different risk-returncharacteristics depending on the type of risk. 2) As to the idiosyncratic risk-excess investment returnrelationship by district in Seoul, although all districts are markets affected by idiosyncratic risk, thegrowth rate in excess return compared to idiosyncratic risk are different. 3) The excess return oninvestment/idiosyncratic risk by district differs according to the growth rate in office buildings’ salesprice, and no change in the excess return on investment per idiosyncratic risk due to the increase inNOI could be confirmed in all district but YBD. Finally, this paper is meaningful in that it verifies theexistence of idiosyncratic risk in the Seoul office market and the statistical significance betweenidiosyncratic risk-return on investment, and derives related implications through a comprehensiveanalysis relevant to the market situation.