Real Estate Firms Research Articles

INFLUENCE OF LOW-COST BUILDING MATERIALS ON HOUSING PROJECT IN REDUCTION OF HOUSING DEFICIT IN NAIROBI CITY COUNTY, KENYA

Purpose: The purpose of the study was to explore the influence of low cost building materials on reduction of housing deficit in Nairobi County, Kenya.Methodology: The study adopted four theories: open innovations theory, the value theory, transformational leadership theory, and institutional theory. Methodologically, the study adopted a descriptive research design, while the population of this study was all the real estate firms registered by Kenya Property Developers Association (KPDA). Census technique was employed to collect data from all 69 real estate firms using questionnaires. Questionnaires were applied to collect primary data, where the researcher trained research assistants to aid the data collection procedure. A pilot-test was conducted as an approach to establishing both the reliability and validity assessments of the questionnaire. Statistical packages for social sciences (SPSS) was used to undertake both descriptive and inferential statistical computations.Results: The findings of the study established that the use of technology enhances the capability and capacity of construction firms to use an array of building materials. The study found that use of modern technology defined skilled labour because most organizations are leveraging technology as a basis of realizing competitive advantage. It also established that real estate firms utilize competent based human resource management firms to hire qualified personnel. In addition, it was evident that personality traits influenced adoption of new technology in the construction of low cost housing, whereas knowledge and attitudes, and skills were significantly attributed to adoption of new technology.Unique contribution to theory, practice and policy: In light of the research findings, the study recommends that organizations should leverage modern technology as a basis of realizing efficiency, effectiveness, and sustainability of projects. The study likewise recommends that organizations should build capacities to enhance labour productivity. In addition, the study recommends that organizations should adopt transformational leadership approaches as a basis of enhancing performance. The study recommends the need to revise the legal framework with a view to ensure that it reflects the changing needs of the project requirements.

Intellectual Capital Effect, Financial Performance, and Firm Value: An Empirical Evidence from Real Estate Firm, in Indonesia

This research aimed to analyze the impact of intellectual capital towards the firm’s financial performance and firm’s value. Intellectual capital was measured by Value Added Intellectual Capital (VAIC) which has three components, such as Value Added Capital Employed (VACA), Value Added Human Capital (VAHU), and Structural Capital Value Added (STVA). Firm’s financial performance and firm’s value were measured by Return on Assets (ROA), Return on Equity (ROE), Revenue Growth (RG), and Tobin’s Q ratio. There were 102 observations of Property and Real Estate company sector listed in Indonesia Stock Exchange period 2014-2016 that was analyzed using the linear regression method. The results show that VAIC has a significant impact towards financial performance and firm’s value, except revenue growth, which means that the firm’s ability to generate value added and also profit with total assets and equity increase if IC is managed properly. Therefore, VACA is the only component of VAIC that has a significant impact towards financial performance and firm’s value, except RG which means that the capital employed is already managed properly.

Liquidity, leverage, and cash holding: Evidence from In- donesia listed real estate firms

Liquidity, leverage, and cash holding: Evidence from In- donesia listed real estate firms

The Effects of Liquidity, Firm Size, and Profitability on the Firm Value with Mediating Leverage

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Panel data model estimation: the effect of managerial ownership, capital structure, and company size on corporate value

Previous studies have been found that managerial ownership, capital structure, and firm size affect the firm’s value. This research uses panel data regression method. By using the panel data of Property and Real Estate firms listed on the Indonesia Stock Exchange, there are 117 observations that combine cross-section data of 39 companies with time-series data during the period 2014 to 2016. From the model selection results, it was found that the fixed effect model is the best model compared with common effect model and random effect model. By applying the best model base, the researchers found an evidence to suggest that the managerial ownership significantly positively affects firm’s value. The results also showed that firm size significantly positively affects firm’s value. However, the empirical results do not show evidence that capital structure significantly affects the firm’s value. The results of this study are consistent with the stated literature that managerial ownership and firm size are the determinants of firm’s value. These factors must be considered by the owners of capital and managers in maximizing the value of the company.

Influência do desempenho econômico financeiro nas inovações tecnológicas de empresas brasileiras de capital aberto da construção civil

The main objective of this paper is to analyze the influence of economic and financial performance on the technologic innovation of stock exchange real estate Brazilian firms. Economic and financial performance and technological innovations themes are described on specific topics using many authors who analyzed the correlated themes to compose the theoretical basis. According to the objective, this study is descriptive, in relation to the procedures, it is considered as documentary and it uses a quantitative approach. To collect our data, we used innovation evidences from management reports and economic and financial results were gotten consulting Economatica® using the data published by the stock exchange real estate Brazilian firms. We used Multiple linear regression as a statistic method and we concluded that economic and financial performance variables such ase: general liquidity ratio, size of the firm, and sales growth presented a statistically significant relationship with technological innovation of real estate firms.

The relationships between valuers’ support systems for capturing property sustainability in Nigeria and their knowledge perceptions

Purpose The aspects of sustainability are often not considered explicitly in property valuation. The purpose of this paper is to investigate the structural relationships between valuers’ support for integration of industrial sustainability into property valuation process in Nigeria and their knowledge perceptions about the potential sustainability benefits. Design/methodology/approach The paper compares the results of the respondents’ evaluation of the models and indicators for modelling the study population. Data were obtained from 267 real estate firms from three core Nigerian cities. The conceptual framework was developed and pattern matrices for factor indicators were extracted for the predictions and hypothesis testing using the partial least squares–structural equation modelling. Findings Perceived lowering of risks and cost savings are the significant predictors of the valuers’ support system (BLR→SUP (t=12.181); BCS→SUP (t=2.078)>1.196). The findings challenge the conceptual expectations as prospects of high building value, improved productivity gains and quality of life have no significant factor loadings. Moreover, potential improvement to the quality of life is not a significant mediator. Research limitations/implications Testing the knowledge-support systems in sustainability and property valuation could help bridge the knowledge gap in property sustainability studies. Practical implications This study presents evidence that can aid in decision making regarding public and private efforts to define sustainability knowledge requirements for the valuers and other stakeholders. Originality/value The current investigation finds that there is insufficient sustainability knowledge among the valuers. Thus, these analytical procedures can be used to predict sustainability scenarios at a global level.

Extrinsic Factors which Influence the Buying Preferences of Residential Real Estate Customers

A major effort on the part of Real estate firms is to increase and retain their customers and it is very essential that to know the factors influencing customers’ satisfaction and retention. This study is done with the purposes of identifying the extrinsic factors that affect the purchasing decision of the real estate customers of villas and apartments. This study uses survey questionnaires to obtain information from real estate consumers. The study was conducted in Thrissur district. The study found that the most influencing one in extrinsic factors which affect the purchase decision of real estate consumers is the availability of the facility of waste disposal. The study also discuss the opinion of real estate consumers about the changes needed in the structure of flats and villas in the light of natural calamities occurred in Kerala.

PROBLEMS OF SALES FORCE: A STUDY WITH REFERENCE TO REAL ESTATE SECTOR

Real estate sector is one of the pre dominantly growing sectors in India as it is seen as both need fulfilment and as well as investment opportunity that gives stable returns over a period of time. Earlier the Indian real estate sector is in the hands of informal real estate agents and brokers. Now a days real estate sectors is growing in a more formal manner due to the government policies, rules and regulations. The government’s allowance of FDI into real estate and announcement of regional balanced development increased the employment opportunities further. As this sector is highly influenced by so many players the real estate firms started focusing on increasing the goodwill to reach the customers. One of the goodwill ambassadors for the companies, are the sales force as they will be in continuous contact with the customer throughout the process. Sales force face many professional problems during the delivery of their work. A study has been conducted to understand the problems faced by real estate sales force in their jobs in the select cities of Andhra Pradesh. Anova study, mean and standard deviation techniques were used to project the results. The study identified significant problems faced by real estate sales force and offered suggestions to real estate firms in Andhra Pradesh.

Financial Ratio Analysis to Predict Financial Distress on Property and Real Estate Company listed in Indonesia Stock Exchange

This study aims to prove the ability of financial ratios in measuring financial distress. As is known that the start of the number of new companies that compete in order to achieve corporate goals, even more national companies that want to compete with foreign companies. On this basis, researchers attempt to prove the probability of occurring financial distress by using several financial ratios, especially large companies such as property and real estate firms. The financial ratios used in this study are current ratio, debt ratio, return on equity ratio, and capitalization ratio. With the type of research that is quantitative, the population that has been used in this study are property and real estate companies listed on the Indonesia Stock Exchange period 2012-2016. -. The sample obtained is a company that continuously publish its financial report within five years. According to the results of research that has been done, the ratio is able to measure the possibility of financial distress in property companies and real estate is the current ratio, debt ratio, and return on equity ratio. While the ratio is not able to measure the likelihood of occurrence of financial distress is capitalization ratio.

Impact of housing market transformation in Germany on affordable housing: the case of North Rhine-Westphalia

The German housing market has changed significantly since the first decade of the new millennium. A considerable amount of public sector and company-owned employee housing has been sold off, while a number of large publicly listed real estate firms have emerged. This has been particularly evident in North Rhine-Westphalia. This paper examines the consequences of these changes for the development of rental prices, especially at the lower end of the market, by analysing 300,000 advertisements for rental homes in the ten largest cities in North Rhine-Westphalia. The results show that on average, and taking quality and location into account, the least expensive rental homes are offered by larger housing organisations with co-operatives being especially well priced, while there are only moderate differences between public companies and big private companies. One explanation may be that the rent policies of large private and public providers have converged, while co-operative housing associations still provide rental homes considerably more cheaply.

Measuring the Efficiency of Indian Real Estate Firms During the Pre- and Post-Demonetization Period by Adopting Data Envelopment Analysis

Abstract Indian real estate segment has been one of the utmost affected segments of economy contemplating the changes in economic policies. The Indian economy experienced a radical change as an outcome of demonetization and the consequences are perceived on the real estate segment. The current study has been proposed to evaluate the efficiency of Indian real estate firms by adopting the technique of data envelopment analysis during the pre- and post-period of demonetization. The aim of the research is to understand the effect of demonetization on the performance of the Indian real estate firms during the post-demonetization period compared to pre-demonetization period. Eight real estate firms have been considered for the analysis. The firms have been ranked on the basis of the efficiency score. It is evident from the results of the study that there is a significant difference between the ranks of the firms during the period of pre and post demonetization; and it can be elucidated that the demonetization has an impact on the performance of the firms.

A Comparative Analysis of R.E.I.T.s, R.E.O.C.s and P.R.E.O.C.s Using a Stochastic Frontier Approach

Although the first real estate investment trust (R.E.I.T.) was created in 1960s, according to the latest data of 2018, only 13 out of 28 European countries had such systems on their stock-exchange. Many economists have published detailed studies stating the advantages of R.E.I.T.s, however, the developing part of Europe is still slow to react with legislative initiatives. This article extends the existing research on R.E.I.T. efficiencies and compares them to private real estate operating companies (P.R.E.O.C.s) as well as real estate operating companies (R.E.O.C.s) across the U.S., Canada and the European Union by using a stochastic frontier, panel-data models of translog cost functions while trying to identify whether a significant benefit arises from different corporate structures. The results confirm that out of 666 companies under consideration, all types of real estate (R.E.) firms achieve economies of scale. Furthermore, in the time period of 2014–2016, REITs on average were less reliant on short-term debt, they had a lower debt-to-equity ratio, were more efficient at managing costs in three stochastic translog models and partially in fourth, had a stronger economy of scale effect when their assets size increased, and remained competitively profitable though were outperformed in the profit and revenue area.

An examination of the e-commerce technology drivers in the real estate industry

This study examined the factors that drive e-commerce technology adoption in the real estate industry in Qatar using the Technology Acceptance Model 3 (TAM3) and sought to analyze the relationship between perceived usefulness, perceived ease of use, anchor factors, adjustment factors and cognitive instrumental variables and their effect on e-commerce adoption in real estate industry in Qatar. The study adopted a descriptive methodology and quantitative research design utilizing survey strategy. 350 filtered and screened questionnaires that were retrieved from the Quota sample from 59 real estate firms operating in Qatar were analyzed using AMOS. The results indicate that all the dependent variables have significant relationship with e-commerce adoption indicating that the original model used was a good fit, accounting for a large percentage of the variance associated with e-commerce adoption. However, the results also show that only perceived usefulness and anchor variables have positive direct effect on e-commerce adoption; perceived ease of use, adjustment variables and cognitive instrumental factors have notable indirect effect on e-commerce adoption.

A Study on Optimal Capital Structure of Vietnamese Real Estate Listed Firms

This paper focuses on those structural models with an endogenous default barrier where firms optimally choose a default boundary so as to maximize the equity value. The analysis commences to cover avowedly theoretical frameworks from pioneering works by Black-Scholes (1973) and Merton (1974) on zero-coupon debts to later extensions of those models for a more complex debt structure to include coupon perpetual bonds (Leland, 1994) and of arbitrage maturity or rolledover debts (Leland and Toft, 1996). Furthermore, this paper studies the empirical performance of capital structure models by testing the optimized gearing levels computed from those models with different assumptions. Parameters of these models are estimated from the firms’ equity prices. The novelty of this paper lies in the fact that it is not merely a summary of static theories on capital structure but it is the first of its kind to empirically study the capital structure choices of Vietnamese real estate firms, with primary focus on static models. This research follows secondary data analysis to investigate market information of stock returns and attempts to examine the potential dissimilarity in actual and proposed optimal gearing levels for the two years 2014 and 2016.

Tax rates effects on the risk level of listed Viet Nam real estate firms during global economic crisis 2007-2009

The emerging stock market in Viet Nam has been developed since 2006 and affected by the financial crisis 2007-2009. This study analyzes the impacts of tax policy on market risk for the listed firms in the real estate industry as it becomes necessary. First, by using quantitative and analytical methods to estimate asset and equity beta of total 45 listed companies in Viet Nam real estate industry with a proper traditional model, we found out that the beta values, in general, for many institutions are acceptable. Second, under 3 different scenarios of changing tax rates (20%, 25% and 28%), we recognized that there is not large disperse in equity beta values, estimated at 0.750, 0.762 and 0.769. Third, by changing tax rates in 3 scenarios (25%, 20% and 28%), we recognized both equity and asset beta mean values have positive relationship with the increasing levels of tax rate. Finally, this paper provides some outcomes that could provide companies and government more evidence in establishing their policies in governance.

Price competition in the spatial real estate market: allies or rivals?

ABSTRACTThis paper examines whether real estate firms can avoid price competition when properties in the vicinity are priced by allies. An oligopoly model with differentiated products generally suggests that real estate firms engage in price competition with their spatially closest rivals. Yet, they can raise property prices when the market share of their allies increases. To test this prediction, a spatial autoregressive model with spatial autoregressive disturbances, including a share of allies in the vicinity, is estimated using data on the prices of residential condos in central Tokyo, Japan. The model prediction is supported by the empirical results. In the data set, the magnitude of the market share on property prices increases with the expansion of the size of the spatial market.

Does Working Capital Management Affect the Profitability of Property and Real Estate Firms in Indonesia?

During 2013-2017, the increase in net profit of property companies in Indonesia was accompanied by an increase in the cash conversion cycle and net working capital ratio which indicated that performance was increasing but not in cash flow and management of working capital was not productive. The purpose of the study to determine the significant effect of working capital management on profitability and working capital element which has the dominant effect. This study used control variables of sales growth, company size, interest rate, and exchange rate. This study used a descriptive approach and panel data regression. The results showed that the Cash Conversion Cycle (CCC) had a significant negative effect on OPM, ROA, and ROE. Current asset to total assets ratio (CATAR) had a significant positive effect on ROA and ROE. Current liabilities to total assets ratio (CLTAR) have a positive effect significant to OPM and debts to total asset ratio (DTA) have a significant negative effect on OPM and ROA. While CLTAR had the most dominant effect on OPM because it has the highest estimation coefficient among others and the company more aggressive in implementing its working capital policy to achieve higher operating profit. JEL Classification : C33, G31, E43, F31 DOI : https://doi.org/10.26905/jkdp.v22i4.2438

ANALISIS ELEMEN-ELEMEN FRAUD PENTAGON SEBAGAI DETERMINAN FRAUDULENT FINANCIAL REPORTING

AbstractThis study aims to examine the influence of externalxpressure, institutionalownership, xfinancial stability, xquality of external auditor, xchange inxauditor, change in director and frequentxnumber of CEO’s picture on the fraudulent financial reporting among the property and real estate firms listed in Indonesia stock exchange during 2014-2016. The data used in this study is secondary data obtained from the firms’ annual report which was accessed through www.idx.co.id. The data analysis method used in this study is multiple linear regression analysis. SPSS ver 2.0 was used to analyze the data. The samples were selected using a non-probability sampling technique with a purposive sampling method and obtained a sample of 41 property and real estate companies during 2014-2016. The results of variable test indicates that external pressure and change in director partially influences fraudulent financial reporting, while institutional ownership, financial stability, quality of external auditor, change in auditor, and frequent number of CEO’s picture partially does not influence fraudulent financial reporting. The Simultaneous test shows that external pressure, institutional ownership, financial stability, quality of external auditor, change in auditor, change in director and frequent number of CEO’s picture Keywords: External Pressure, Institutional Ownership, Financial Stability, Quality of External Auditor, Change in Auditor, Change in Director, Frequent Number of CEO’s Picture, Fraudulent Financial Reporting.

Analisis Rasio Keuangan Terhadap Return Saham Dengan Menjadikan Total Assets Turnover Sebagai Variabel Pemoderasi Perusahaan Sektor Real Estate And Property

This study aims to analyze and examine debt to equity ratio (DER), return on assets (ROA) to stock return and total asset turnover (TATO) as a moderating variable in real estate and property firms listed on Indonesia Stock Exchange period 2011 -2015. The population in this study is real estate and property companies listed in Indonesia Stock Exchange (IDX) period 2011-2015. Criteria to this samples are 19 real estate and property companies listed in the Stock Exchange during a periods 2011 until 2015, thus we get the total amount of data during the period is 95. From the results of hypothesis test by moderating regression analysis it can be concluded that: return on assets have a positive and significant effect on stock return, and the influx of total assets turnover significantly moderate the effect of return on assets on stock returns, The debt to equity ratio has a negative and not significant to stock return, and the inclusion of total assets turnover not able to significant moderate influence debt to equity ratio to stock return.