Lease Terms Research Articles

THE METHOD OF EXPERT EVALUATION IN THE ANALYSIS OF THE EFFICIENCY OF OPERATION OF PASSENGER SHIPS

Purpose. Analysis of the efficiency of the operation of passenger ships. Methodology. The study was carried out using the method of expert assessments. Findings. Using the method of expert assessments, experts evaluate factors that are difficult to formalize, which allows them to make a well-founded conclusion about the operation of the object under consideration in certain conditions. In the study, such criteria as technical, service, organizational and economic, marketing and safety were proposed as criteria for assessing the efficiency of the operation of passenger ships. The components of these criteria reflect the efficiency of the operation of passenger ships, both from the position of the ship owner and the position of the passenger, which is important for ensuring the demand for water passenger transport services. The sequence of operations, according to the expert assessment of the selected criteria, is as follows: development of the questionnaire; selection of experts; determination of the competence of experts; survey of experts; analysis and generalization of survey results; determining the consistency of expert opinions; implementation of results. The expert assessment method determines the operational efficiency of each vessel and shows how each of the criteria affects the efficiency. And also, it allows you to determine the weight of each criterion, which, in turn, allows you to determine the ways to improve the efficiency of the passenger fleet operation. Originality. The presented method, in contrast to other methods, makes it possible to give a comprehensive assessment of the efficiency of the operation of passenger ships using both quantitative and qualitative criteria. This takes into account the requirements for operational efficiency both on the part of the ship owner and on the part of passengers. Practical value. The results of the research carried out can be used by shipowners to assess the efficiency of the operation of their fleet, the fleet that can be attracted on lease terms, as well as to determine the strategy for increasing the efficiency of the fleet.

Modeling the process of assessing the efficiency and development of production activities of the passenger fleet in different operating conditions

The object of research is the efficiency of production activities of the passenger fleet. Assessment of the production capacity of the passenger fleet is one of the most important stages for modelling the options for its functioning and development, the process of which is currently insufficiently studied.The functioning of the passenger fleet is influenced by such factors as the size of passenger traffic, the technical condition of ships, the level of organization of the technical and commercial operation of the fleet, methods of forming tariffs for transportation and the cost of cruises, navigation conditions, seasonality, economic and political situation in the region of operation of the fleet. It is proposed to use the indicator of the financial result and the carrying capacity of the fleet as the main indicators of the efficiency of the passenger fleet. Using the method of simulation modelling, the process of assessing the efficiency of the functioning of the passenger fleet in various operating conditions is characterized.It is determined that provided that the passenger traffic on the routes under consideration (linear and cruise) is fully developed and there is a reserve of the fleet’s carrying capacity, it is advisable for the ship-owner to master new routes. As a result of solving an economic and mathematical model for the optimal distribution of ships along existing and new routes, it becomes possible to make a decision on attracting an additional fleet on lease terms to increase the carrying capacity of the fleet. To assess the effectiveness of the functioning of our own and leased fleets, it is advisable to use an economic and mathematical model of the optimal distribution of the aggregates of the fleet – our own, leased and competitors. As a result of solving the problem, it is possible to conclude about the efficiency of the fleet and the need for modernization.The proposed simulation model takes into account the performance of the tasks facing the ship-owner. On the one hand, this is an increase in the profit of the ship-owner, on the other, full satisfaction of the needs of passengers and tourists in water transport services due to the efficient use of the carrying capacity of the fleet in various operating conditions. This also allows the ship-owner to make decisions on the further development of production activities

Effects of land transfer quality on the application of organic fertilizer by large-scale farmers in China

The application of organic fertilizer is conducive to improving the quality of cultivated land. Previous studies suggest that the small scale of operation is the key factor restricting the application of organic fertilizer in China. However, the application of organic fertilizer has not increased alongside the increase in the scale of agricultural land management in China which is associated with an increasingly active land transfer market (i.e. farmers renting their farmland to and from other farmers). It is therefore necessary to determine the key factors restricting the application of organic fertilizer by large-scale farmers in China. A survey was conducted of large-scale grain-growing households (with managed lands of at least 3.33 ha) from Anhui Province in the east of China. The study aimed to test the effect of land transfer quality on the application of organic fertilizer by large-scale farmers. The ‘quality of transferred lands’ incorporates the level of fragmentation of transferred lands and the stability of transferred land management rights. Probit and Tobit models were used as a benchmark, the IV-Probit model and IV-Tobit model were used to eliminate the endogeneity, and the Heckman two-stage model was used for further empirical tests. The results show that the ratio of the crop planting area where organic fertilizer was applied to the total crop planting area was only 22 %, indicating that large-scale farmers are not commonly applying organic fertilizer. The average area of transferred plots of land and the land lease term have significant positive effects on the probability and intensity of large-scale grain-growing households applying organic fertilizer. The number of transferred plots of land and land transfer contracts being broken during the lease term have significant negative effects on the probability and intensity of large-scale grain-growing households applying organic fertilizer. It can be concluded that the key to encouraging large-scale farmers to apply organic fertilizer is to increase the quality of land transfers, including a realization of contiguous land transfers and improving the stability of transferred land management rights.

APPLICATION OF THE ECONOMETRIC APPROACH TO FORECASTING THE KEY INDICATORS IN RENTAL OPERATIONS

Introduction. Lease is considered one of the alternative forms of financing and a means of providing production and economic activities with the necessary assets. Leasing operations are relevant and cost-effective for small and medium-sized businesses, which do not always have enough resources to buy their own premises, equipment, etc. Leases have many characteristics and can be described using quantitative research methods. Methods. The practical application of scientific methods in our study is as follows: dialectical - to determine general approaches to research; monographic - in relation to the in-depth study of certain social phenomena; scientific knowledge - to determine a certain "perspective" of research as an assumption about the most relevant to the study of the selected problem characteristics of the object; abstract-logical - in order to return from the formulated scientific abstractions again to the study of the concrete and the formulation of the necessary conditions for its further existence and development in a logical sequence; scientific generalization - regarding the generalization of scientific facts and results based on the study, as well as methods of statistical processing of information, using methods of obtaining such quantities and qualitative characteristics, which are not directly in the economic information of the enterprise under study. Results. The article analyzes the influence of various factors on the amount of rent using correlation and regression analysis. The structure of leasing agreements and lease transactions in Ukraine by the volume of sold services is analyzed. Leasing operations in Ukraine by the volume of realized services in terms of real estate lease and the amount of rent in the studied lease agreements are considered. A linear model based on a spatial series of data is built, and its quality is checked. The initial model was modified taking into account the information about the statistical insignificance of individual variables. The forecast of the rent indicator is made taking into account the set factor indicators. Discussion. A promising area of further research is to improve the model by analyzing additional array of information (search for additional significant factors), as well as the use of econometric tools to analyze time series data in terms of lease and use them for short-term forecasting. Keywords: lease (rent), leasing, rental, correlation and regression analysis, model, forecasting.

Katılım Bankacılığında Uygulanan Finansal Kiralama Yöntemindeki Risk Faktörünün İslam Hukuku Açısından Değerlendirilmesi

Katılım bankalarının finansman enstrümanlarından biri olan finansal kiralama klasik dönemde mevcut olmayıp son dönemlerde ortaya çıkan akit çeşitlerindendir. Kira süresinin sonunda mülkiyetin müşteriye nakli ile sona eren finansal kiralama; menfaatin temliki yönüyle kira akdini, malın bedelli ya da bedelsiz temliki yönüyle ise satış veya hibe akdini kapsamaktadır. Fıkhî tasavvuruna bağlı olarak farklı değerlendirmelere tabi tutulan finansal kiralama bazı yönleriyle tartışma konusu olmaya devam etmektedir. Bu tartışmalardan biri kazançtan elde edilecek kârın meşruiyetine etki eden risk faktörüdür. İslam hukukunun ilkelerini referans alan Katılım bankaları müşterilerine fon kullandırırken yani finansman sağlarken bunu salt finansal bir faaliyet olarak değil, ticari bir faaliyet olarak gerçekleştirmektedirler. Dolayısıyla Katılım bankalarının fon kullandırma yöntemlerinden olan finansal kiralamada riski üstlenmeleri önem arz etmektedir. Bu sebeple Katılım bankalarının finansal kiralama sözleşmelerinin bu yönüyle incelenmesi kayda değer bir konudur. Katılım bankalarının “Finansal Kiralama” sözleşmelerindeki risk faktörünü analiz ettiğimiz bu çalışmada, söz konusu bankaların risk faktörünü yüklenmedikleri sonucuna ulaştık.

Grand theft hydrocarbon? Post-production clauses and inequity in the US. shale gas industry

We describe the presence of post-production cost clauses (PCCs) in shale gas leases in two Northeastern Pennsylvania counties. Using a large, random sample of leases (N=1031), we demonstrate (1) how common PCCs are, (2) how frequently landowners address the risks of these clauses directly in the lease, (3) and several factors associated with greater likelihood of landowners addressing PCC risks in a lease. We find that nearly every lease contains language allowing for post-production costs to be taken out of landowner royalty payments, and that the language is often sufficiently general to allow for exploitative industry practices. However, we do find that (1) a small majority of landowners directly address these risks by inserting counter-acting lease terms, and (2) that these alternative lease terms increase over time, indicating a social learning process through which landowners are able to insulate themselves from financial risk. We find that the primary source of variation in landowner efforts to reduce risk is the firm that landowners signed with, expanding on other recent findings. While our study is geographically constrained, the results from this study inform ongoing discussions of equity in unconventional oil and gas development, particularly for landowners who lease privately owned land to the oil and gas industry.

PROSECUTORIAL SUPERVISION OVER THE IMPLEMENTATION OF LAWS DURING PRIVATIZATION OF LAND FOR AGRICULTURAL USE

In March 2015, signifi cant amendments were made to the land legislation, including the acquisition of private property rights to agricultural land plots. So, tenants of land plots had the right, after a three-year lease term, to acquire ownership of land plots intended for agricultural production, and without bidding (paragraph 9 of part 2 of Article 39.3 of the Land Code of the Russian Federation), that is, in preferential treatment. The main task of the state in this case was to support a conscientious tenant of the land and agricultural production at the same time. However, as practice shows, the authorized authorities commit violations when alienating land plots from public ownership on the indicated basis, thereby violating the interests of the state. The article considers the prosecutors assessment of the legality of the actions of authorized authorities during the privatization of a land plot (on the basis indicated above), provided that the permitted use of the plot contained in the public register of real estate does not correspond to the types of use provided for by the general plan of the settlement and land use and development rules; the subject of prosecutorial response has been identified; the necessity of using the means of prosecutorial supervision is justified in the event that the authorized authorities conclude contracts for the sale of agricultural land, when this use is not allowed by the town-planning regulations of the territorial zone in which the land is located. In the work, the author comes to the conclusion that the Land Code of the Russian Federation allows cases of changing the type of permitted use of land without a statement from the copyright holder of this plot, which should be taken into account by prosecutors, requiring the supervised entities to properly comply with the requirements of the law.

Accounting of Economic Content and Legal Form of Lease Relations in Timber Logging

Qualitative representation in the accounting space of economic and legal characteristics of various events and objects is currently the problem that has not fully been resolved yet, despite the action in Russian and international accounting practice of the principle of priority of content over the form. The article is devoted to improving the veracity of accounting information about forest resources used in the logging business on lease terms. The methodological basis of the study was the conceptual framework of IFRS, the provisions of Russian accounting standards, as well as the postulates about accounting as a means of modeling the economic activity of any organization and the mandatory relationship of the form and content. The use of methods of historical actualization, analysis, comparison, synthesis, modeling, analogy and generalization provided an opportunity to develop an approach that allows you to reach a compromise in the accounting reflection of the economic content and legal form of lease relations in the logging sector. The result of the study was a refined accounting interpretation of the economic essence of the lease agreement for logging. The theoretical significance of the study is to justify the need to re-qualify the relationship between the state and the logger. The practical application of the proposed recommendations will improve the quality of the indicators generated by the accounting system, provided to all categories of users.

Beginning Point of the Ten-Year Extension Period in Fixed Term Lease Contracts for Residential and Roofed Business Premises and the Earliest Time Period for the Lessor to Notify Termination

The termination of lease contracts of residential and roofed business premises has been regulated under the 347th article of Turkish Code of Obligations numbered 6098. First paragraph of the article regulates the termination of lease contracts for residences (dwelling houses) and roofed business premises (working places) concluded for a limited duration (fixed term contracts). Pursuant to the first paragraph of Article 347, at the fixed term lease contract of residential and roofed business premises, the contract is deemed to be extended for one year under the same conditions unless the tenant gives notice at least fifteen days prior to the expiration of the contract. The lessor cannot terminate the contract based on the expiry of the contract period. However, at the end of the ten-year extension period, the lessor may terminate the contract without any justification grounds, by giving at least three months’ notice before the end of each extension period. It is controversial when the ten-year extension period will begin and when the lessor can use the right to terminate at the earliest. In addition, in cases where the lease term is agreed for a period of more than ten years, when the lessor can use the right of termination, is a matter to be evaluated separately. In this study, in terms of the termination of fixed term lease contracts for residential and roofed business premises, the issue of the beginning of the ten-year extension period and the earliest time that the lessor can notify the end of the contract for termination is evaluated in the context of opinions and judicial practice. Finally, our opinion regarding the subject as de lege lata and de lege ferenda is explained.

ОСОБЕННОСТИ ОБСЛУЖИВАНИЯ ЛИЗИНГОВОГО ОБОРУДОВАНИЯ ПРОМЫШЛЕННЫХ ПРЕДПРИЯТИЙ

The article substantiates the need to use leasing in industrial plants using sophisticated equipment. The essence of the optimal service strategy, the structural dependence of a multi-element system, life cycle cost estimation methods and decision-making methods in the construction industry are disclosed. The necessity of developing a leasing strategy under conditions of an uncertain period of use and price fluctuations to minimize the cost of using equipment and an optimal service policy for extending the lease term was emphasized. Slow renewal of the active part of the fixed assets of construction organizations, a high level of depreciation of fixed assets and the need for their modernization using leasing tools and state support were noted.

Public Housing In Singapore: A Success Story In Sustainable Development

The 17 Sustainable Development Goals adopted in 2015 by the UN General Assembly emphasize a holistic approach to achieving sustainable development for all. The provision of good-quality housing with piped water and modern sanitation at affordable cost is an important first step in resolving issues of pollution and ensuring good public health, and is a strong move towards sustainable development. This chapter examines Singapore’s excellent public housing system, built by the Housing and Development Board (HDB), which houses 82 per cent of its nationals in high-rise apartments subsidised by the state, catering to low as well as middle-income families. These may be purchased on 99 year leases or rented on short term leases, for low income families. The HDB has won many international awards for its success. This chapter examines the challenges that were faced and overcome, and the policies and strategies to ensure a sustainable future.

International Real Estate Review

In many developing countries, house price index construction is sparse, leaving decisions which hinge on housing performance data with little corroboratory evidence. Thus, the purpose of this research is to ascertain the micro-level determinants of house prices in Ghana. Using a qualitative approach, data are collected through semi-structured interviews with twenty expert property practitioners including valuers, academics, property developers, mortgage providers and housing agents. This research uncovers interesting findings including the relevance of unexpired lease terms, and the impacts of market dynamics such as the physical heterogeneity of properties and hearsay. The study also reveals that an index needs to be created and managed through a collaborative effort between the government and industry to ensure wide acceptability. This study lends guidance to housing policy decisions at the local and national levels, and provides a much-needed source of data for further academic inquiry into the housing dynamics in Ghana.

Analisis Proyeksi Laporan Keuangan Perusahaan Penerbangan Saat Transisi PSAK 30 Menjadi PSAK 73

The aim of this research is to anticipate the emergence of a new regulation in accounting studies. Especially the emergence of PSAK 73 that will succeed PSAK 30 in terms of Leasing. This research gives the projection if a new regulation is in effect. PSAK 73 changes the form of double accounting system into a single one, meaning that lease is not being classified and calculated with two methods like capital lease and operating lease. It’s using capital lease calculation with it being classified as right of use asset. Asset is being recognized and depreciation expense follows after with interest. The result of this research shows that, the trantition of PSAK 30 to PSAK 73 affects entity’s income statement. Entity’s expenses increase because of the additional interest and depreciation expense. Assets also increase resulting in management asset ratio and profitability ratio to fall.
 
 Keywords: PSAK 30, PSAK 73, Transition, Asset of Use

How a ground lease affects the market value of a hotel

The purpose of this paper is to explore how a land lease may affect the market value of a hotel. Since the 1980s, hotels that sit on ground leases have become increasingly prevalent in urban locations throughout the US. As land becomes dearer and construction costs rise in densely urbanised areas, the frequency of land leases in the development of hotels is likely to increase in the future. To date, research on hotel land leases has primarily been undertaken by appraisers, brokers, hotel owners and/or operators and lawyers, as opposed to the academic community. Furthermore, the literature review identified a gap in research relating to the value implications of a ground lease on hotel investment transactions. As such, the literature review component of this paper focuses on valuation methodologies in hotel investment analyses and approach to leasehold positions, the associated land lease terms and provisions that have an impact on the value and opportunities for value creation by utilising a land lease. To complement the literature review, primary research was undertaken via interviews with hotel owners, operators, appraisers, brokers, mortgage bankers and brand representatives, which provided insight into how the market gauges the impact of a ground lease’s terms and provisions on a hotel asset’s market value. While the sample of stakeholders interviewed was robust, the lessor side of the equation was not sufficiently represented, which represents one limitation of the research. A further limitation was a substantially subjective element in valuation methodology undertaken by the survey respondents. Nonetheless, it is hoped that this research will aid hotel investors, as well as other industry stakeholders, to better understand land leases and their prospective impact on value.

Unpacking the paradox of “insecure” housing rights in China: Urban residents’ perceptions on institutional credibility

Formal or de jure property rights are deemed conditional for development in a neo-liberal reading. Paradoxically, real estate underwent explosive development even though China’s rights for housing are informal, ambiguous, and insecure. This article intends to explain this contradiction by examining how Chinese urban residents perceive the credibility of housing rights from three perspectives, i.e., ownership, land lease, and the 70-year lease term. The study is based on a survey (n=1207) demonstrating: i) half of the respondents are indifferent about formalization policies; ii) 92 percent have never experienced housing-related conflicts, however, of those reporting conflict, close to half indicated demolition as the source; iii) housing ownership is considered important for most while the land use (or lease) permit is considerably less relevant, and the lease term is considered insignificant. Three conclusions can be drawn. First, urban residents have no preference for a “full bundle” of formal rights. Second, although low conflict indicates credibility of the current rights structure, there are risks to social stability due to expropriation. Three, credibility hinges on combinations of (in)formality and (in)security rather than being a direct function of formalization. Findings emphasize a need to rethink the property rights theory in terms of credibility, conflict, and time.

The effect of land lease on house prices

In Amsterdam, houses located on private land and houses with various land-lease contracts coexist. This paper estimates the market valuation of future land-lease payments on the house price. This is useful for cities (like Amsterdam) that want to offer infinite lease terms, and can be also used to estimate long-run discount rates. We investigate the impact of: (i) the number of years that the land lease has been paid in advance and (ii) the amount that must be paid up front. Depending on the specification, houses on privately owned land are, on average, 11–13% more expensive than observably equivalent houses with a (non-prepaid) land-lease contract. Each year that no land lease has to be paid increases the price of a house by approximately 0.2%. Those findings correspond to a discount rate of 4% per year.

Looking back on development and disaster‐related displacement and resettlement, anticipating climate‐related displacement in the Asia Pacific region

The realisation that climate change might necessitate resettlement of people displaced initially raised interest in the experience of development‐forced displacement and resettlement (DFDR). Looking back, in 1980 the first international policy on involuntary resettlement was approved to address perceived weaknesses in state property and expropriation law to safeguard people in the way of development projects. Since then international policy and praxis have brought global attention to developmentally displaced people but have not guaranteed them an effective safeguard. Recently, renewed attention has focussed on state legal and governance frameworks substantively and procedurally. Identifying four key policy objectives that resonate with climate change displacement I analyse their treatment in a data base of DFDR laws and regulations from 40 Asia Pacific states. This analysis finds overall little legal congruence. Innovative new formulations in some Asian state laws address recent public criticisms and research findings, but mostly are yet to demonstrate positive outcomes for displaced people. Pacific states increasingly abandon expropriation law to negotiate lease terms for public infrastructure projects with customary landowners that do not extinguish customary title. Any laws governing climate change relocations must protect rights, livelihoods, well‐being, inclusive decision‐making and community initiatives with procedures whilst not relinquishing climate‐change‐reducing action.

DUE TO LEGAL POSITION AND LEGAL SURROGACY AGREEMENT AS AN INNOMINAAT AGREEMENT IN THE PERPECTIVE OF CIVIL LAW, ISLAMIC LAW AND NATIONAL LAW

Technological developments in medicine have provided an outlet for community issues with the discovery of a new method of artificial insemination is known as in vitro fertilitization (IVF). For couples who want to have children but due to medical reasons can not obtain offspring naturally, with IVF method can obtain offspring / children. But in its development appears IVF lease term or the surrogate mother's womb, the sperm and ovum from a legitimate married another woman entered in the womb. Therefore the aim of this study to determine the legal position of surrogacy agreement as an innominaat agreement in the perspective of civil law, Islamic law national law,
 This research used normative juridical approach, descriptive analytical research specification, method of data collection is done with a literature study on legal materials, both primary legal materials, as well as secondary materials, then analyzed by qualitative descriptive.
 The results showed that a good legal position surrogacy agreement according to the Civil Law, Islamic law and national law is as the agreement is not named (innominaat) and surrogacy agreement is not allowed or unlawful. While the legal consequences of surrogacy agreements either under Civil Law, Islamic law, and national law relating to the status of children, descent problems, inheritance and other rights. The legal status of children under civil law can be a legitimate child of the surrogate mother, it could be a child outside of mating recognized, while according to Islamic law status of the child as a child of the uterus rental yields laqith, while according to national law, the legal status of the child as a foster child. This inheritance rights issue depends the legal status of the child, there is nothing not inherit (civil relationship with his mother).

Will CoWorking Work?

“CoWorking” represents a new way of providing office space to corporate workers. Rather than companies acquiring dedicated space for their workforce at one or a few sites under long term leases (or ownership), companies contract with a “service provider” to have their workers housed “flexibly” at a range of sites for variable terms. In the extreme, companies allow their workers to make their own space arrangements – while picking up the tab. This allows the service provider to operate its office space like a “hotel”. The observation that many traditional offices are significantly underutilized raises the possibility that this new arrangement could save companies on overall occupancy costs. In this paper we analyze this alternative in terms of whether it can provide companies with equal labor productivity at a lower cost – and provide a viable business model for the service provider. Our analysis identifies a number of issues which will significantly impact the ability of this new model to “work”. Empirically, we examine the recent sales prices of office properties that have been structured largely as CoWorking facilities and compare them with a similar sales set of properties using traditional tenancy. Buildings with the new model have lower sales prices and cap rates, suggesting investor concern over the issues which we have identified.

The effect of ground rent and unexpired lease term on property values in Ghana

PurposeAlthough several factors influence property value determination depending on the market, relevant studies in sub-Saharan Africa (SSA) often fail to analyse the impact of factors, such as unexpired term of leasehold interest and ground rent, which are also germane to market transactions and value determination. This study aims to examine the effect of unexpired term of leasehold interests and ground rent on the valuation of residential properties in Ghana.Design/methodology/approachA questionnaire instrument was used to collect the views of a sample of professional real estate valuers on the relevance of these and other factors that affect value. In addition, the valuers were tasked to value a residential property located in Accra, Ghana. Ordinary least squares and quantile regression models were thereafter used to analyse the data to determine the effect of the subject variables on value.FindingsThe study finds a significant relationship between valuers’ views on the relevance of unexpired term of leasehold interest and the value placed on residential properties. Further, the respondents who viewed ground rent as an important factor in estimating values placed significantly lower values than those who viewed it as less important.Research limitations/implicationsThe findings suggest that the respondents may have split opinion on the existing anecdotal evidence that market participants ignore the unexpired term of leasehold interest, an issue that should be settled in theory. The findings also highlight the diversity of opinion on some of the fundamental factors that affect value and the need to build consensus to prevent excessive variation in value estimates among valuers.Originality/valueThe study makes a significant contribution in terms of extending the existing literature by analysing the impact of unexpired term of leasehold interests and ground rent on residential property values based on empirical data, issue(s) which have often been ignored by existing studies. Findings from the study also provide insights into additional possible causes of valuation errors in Ghana and SSA, which are useful for policy formulation and practice.