Modeling Space Market Dynamics: An Illustration Using Panel Data for US Retail

Patric H. Hendershott, Maarten Jennen, Bryan D. MacGregor

    Research output: Contribution to journalArticle

    6 Citations (Scopus)
    9 Downloads (Pure)

    Abstract

    Real estate research has a long and extensive history of analyzing space market dynamics. Nonetheless, two areas have been under researched. Regional panels of data have been rarely analyzed. Moreover, due to data constraints, the retail market has been studied much less than other market segments.
    This paper addresses both of these topics through an analysis of Metropolitan Statistical Area (MSA) level panel data. Our study covers almost three decades of annual retail data for 11 of the largest MSAs of the United States. We estimate a long run rent model and use Error Correction Models for short run rent, vacancy and supply adjustments. We test for differences in local market behavior in both the long run equilibrium relationships and in the short run adjustment processes. We identify two groups of similar markets.
    Original languageEnglish
    Pages (from-to)659-687
    Number of pages29
    JournalThe Journal of Real Estate Finance and Economics
    Volume47
    Issue number4
    Early online date8 Jun 2013
    DOIs
    Publication statusPublished - Nov 2013

    Fingerprint

    panel data
    market
    modeling
    rent
    error correction
    real estate
    Panel data
    Short-run
    Rent
    Market dynamics
    Modeling
    Retail
    supply
    history
    Group
    Market segments
    Error correction model
    Vacancy
    Retail market
    Real estate

    Keywords

    • retail space market
    • panel data
    • error correction model

    Cite this

    Modeling Space Market Dynamics : An Illustration Using Panel Data for US Retail. / Hendershott, Patric H.; Jennen, Maarten; MacGregor, Bryan D.

    In: The Journal of Real Estate Finance and Economics, Vol. 47, No. 4, 11.2013, p. 659-687.

    Research output: Contribution to journalArticle

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