Author: Brent W. Ambrose

Start Page: 355
End Page: 370
Volume: 5
Issue Number: 3
Year: 1990
Publication: Journal of Real Estate Research

Abstract: This paper uses statistical regression techniques to develop a model to explain both warehouse asking prices and warehouse quoted lease rates. In developing the statistical models, the paper provides a useful comparison between ordinary least squares (OLS), and weighted least squares (WLS) techniques. The results indicate that the market for industrial property is rational and that property characteristics determine the majority of the building value. The results also indicate the presence of a clientele effect between the market for industrial property listed for sale and property listed for lease.