Real Estate
Faculty Offering
Sebastian Morris
Senior Professor, General Management & Public Policy & Chair, Centre for Public Policy & Governance
- morris@gim.ac.in; chaircppg@gim.ac.in
- +91 9824232121; +91 832 2366733
Ajay Pandey (IIMA)
Professor of Economics & Public Policy (formerly) at IIM-A
- rakesh@iima.ac.in
Programme / Term
BIFS/ V or VI
No. of sessions
20
Course description
This course introduces the basic concepts that underlie the working of real estate and related markets. It brings together perspectives from economics, economic geography and finance to understand the real estate sector. The emphasis is on the Indian real estate markets which have been growing very rapidly. The patterns of growth and the factors underlying real estate in India are brought out as also the current constraints.
Programme / Term
- To understand locational theories, aspects and the idea of value of land
- To understand the nature of market failure prime reasons for the regulation of real estate
- To understand the key aspects of habitats and location of economic activity; and the spatial aspect of urban development
- To understand the valuation of real estate
- To understand financing of real estate
- To understand real estate markets in India
- To understand the regulation of real estate and land in India
- To understand TDRs, land pooling (TPs), and such methods.
- To understand the link between transport and location in space
Syllabus
- Location theory and perspectives from economic geography: The notion of central place, spatial order of central places, hierarchy, perspectives from Christaller and Losch, rank size rule, extreme metropolitan development. Empirical evidence. Central places and location of economic activity within central places.
- Land use and transport planning
- Valuation of real estate properties. Methods: Cost approach, sales comparison approach, income capitalization
- Financing real estate. Practices, Risk assessment. Real estate as an asset class. REITs and REMFs.
- Salient features of the real estate sector, cycles in real estate, price correlation across space and time, determinants of real estate prices. Models. Empirical models of real estate prices.
- Planning for urban development. Land use restrictions. The basis and methods adopted. Critique of the planning assumptions. Ricardian and neoclassical models
- Real estate in India. Segments. Prospects and problems. Low cost hosing. RERA and the regulatory framework
- Land markets in India, Land acquisition laws. Land Use and Distortions. The policy and regulatory distortions. Urban growth and land use.
- Land pooling and TP Scheme; Redevelopment. Missing models for public redevelopment.
For whom
–
Evaluation
S. No.
Evaluation method
Weight
When
CLOs to be assessed
1
Class participation
0.30
All through
-
2
Presentations (group)
0.30
All through
6, 7, 8
3
End term
0.40
end
1,2,3,4,5, 9
Reference Books
- Lloyd, Peter and Peter Dicken (1977). Location in Space: Theoretical Approach to Economic Geography. Harper and Row. London.
- Piasquale, Denise and William C. Wheaton (1997). Urban Economics and Real Estate Markets. Prentice Hall. New Jersey.
- Brueggeman, William and Jeffrey D. Fisher (2008), Real Estate Finance and Investments”, McGraw Hill, Boston.
- Isaac, David (2002) Property Valuation Principles, Palgrave, New York.
- Gelbtuchm Howard, David Mackmin, and Michael R Milgram (eds.) (1997), Real Estate Valuation in Global Markets, Appraisal Institute, Chicago.
- India Infrastructure Reports 2008, 2006 covering Urban Development and Land Markets
- India Infrastructure Report 2023- Urban Planning and Development (ed.) Sebastian Morris, Bloomsbury, (2023)