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Integrated Markets

Real estate use markets involve transactions between property owners (landlords) and space users (tenants).  Landlords compete against each other for tenants who generate the income to the property.  These markets are segmented by property type (office, industrial, retail, multi-family, hospitality, etc.) and geographic area (cities, suburban areas, etc.).

The Real estate asset market involve transactions between investors seeking ownership of properties located in real estate use markets.  The investors make decisions to purchase property based on the risk/return profiles of properties and alternative capital market investment opportunities available to them.

The Real estate development industry produces properties used in the real estate use markets and owned by participants in the real estate asset market.  Developers add new supply to use markets when the values of properties (which are determined in the asset market) exceed the cost of development.

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