What factors make Switzerland an attractive option for European commercial real estate investors - Dissertation Example

The research aims to investigate what factors make Switzerland an attractive option for European Commercial Real Estate investors. The study will take in consideration those factors in order to understand which type of commercial real estate will be more profitable.The research is based on both primary and secondary data. Primary data will be collected via a mixed method approach. Firstly the author will use an inductive approach to make four semi-structured (exploratory) interviews with individuals working for “Compagnie des Parcs” (a young commercial real estate company based in Switzerland).

The questions will mainly emphasize on the factors that makes Switzerland attractive for European investors. In a second phase, based on the interviews, an inductive approach will be used to create a short survey, which will be forwarded to a few individuals, all covering a particular aspect of the industry. In addition, a case study examining property deals made by Compagnie des Parcs will be assessed. The secondary data will be collected through books, articles, market reports, past dissertations and online sources.

The data will be analyzed via different models such as the Grounded Theory for the Qualitative data or the SSPS software for the quantitative data. Hypothesis –Switzerland is an attractive option for European investors. Warehouses and elderly ONE DOESN’T USE ELDERLY FOR HOUSES IN ENGLISH – OLDER? houses are both interesting type of commercial real estate to invest in. Although offices are good alternatives, it does not offer such a high profitability. Because interest rate is extremely low those investors benefit from cheap money and thus high leverage opportunities.

In addition, the country is in close proximity to Europe but does not belong to the Euro zone that is forecasted to worsen in regards to its economy. THIS IS NOT WHAT A HYPOTHESIS IS. PLEASE CHECK THIS IS YOUR TEXT BOOK – IT HAS TO BE A STATEMENT WHICH IS OPEN TO BE TESTED Value – This study, which has not been assessed before will fill an important gap for commercial real estate investors. It will add knowledge to a currently under studied area. The research will also help investors in identifying rapidly which factors are essential to evaluate in order to maximize the profit and reduce the risk of future investment.

In addition, this study will be important to understand that real estate business cycle cannot be disregarded when entering the market. AT THIS STAGE IT ISN’T CLEAR TO ME WHAT THE RQ IS. YOU HAVE MADE AN ASSUMPTION THAT S. IS ATTRACTIVE AND GIVEN SOME REASONS WHY THIS SHOULD BE SO – BUT WHAT EXACTLY ARE YOU TESTING? THAT IT IS ATTRACTIVE? COMPARED WITH WHAT? IS THIS A TEMPORAL STUDY – LOOKING AT SWITZERLAND IN DIFFERENT PERIODS? A COMPARISON WITH THE RELATIVE ATTRACTION OF OTHER COUNTRIES?

HOW ARE YOU GOING TO DEFINE ATTRACTION? HOW ARE YOU GOING TO MEASURE IT? IS A CASE STUDY APPROPRIATE IN THIS SITUATION? Table of Contents Acknowledgements 2 Abstract 3 Background 7 The objectives and purpose of the project 9 The justification for the project 10 The research question 11 literature REVIEW 12 Definition of REAL estate 12 Types of real estate 12 Why invest in real estate 13 Supply and demand in real estate market 13 Cobweb theories 13 Business cycle 14 Real estate cycle 15 Investment strategies 16 Return on investment 17 STEPS in the investment decision process 17 Bibliography 33 Appendix 36 Interviews: 36 The four Sub-market: 43 The user market 43 The Financial Assets market: 44 The Development Market 45 The Land Market 45 The cobweb theory 46 Background In today’s economic context, it is becoming more and more difficult to understand financial trends and currency fluctuations.

It was just a few years ago for instance that the Euro was seen has a powerful currency soon to overtake the dollar. Nowadays, economists are anticipating the collapse of this currency and the