To read the full version of this content please select one of the options below:

Classifying office submarkets

Neil Dunse (Centre for Property Research, Department of Land Economy, University of Aberdeen, UK)
Chris Leishman (Department of Building Engineering and Surveying, Heriot‐Watt University, Edinburgh, UK)
Craig Watkins (Centre for Property Research, Department of Land Economy, University of Aberdeen, UK)

Journal of Property Investment & Finance

ISSN: 1463-578X

Article publication date: 1 June 2001

Abstract

In this paper, it is argued that neo‐classical location theory is of limited value in conceptualising the structure of urban office markets. Rather there are sound theoretical and technical arguments for segmenting office markets into distinct submarkets. It is further argued that submarkets, rather than being based on prior knowledge of agents or researchers, should be derived empirically. As an illustration the authors use principal components analysis and cluster analysis to construct office submarkets. The results reported are based on the analysis of a unique dataset of asking rents, physical and locational characteristics of properties on the market in the cities of Glasgow and Edinburgh in the 1990s. From the empirical evidence, it is clear that different factors are important in influencing the structure of the office market in Scotland’s major urban centres.

Keywords

Citation

Dunse, N., Leishman, C. and Watkins, C. (2001), "Classifying office submarkets", Journal of Property Investment & Finance, Vol. 19 No. 3, pp. 236-250. https://doi.org/10.1108/14635780110387592

Publisher

:

MCB UP Ltd

Copyright © 2001, MCB UP Limited