Bargaining utility and rents.
McAllister, P.
Bargaining utility and rents. - 1999 - Journal of Property Investment and Finance 17(4) 1999, 353-364(7) .
Analyses the effect of potential lease expiry on the rental negotiation process and levels of rent agreed. Tenants may use the threat of lease termination to gain a rental and/or other concession. The level of concession the landlord makes can be seen as dependent on four variables: the expected landlord's cost of void, the probability of tenant relocation, the landlord's risk preference, and the effects of the bargaining process. A calculation model can be derived from this, however other behavioural aspects will affect the outcome.
MODELS
RISK
Bargaining utility and rents. - 1999 - Journal of Property Investment and Finance 17(4) 1999, 353-364(7) .
Analyses the effect of potential lease expiry on the rental negotiation process and levels of rent agreed. Tenants may use the threat of lease termination to gain a rental and/or other concession. The level of concession the landlord makes can be seen as dependent on four variables: the expected landlord's cost of void, the probability of tenant relocation, the landlord's risk preference, and the effects of the bargaining process. A calculation model can be derived from this, however other behavioural aspects will affect the outcome.
MODELS
RISK