A Comparison of Federal Government Office Rents with Market Rents

Marcus T Allen, Ronald C Rutherford and Larry J Warner

The Journal of Real Estate Finance and Economics, 1997, vol. 15, issue 2, 92 pages

Abstract: This study examines Federal Government office leases using data from Texas and Oklahoma during the 1981-1991 time period. The lease indifference model presented here indicates that landlords may be willing to accept lower rents from government tenants due to reduced tenant risk, but that such discounts may be offset by other premiums implicit in the lease contract. The data collected for this study reveal that rents paid by the government are significantly higher than average market rents during this time period. A time-series, cross-sectional regression analysis of the spread between market rents and office rents to government tenants markets suggests that the difference is affected in part by expense pass-throughs, lease period, amount of space leased, and local market conditions. Copyright 1997 by Kluwer Academic Publishers

Date: 1997
References: Add references at CitEc
Citations:

Downloads: (external link)
http://journals.kluweronline.com/issn/0895-5638/contents link to full text (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:jrefec:v:15:y:1997:i:2:p:181-92

Ordering information: This journal article can be ordered from
http://www.springer. ... ce/journal/11146/PS2

Access Statistics for this article

The Journal of Real Estate Finance and Economics is currently edited by Steven R. Grenadier, James B. Kau and C.F. Sirmans

More articles in The Journal of Real Estate Finance and Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().