{"id":"https://openalex.org/W2041015227","doi":"https://doi.org/10.1108/14630010510812486","title":"A real options model for valuing flexible space","display_name":"A real options model for valuing flexible space","publication_year":2005,"publication_date":"2005-03-01","ids":{"openalex":"https://openalex.org/W2041015227","doi":"https://doi.org/10.1108/14630010510812486","mag":"2041015227"},"language":"en","primary_location":{"id":"doi:10.1108/14630010510812486","doi":"https://doi.org/10.1108/14630010510812486","is_oa":false,"landing_page_url":"https://doi.org/10.1108/14630010510812486","pdf_url":null,"source":{"id":"https://openalex.org/S142329662","display_name":"Journal of Corporate Real Estate","issn_l":"1463-001X","issn":["1463-001X","1479-1048"],"is_oa":false,"is_in_doaj":false,"is_core":true,"listed_in":["abdc-c","anvur-scientific","cwts-core","jufo-1","norway-1","poland-40","russia-white-list-2"],"host_organization":"https://openalex.org/P4310319811","host_organization_name":"Emerald Publishing Limited","host_organization_lineage":["https://openalex.org/P4310319811"],"host_organization_lineage_names":["Emerald Publishing Limited"],"type":"journal"},"license":null,"license_id":null,"version":"publishedVersion","is_accepted":true,"is_published":true,"raw_source_name":"Journal of Corporate Real Estate","raw_type":"journal-article"},"volume":null,"type":"article","indexed_in":["crossref"],"open_access":{"is_oa":false,"oa_status":"closed","oa_url":null,"any_repository_has_fulltext":false},"authorships":[{"author_position":"first","author":{"id":"https://openalex.org/A5037448461","display_name":"Lara V. Greden","orcid":null,"observed_orcids":[]},"institutions":[{"id":"https://openalex.org/I63966007","display_name":"Massachusetts Institute of Technology","ror":"https://ror.org/042nb2s44","country_code":"US","type":"education","lineage":["https://openalex.org/I63966007"]}],"countries":["US"],"is_corresponding":false,"raw_author_name":"Lara Greden","raw_affiliation_strings":["Massachusetts Institute of Technology, 77 Massachusetts Avenue, 5\u2010418, Cambridge, MA 02139, USA; Tel: +1 617 452 2286; Fax: +1 617 253 6152; e\u2010mail: lgreden@mit.edu"],"raw_orcid":null,"affiliations":[{"raw_affiliation_string":"Massachusetts Institute of Technology, 77 Massachusetts Avenue, 5\u2010418, Cambridge, MA 02139, USA; Tel: +1 617 452 2286; Fax: +1 617 253 6152; e\u2010mail: lgreden@mit.edu","institution_ids":["https://openalex.org/I63966007"]}]},{"author_position":"last","author":{"id":"https://openalex.org/A5071640625","display_name":"Leon R. Glicksman","orcid":"https://orcid.org/0000-0002-7044-5772","observed_orcids":["https://orcid.org/0000-0002-7044-5772"]},"institutions":[],"countries":[],"is_corresponding":false,"raw_author_name":"Leon Glicksman","raw_affiliation_strings":[],"raw_orcid":null,"affiliations":[]}],"institutions":[],"countries_distinct_count":1,"institutions_distinct_count":1,"corresponding_author_ids":[],"corresponding_institution_ids":[],"apc_list":null,"apc_paid":null,"fwci":3.9791,"has_fulltext":false,"cited_by_count":33,"citation_normalized_percentile":{"value":0.9369488,"is_in_top_1_percent":false,"is_in_top_10_percent":true},"cited_by_percentile_year":{"min":90,"max":98},"biblio":{"volume":"7","issue":"1","first_page":"34","last_page":"48"},"is_retracted":false,"is_paratext":false,"is_xpac":false,"primary_topic":{"id":"https://openalex.org/T11976","display_name":"Capital Investment and Risk Analysis","score":0.9940999746322632,"subfield":{"id":"https://openalex.org/subfields/2003","display_name":"Finance"},"field":{"id":"https://openalex.org/fields/20","display_name":"Economics, Econometrics and Finance"},"domain":{"id":"https://openalex.org/domains/2","display_name":"Social Sciences"}},"topics":[{"id":"https://openalex.org/T11976","display_name":"Capital Investment and Risk Analysis","score":0.9940999746322632,"subfield":{"id":"https://openalex.org/subfields/2003","display_name":"Finance"},"field":{"id":"https://openalex.org/fields/20","display_name":"Economics, Econometrics and Finance"},"domain":{"id":"https://openalex.org/domains/2","display_name":"Social Sciences"}},{"id":"https://openalex.org/T14390","display_name":"Real estate and construction management","score":0.0032999999821186066,"subfield":{"id":"https://openalex.org/subfields/2216","display_name":"Architecture"},"field":{"id":"https://openalex.org/fields/22","display_name":"Engineering"},"domain":{"id":"https://openalex.org/domains/3","display_name":"Physical Sciences"}},{"id":"https://openalex.org/T12256","display_name":"Facilities and Workplace Management","score":0.00139999995008111,"subfield":{"id":"https://openalex.org/subfields/3207","display_name":"Social Psychology"},"field":{"id":"https://openalex.org/fields/32","display_name":"Psychology"},"domain":{"id":"https://openalex.org/domains/2","display_name":"Social Sciences"}}],"keywords":[{"id":"https://openalex.org/keywords/real-options","display_name":"real options","score":0.7239999771118164},{"id":"https://openalex.org/keywords/flexible-space","display_name":"flexible space","score":0.6330000162124634},{"id":"https://openalex.org/keywords/office-design","display_name":"office design","score":0.6880000233650208},{"id":"https://openalex.org/keywords/value-of-flexibility","display_name":"value of flexibility","score":0.8059999942779541},{"id":"https://openalex.org/keywords/managerial-flexibility","display_name":"managerial flexibility","score":0.6520000100135803},{"id":"https://openalex.org/keywords/binomial-lattice","display_name":"binomial lattice","score":0.781000018119812},{"id":"https://openalex.org/keywords/monte-carlo-simulation","display_name":"Monte Carlo simulation","score":0.8100000023841858},{"id":"https://openalex.org/keywords/corporate-real-estate","display_name":"corporate real estate","score":0.6439999938011169},{"id":"https://openalex.org/keywords/space-planning","display_name":"space planning","score":0.35499998927116394}],"concepts":[{"id":"https://openalex.org/C186027771","wikidata":"https://www.wikidata.org/wiki/Q4008379","display_name":"Valuation (finance)","level":2,"score":0.6666533946990967},{"id":"https://openalex.org/C85502023","wikidata":"https://www.wikidata.org/wiki/Q157171","display_name":"Renting","level":2,"score":0.5898833870887756},{"id":"https://openalex.org/C2780598303","wikidata":"https://www.wikidata.org/wiki/Q65921492","display_name":"Flexibility (engineering)","level":2,"score":0.5892314910888672},{"id":"https://openalex.org/C82279013","wikidata":"https://www.wikidata.org/wiki/Q684740","display_name":"Real estate","level":2,"score":0.5706888437271118},{"id":"https://openalex.org/C41008148","wikidata":"https://www.wikidata.org/wiki/Q21198","display_name":"Computer science","level":0,"score":0.5465105772018433},{"id":"https://openalex.org/C2778572836","wikidata":"https://www.wikidata.org/wiki/Q380933","display_name":"Space (punctuation)","level":2,"score":0.5426883697509766},{"id":"https://openalex.org/C91602232","wikidata":"https://www.wikidata.org/wiki/Q756115","display_name":"Volatility (finance)","level":2,"score":0.5204644203186035},{"id":"https://openalex.org/C2780973918","wikidata":"https://www.wikidata.org/wiki/Q7099016","display_name":"Option value","level":3,"score":0.41650691628456116},{"id":"https://openalex.org/C42475967","wikidata":"https://www.wikidata.org/wiki/Q194292","display_name":"Operations research","level":1,"score":0.4160420596599579},{"id":"https://openalex.org/C40627559","wikidata":"https://www.wikidata.org/wiki/Q5172430","display_name":"Corporate Real Estate","level":3,"score":0.41309329867362976},{"id":"https://openalex.org/C162324750","wikidata":"https://www.wikidata.org/wiki/Q8134","display_name":"Economics","level":0,"score":0.3845258951187134},{"id":"https://openalex.org/C162118730","wikidata":"https://www.wikidata.org/wiki/Q1128453","display_name":"Actuarial science","level":1,"score":0.36340659856796265},{"id":"https://openalex.org/C149782125","wikidata":"https://www.wikidata.org/wiki/Q160039","display_name":"Econometrics","level":1,"score":0.3415338397026062},{"id":"https://openalex.org/C112930515","wikidata":"https://www.wikidata.org/wiki/Q4389547","display_name":"Risk analysis (engineering)","level":1,"score":0.32536816596984863},{"id":"https://openalex.org/C144133560","wikidata":"https://www.wikidata.org/wiki/Q4830453","display_name":"Business","level":0,"score":0.2962411344051361},{"id":"https://openalex.org/C175444787","wikidata":"https://www.wikidata.org/wiki/Q39072","display_name":"Microeconomics","level":1,"score":0.2630954384803772},{"id":"https://openalex.org/C10138342","wikidata":"https://www.wikidata.org/wiki/Q43015","display_name":"Finance","level":1,"score":0.24289193749427795},{"id":"https://openalex.org/C33923547","wikidata":"https://www.wikidata.org/wiki/Q395","display_name":"Mathematics","level":0,"score":0.18456605076789856},{"id":"https://openalex.org/C127413603","wikidata":"https://www.wikidata.org/wiki/Q11023","display_name":"Engineering","level":0,"score":0.16147717833518982},{"id":"https://openalex.org/C147176958","wikidata":"https://www.wikidata.org/wiki/Q77590","display_name":"Civil engineering","level":1,"score":0.0},{"id":"https://openalex.org/C111919701","wikidata":"https://www.wikidata.org/wiki/Q9135","display_name":"Operating system","level":1,"score":0.0},{"id":"https://openalex.org/C29122968","wikidata":"https://www.wikidata.org/wiki/Q1414816","display_name":"Incentive","level":2,"score":0.0},{"id":"https://openalex.org/C187736073","wikidata":"https://www.wikidata.org/wiki/Q2920921","display_name":"Management","level":1,"score":0.0}],"mesh":[],"locations_count":1,"locations":[{"id":"doi:10.1108/14630010510812486","doi":"https://doi.org/10.1108/14630010510812486","is_oa":false,"landing_page_url":"https://doi.org/10.1108/14630010510812486","pdf_url":null,"source":{"id":"https://openalex.org/S142329662","display_name":"Journal of Corporate Real Estate","issn_l":"1463-001X","issn":["1463-001X","1479-1048"],"is_oa":false,"is_in_doaj":false,"is_core":true,"listed_in":["abdc-c","anvur-scientific","cwts-core","jufo-1","norway-1","poland-40","russia-white-list-2"],"host_organization":"https://openalex.org/P4310319811","host_organization_name":"Emerald Publishing Limited","host_organization_lineage":["https://openalex.org/P4310319811"],"host_organization_lineage_names":["Emerald Publishing Limited"],"type":"journal"},"license":null,"license_id":null,"version":"publishedVersion","is_accepted":true,"is_published":true,"raw_source_name":"Journal of Corporate Real Estate","raw_type":"journal-article"}],"best_oa_location":null,"sustainable_development_goals":[],"study_designs":[],"awards":[],"funders":[],"has_content":{"grobid_xml":false,"pdf":false},"content_urls":null,"referenced_works_count":4,"referenced_works":["https://openalex.org/W1966549296","https://openalex.org/W2044230272","https://openalex.org/W2045297757","https://openalex.org/W4233635436"],"related_works":["https://openalex.org/W7097602181","https://openalex.org/W2073622314","https://openalex.org/W4388077865","https://openalex.org/W2884681393","https://openalex.org/W2037100314","https://openalex.org/W2763277309","https://openalex.org/W2257975735","https://openalex.org/W2540637023","https://openalex.org/W7112513906","https://openalex.org/W2273466021"],"abstract_inverted_index":{"The":[0,108,157,195,304],"continuous":[1],"need":[2],"for":[3,50,78,139,142,169,192,216,294],"change":[4],"in":[5,14,25,68,83,119,134,211,227,254,279],"corporate":[6],"real":[7,47,265],"estate":[8],"spaces":[9],"warrants":[10],"consideration":[11],"of":[12,36,145,162,167,177,182,221,251,261,306,316,323],"flexibility":[13,40,105,317],"new":[15,325],"space":[16,70,77,171,178,183,252,286,293],"design.":[17],"To":[18],"help":[19],"decision":[20,152],"makers":[21,87],"invest":[22,67],"more":[23],"effectively":[24],"physical":[26,222],"infrastructure":[27],"and":[28,38,100,129,141,155,180,204,243,247,312],"its":[29],"ability":[30,144],"to":[31,56,66,75,94,103,113,116,147,274,283,291,320,331],"evolve,":[32],"a":[33,69,79,149,200,212,228,285],"formal":[34],"method":[35],"identifying":[37],"valuing":[39,51],"is":[41,54,63,111,122,197,257,271,318,329],"developed.":[42],"A":[43],"model,":[44],"based":[45,131],"on":[46,125],"options":[48,266],"techniques":[49,133],"managerial":[52],"flexibility,":[53],"constructed":[55,198],"answer":[57],"the":[58,84,90,97,143,164,248,255,262,264,300,314],"following":[59],"question:":[60],"how":[61],"much":[62],"it":[64,136,270],"worth":[65,272],"that":[71,135,214,269,287,328],"could":[72,288],"be":[73,114,289],"renovated":[74,290],"office":[76,170,292],"specified":[80],"renovation":[81],"cost":[82,219],"future?":[85],"Decision":[86],"can":[88],"use":[89],"option":[91],"valuation":[92,267],"results":[93],"determine":[95],"whether":[96],"initial":[98,280],"design":[99,117],"construction":[101],"costs":[102],"achieve":[104,284],"are":[106,190,209,236],"justifiable.":[107],"transparent":[109],"model":[110,158,196],"intended":[112],"accessible":[115],"teams":[118],"practice.":[120],"It":[121],"an":[123],"improvement":[124],"net":[126],"present":[127],"value":[128,315],"first\u2010cost":[130],"decision\u2010making":[132],"explicitly":[137],"accounts":[138],"uncertainty":[140],"managers":[146],"make":[148],"rational":[150],"future":[151,256,333],"(between":[153],"renting":[154],"renovating).":[156],"considers":[159],"three":[160],"sources":[161],"uncertainty:":[163],"market":[165],"price":[166],"rent":[168],"(as":[172],"measured":[173],"by":[174],"volatility);":[175],"date":[176],"need;":[179],"amount":[181,250],"need.":[184],"Input":[185],"values":[186],"and/or":[187],"probability":[188],"distributions":[189],"needed":[191,253],"these":[193],"variables.":[194],"using":[199],"binomial":[201],"lattice":[202],"technique":[203],"Monte":[205],"Carlo":[206],"simulation.":[207],"Results":[208],"given":[210],"format":[213],"allows":[215],"comparison":[217],"with":[218],"estimates":[220],"architectural":[223],"designs.":[224],"For":[225],"example,":[226],"case":[229],"study":[230],"where":[231],"current":[232],"five\u2010year":[233],"office\u2010space":[234],"leases":[235],"estimated":[237],"at":[238],"US$98":[239],"per":[240,259,276,296],"square":[241,277,297],"foot":[242,278,298],"0.39":[244],"annual":[245],"volatility":[246],"mean":[249],"50":[258],"cent":[260],"total,":[263],"suggests":[268],"up":[273],"US$40":[275],"investment":[281],"expenses":[282],"US$25":[295],"within":[299],"next":[301],"eight":[302],"years.":[303],"concept":[305],"addressing":[307],"risk":[308],"through":[309],"\u2018flexible":[310],"design\u2019":[311],"analysing":[313],"pertinent":[319],"judicious":[321],"management":[322],"any":[324],"building":[326],"project":[327],"subject":[330],"uncertain":[332],"conditions.":[334]},"counts_by_year":[{"year":2025,"cited_by_count":1},{"year":2021,"cited_by_count":2},{"year":2019,"cited_by_count":3},{"year":2018,"cited_by_count":3},{"year":2014,"cited_by_count":6},{"year":2013,"cited_by_count":3},{"year":2012,"cited_by_count":2}],"updated_date":"2026-10-30T12:39:25.321706","created_date":"2016-06-24T00:00:00"}
