Simon Kempf Libri

The book presents a groundbreaking study on hedonic office rent indices specifically for German metropolitan areas, marking the first construction of such indices in the country. Simon Kempf analyzes over 22,005 lease contracts, accounting for various quality factors like location, lease terms, and building features. Utilizing a well-established methodology typically reserved for residential studies, he also incorporates a multiple imputation method to address missing data. These quality-adjusted indices serve as vital market indicators and benchmarking tools for the real estate sector.

The author thereby has taken into account the different qualities of the underlying lease contracts regarding location factors, lease factors, building factors, equipment and layout factors of the office rental unit - using more than 22,005 office lease contracts stored in the Rental Databank of IPD GmbH in Wiesbaden.

Office rent indices in Germany show significant weaknesses in terms of reliability and validity as they assume homogeneity of the underlying assets as well as lease contracts. In other words, they do not differentiate between changes in price because of changes in the building nor changes in quality of the underlying lease contracts. Hence, these office rent indices are only of limited use in practice beyond indicating a general trend in real estate markets. Die in der Praxis veröffentlichten Büromietindizes besitzen große methodische wie praktische Schwächen, da diese keine Unterscheidung zwischen Preis- und Qualitätsänderung der einbezogenen Mietverträge treffen. Vor diesem Hintergrund entwickelt der Autor hedonische = qualitätsadjustierte Indizes für die größten deutschen Büromärkte, welche für Projektentwickler, Portfoliomanager, Immobilienbewerter, Investoren und Wirtschaftspolitiker gleichermaßen nützlich sind.