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International Direct Real Estate Investment: A Review of the Literature

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  • C.F. Sirmans

    (Center for Real Estate and Urban Economic Studies, School of Business, University of Connecticut, 2100 Hillside Road, Unit 1041RE, Storrs, Connecticut 06269-1041, USA. cf@business.uconn.edu)

  • Elaine Worzala

    (Real Estate Institute, School of Business Olin Hall, Room 340, University of San Diego, 5998 Alcala Park, San Diego, CA 92110-2492, USA. eworzala@sandiego.edu)

Abstract

This paper provides a critical review of research on international direct real estate investment issues. To date, no review article has explored the various findings of studies completed on the benefits of international real estate diversification. In the past 10 years, the quantity and variety of work have increased dramatically. The paper is organised by how investing in a real estate asset is analysed: in a mixed-asset portfolio context or a real-estate-only portfolio context. A fourth section focuses on research that has explored currency risk, one of the prevailing risks associated with international investing. The last section provides conclusions about the research and offers ideas for future research in this growing area of real estate investment.

Suggested Citation

  • C.F. Sirmans & Elaine Worzala, 2003. "International Direct Real Estate Investment: A Review of the Literature," Urban Studies, Urban Studies Journal Limited, vol. 40(5-6), pages 1081-1114, May.
    • Handle: RePEc:sae:urbstu:v:40:y:2003:i:5-6:p:1081-1114
    DOI: 10.1080/0042098032000074335
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    References listed on IDEAS

    as
    1. Daniel C. Quan & Sheridan Titman, 1999. "Do Real Estate Prices and Stock Prices Move Together? An International Analysis," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 27(2), pages 183-207, June.
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    3. Alan J. Ziobrowski & Brigitte J. Ziobrowski & Sidney Rosenberg, 1997. "Currency Swaps and International Real Estate Investment," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 25(2), pages 223-251, June.
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    6. Elton, Edwin J & Gruber, Martin J & Padberg, Manfred W, 1976. "Simple Criteria for Optimal Portfolio Selection," Journal of Finance, American Finance Association, vol. 31(5), pages 1341-1357, December.
    7. Bradford Case & William Goetzmann & K. Rouwenhorst, 1999. "Global Real Estate Markets: Cycles And Fundamentals," Yale School of Management Working Papers ysm20, Yale School of Management, revised 01 Jan 2001.
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