Professor Clapp is looking forward to joining the Department, and has highlighted some areas where he might contribute most:
Embedded real options add a significant element of real estate risk as Thies Lindenthal, Piet Eichholtz and John showed using Berlin house prices before and after the fall of the Berlin wall. It follows that resilience in the face of climate change requires evaluation of options and control of risk though options exercise. How has the real estate industry responded to climate change as of 2022? Can response be more strategic in the future, with adaptation to inflation and armed conflict?
Thies and John are part of ongoing work with The Lincoln Institute (Cambridge, Massachusetts), where they have developed promising new methods for separating urban land and structure values. This is highly relevant to risk analysis for investment, lending and public policy because land is generally much more volatile than structure.
John's recent work on shopping centres and on anchoring is revelant to changes in high street and surburban shopping in the UK.
Welcome to the CRERC team John!