By Paul Andriot, University of Paris Dauphine-PSL
Fabrice Larceneux, University of Paris Dauphine-PSL
Arnaud Simon, University of Paris Dauphine-PSL
Abstract
Urban managers intervene to organize and plan territorial real estate. However, in reality the quality of existing real estate remains partly unknown. It is deduced from financial estimates made by certain experts, but the literature shows such metrics to be incomplete and biased. This article draws on the theory of perceived quality to propose an objectivized, general and granular, metric of quality, integrating both the strategic aspects of quality attributes and the operational aspects of quality cues. The relative importance of each dimension was determined by surveys among stakeholders (705 professionals). The quality score thus allows a true strategic assessment of a real estate inventory. Applied to 107 buildings in the Paris region, this metric proved reliable and consistent in time and space. It was also well-aligned with financial valuations. By identifying the real components of value, it is of greater relevance to stakeholders and allows more efficient resource allocation.
Keywords
Perceived quality, urban planning, real estate, valuation, stakeholders