Real Estate And Stock Market Performance Of Empirical Research

Corporate Real Estate (CRE) refers to the land and buildings owned by non-real estate company. Under today's market environment, many non-real estate companies invest in CRE for the purposes of business operating, capital investment or company development. Corporate real estate is a major component of fixed assets. How to understand CRE's impact on stock market performance (including stock return and stock risks) and how to manage CRE effectively, improve the use efficiency of fixed assets to meet the needs of the socialist market economy have become increasingly important.This paper starts from the history and development trend of CRE and gives analysis of company's real estate development process, development characteristics and trends. Based on such knowledge, this paper does empirical research on CRE's impact on stock performance in industry and regional dimension, by using listed companies'real estate data. The results show that CRE has significant differences impact on stock performance in different regions or industries. Then this paper does a further empirical study on CRE's impact on shares risk, and finds that CRE has significant impact on stock returns fluctuations and the results are different in sectors and regions. According to the research results, this paper focuses on company's real estate strategy. By analyzing different strategic dimensions and different participants of CREM, we know that CREM can be divided into senior management, real estate department, and person responsible for the specific property. CREM strategy can also be analyzed by financial dimension, physical dimension, and social dimension. In CERM of different dimensions and different levels, there are different drives. CREM should focus on those drives in order to achieve the management objectives.