Before choosing course

Course contents

The course contains:

• Lectures, both on theory and applications to property management.
• Exercises, especially on the basic theory.
• Project related to contracts in the area of property management.

Intended learning outcomes

The overall aim of this course is to give the student a better understanding of the economics of contracts and how to apply this knowledge to practical situations involving property management.

After having finished the course the student should be able to:

• Describe the notion and consequences of asymmetric information.
• Identify situations characterized by hidden action and situations characterized by hidden characteristics.
• Making in-depth descriptions of the problems that may arise because of information asymmetry and incentive problems and suggest solutions.
• Understand the relevance of these problems for designing contracts related to outsourcing of services and in-house production of property management service, and for the design of rental contracts and  incentives for owning vs leasing properties.
• Be able to design contracts that are efficient given the situations described above.

Course Disposition

No information inserted

Specific prerequisites

Eligibility to the master programme in Real Estate and Construction Management.

Recommended prerequisites

No information inserted

Equipment

No information inserted

Literature

Jeffrey M. Perloff: Microeconomics: Theory and Applications with Calculus (latest edition recommended). Changes will be announced at least one month before the course starts.

Additional material distributed by the lecturer.

Information of other articles can be sent a month before the beginning of the course.

If the course is discontinued, students may request to be examined during the following two academic years.

Grading scale

A, B, C, D, E, FX, F

Examination

• PRO1 - Project Work, 3,0 hp, betygsskala: P, F
• TEN1 - Written Exam, 4,5 hp, betygsskala: A, B, C, D, E, FX, F

Based on recommendation from KTH’s coordinator for disabilities, the examiner will decide how to adapt an examination for students with documented disability.

The examiner may apply another examination format when re-examining individual students.

Opportunity to complete the requirements via supplementary examination

No information inserted

Opportunity to raise an approved grade via renewed examination

No information inserted

Examiner

Han-Suck Song

Ethical approach

• All members of a group are responsible for the group's work.
• In any assessment, every student shall honestly disclose any help received and sources used.
• In an oral assessment, every student shall be able to present and answer questions about the entire assignment and solution.

Course web

Further information about the course can be found on the Course web at the link below. Information on the Course web will later be moved to this site.

Offered by

ABE/Real Estate Economics and Finance

Main field of study

Built Environment

Education cycle

Second cycle

Add-on studies

No information inserted

Contact

han-suck.song@abe.kth.se