''Valuation of European Listed Real Estate Companies – Accounting based performance metrics'' - Qiulin Ke,  Fengcheng (Melanie) Zhang,  Song Shi (UCL)

Expected release date: 2026-Q1

This project explores the value relevance of accounting-based performance metrics as alternatives to the commonly used Net Asset Value (NAV) in assessing the performance of European Listed Real Estate (LRE) companies. While NAV is a key valuation measure, in contrast, operational metrics such as net earnings, cash flow, and dividend yield offer insights into the income-generating capacity of LREs. This study focuses on net earnings as reported by various data providers (EPRA, Bloomberg, S&P, and Refinitiv) to assess which earnings metrics have a stronger association with LRE stock prices and how their relevance shifts in different market conditions and are more reflective of the company’s underlying operating results. By enhancing transparency and comparability, this research could help attract generalist investors to the LRE sector, bridging the gap between listed real estate and broader equity markets.