토지매입 옵션을 활용한 부동산개발의 작동원리와 타당성에 관한 연구

Real estate prices in Korea are no longer expected to increase continuously, as domestic real estate market has increasingly been affected by global economic fluctuation. In an attempt to hedge the risk of variable prices including price drops, this paper develops the real estate development model which utilizes the land purchase option. In the model developer pays for the right (option) to purchase land at a fixed price in the future and exercises the option only if it becomes feasible to implement building construction. The mathematical model is theoretically formulated and a series of numerical simulation is carried out using the time-series price data. Simulation results demonstrate that the land purchase option model can work ubiquitously in Korea taking account of price variability in the past. Furthermore it is found that the option model results in higher development profit than ordinary development model which carries out land purchase and building construction at the same time.