HARTFORD, Conn., May 18 /PRNewswire/ -- The American Real Estate Society (ARES) has honored Jim Clayton, Ph.D., vice president of research for Cornerstone Real Estate Advisers LLC, for having authored the best research paper published in the 2009 volume of the Journal of Real Estate Portfolio Management, as voted by the members of ARES.
The journal is a widely respected and referenced publication from ARES. It focuses on disseminating applied research on institutional real estate investment and portfolio management.
"Jim is a tireless and prolific researcher whose forward thinking is a credit not only to Cornerstone but also to our industry," said David J. Reilly, president and CEO of Cornerstone, one of the world's largest real estate investment advisers. "His insightful commentary and market knowledge enable us to make informed decisions and to provide our clients with superior guidance and perspective."
Clayton's paper, entitled Debt Matters: Leverage, Liquidity, and Property Valuation, provides a conceptual framework for understanding the severity of the debt-induced property boom-and-bust cycle. It considers both the mortgage supply (lender, mortgage security investor) and mortgage demand (equity investor) sides of the market and integrates private market liquidity as a key variable in investor and lender valuation and underwriting decisions.
The paper also recognizes the potential systemic or economy-wide risk created by, but possibly underappreciated in, individual investor and lender decisions that contribute to under-pricing of default risk in mortgage loan contracts and excessive property valuations at times of high real estate market liquidity. The same decisions contribute to "over-shooting" on the downside, with over-pricing of risk when property market liquidity dries up.
At Cornerstone, Clayton is responsible for monitoring and forecasting real estate and capital market trends and delivering applied research and strategic thought pieces to the firm's leadership and investor clients.
Prior to joining Cornerstone in December 2008, Clayton served for two years as the director of research at the Pension Real Estate Association (PREA), a U.S. trade group representing firms in the institutional real estate investment industry.
He previously held faculty positions at the University of Cincinnati and Saint Mary's University (in Halifax, Nova Scotia), and is currently an adjunct professor in the Real Estate Program at the University of Connecticut. He is also an instructor in the Advanced Real Estate Finance Executive Education Program in Real Estate at Harvard University Graduate School of Design and the Professional Development Institute of the Real Property Association of Canada (REALpac).
He sits on the advisory board of the Real Estate Research Institute (RERI) and is a co-editor of the bi-annual special issue of The Journal of Portfolio Management devoted to real estate. He is also part of the author team on the second edition of Commercial Real Estate Analysis and Investments, a graduate-level textbook published in 2007 by South-Western (now Cengage).
This marks the second time that ARES has honored Clayton's research with this award. Previously he won it in 2002.
ARES, founded in 1985, is a research focused association whose members are drawn from academia and the profession at large, both in the United States and internationally. The Society is dedicated to producing and disseminating knowledge related to real estate decision making and the functioning of real estate markets.
About Cornerstone Real Estate Advisers
Cornerstone Real Estate Advisers, with offices in the US, UK, Europe and Asia, is one of the world's largest real estate investment advisers. It provides core and value-added investment and advisory services, including a comprehensive suite of real estate debt, equity and securities expertise and services, to institutional and other qualified investors around the globe. Cornerstone is a subsidiary of Babson Capital Management, LLC, a member of the MassMutual Financial Group. To learn more, visit www.cornerstoneadvisers.com.
SOURCE Cornerstone Real Estate Advisers LLC