Research project 1a (DC1) is dedicated to ‘New approaches to options valuation for circular real estate’. This project aims to improve valuation and decision-making of a multitude of parameters to become more adaptive, by using time direction and real options analysis in valuation methods. Time value of money and real options analysis are strongly affected by linear assumptions in investment calculations, for example through interest rates that are smoothened over time. Quantum mechanics can help to break open this linearity, as it conceptualises a non-linear world to pioneer models to capture value assumptions in dynamic and fuzzy real-world conditions. It is expected that these innovative models will more accurately reflect real estate valuation in a CE through the value of matter and the value of functions.
Host institute: Delft University of Technology
Country: The Netherlands