BIRLA INSTITUTE OF TECHNOLOGY, RANCHI, INDIA

DEPARTMENT OF ARCHITECTURE


AR 7010 Building Economics, Real estate management &, Marketing.

Module 1 Introduction 1. Elements of Economics- concept of Utility, demand, production
2. Land Economics- concept, objective, scope.
3. Levels of Decision Making
Module 2 Values of Money 1. Concept and factors governing.
2. Time Values of Money & Cost of Capital- Derivations of Annuity
Formulae
Continuous Compounding and Discounting
Various Costs of Capital
Rate of Returns
Weighted Costs of Capital
Module 3 Demand Analysis 1. Demand forecasting and common methods of Demand Forecasting-
Delphi Method, Trend Projection Method, and Exponential Method.
2. Uncertainties of Demand Forecasting
Module 4 Analysis of Projects 1. Project Constraints
2. Method of Ranking
3. Facets of Project Analysis
4. Introduction to Project Appraisal & Feasibility Study
Module5 Introduction to
Valuation
1. What is valuation
2. Purpose of valuation and functions of a Valuer
3. Difference between value and cost and different types of values.
4. Essential characteristics of an ideal investment
5. Sinking fund
6. Years Purchase
7. Depreciation, Obsolescence, Amortization, Annuity.
Module 6 Methods of
Valuation
1. Rental Method, direct comparison method, profit based method,
development method, land & building method.
Module 7 Land its acquisition 1. Rent definition and different types
2. Lease definition and different types
3. Easement characters, methods of creating and acquiring of easement
4. Land acquisition
5. Land ceiling

Recommended Books:

1. Prasanna Chandra, Projects: Planning, Analysis, Selection, Implementation and Review;
Tata Mc-Graw Hill Publishing Company Limited;
ISBN 0-07-462049-5
2. Baumol, Linear Programming;
Tata Mc-Graw Hill Publishing Company Limited;
ISBN 0-07-462049-5
3. Hamdy H. Taha, Operations Research: an Introduction;
Prentice Hall of India Private Limited
ISBN 81-203-1222-8
4. M. Chakraborty, Estimating, Costing, Specification and Valuation in Civil Engineering;
Published by the author

5. BK Sengupta, Somnath Sen; ITPI Reading Journal; Land Economics