Bilal Farooq

Urban Transportation Research and Advancement Centre, University of Toronto

June 18, 2010, 11:00, Room GC B3 424 (click here for the map)

Modelling Built-Space Supply Decisions within Integrated Microsimulation Framework of Urban Systems

Spatial and temporal distribution of built-space supply plays an important role in shaping up the urban form and thus the general travel pattern in an urban area. Within integrated framework, we are interested in modelling the decisions of a builder in terms of when, where, what type, and how much of a built-space to build. This talk presents a discrete-continuous model formulation for the built-space supply decisions that are based on expected profit maximization. The framework is applied to estimate a model for supply of new office space in the Greater Toronto Area (GTA) for the duration of 1986 to 2006. The results indicates a risk taker behaviour on the builders’ part, while market conditions and supply of resources (labour, construction cost etc.) are also found to be important factors in decision making.