Ambrose, BrentSteiner, Eva2020-09-112020-09-112017-09-2011378193https://hdl.handle.net/1813/71360Research on the disposition effect in real assets to date ignores the active management component of these investments. Active management notably includes decisions about follow-up investment in the form of capital expenditures, as well as dispositions. Using a real option framework, we develop testable hypotheses and provide empirical evidence for the relationships between economic fundamentals, capital expenditures, property values, and the subsequent likelihood of sale. Our results shed new light on the evidence for the disposition effect.en-USRequired Publisher Statement: © Springer. Reprinted with permission. All rights reserved.asset managementeconomic fundamentalscapital expendituresproperty valuespreprint