For several years Paris has been the most important real estate investment market in continental Europe, with annual investment volumes of €13-14 billion on average.
Over the last two years the Paris investment market has gained even more momentum with nearly €20 billion invested in 2015 and 2016.
This is due in the main part to the diverse economic fabric of the region which provides robust and sustainable occupational markets. Balance between the major business sectors including large industry, public administration, financial services and high-tech/ web business keeps take up levels at 2.3 million square metres per annum. With an overall office stock in the region above 50 million square metres, the Paris Region is also the largest office market in Europe.
But it is not all about offices!
Paris is most importantly the world’s most popular tourist destination which helps the city’s premier global position in the luxury retail and hotel sectors. Last but not least the residential property market has shown a high degree of resilience to the global financial crisis as
buyers continue to choose Paris as a safe haven for their private residences or buy-to-let investments.
10 COMPETITIVE ADVANTAGES OF PARIS:
Paris offers a depth of market that positions it well to resistance from economic downturns:
● One of the most transparent markets in the world
● Diversified and international occupier base, the Paris Region being the 1st region in Europe for inward investment from the Top 500 International companies.
● A large diversity in business sectors and in the size
of occupiers, allowing for robust and recurrent take-up levels and low rental volatility.
● A wide offer of properties with varying architecture, technical characteristics, energy performance and occupational costs.
● A stable stock of office space limiting any oversupply phenomenon and overall vacancy rates.
● 2nd largest investment market in Europe
● Liquid investment market with a strong presence and diversity of international investors.
● Index-linked rental increases providing stable growth of income returns.
● Stable capital values with less volatility than its main competitor-London.
● Excellent accessibility as a result of to a well- developed and efficient public transport network, which will be reinforced by the automated Grand Paris transportation project.
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