Every quarter, ImmoStat, an independent entity pooling data for the four main brokers in French Commercial Real Estate (BNP Paribas Real Estate, CBRE, JLL and Cushman & Wakefield) presents its key indicators for the Greater Paris Region.
The present release covers:
- the office take-up (both new lettings and sales to occupiers)
- the office immediate supply and average headline rent
- the investment volume in France and the average price in the Greater Paris Region for offices
OFFICES IN THE GREATER PARIS REGION
At the end of September 2020, office take-up in the Greater Paris Region reached 913,200 sqm which is down by 46% compared to the end of September 2019. The third quarter 2020 has totalled 246,200 sqm, down by 58% vs Q3 2019.
Office immediate supply on September 30th 2020 in the Greater Paris Region is estimated at 3,295,000 sqm, up by 18% y-o-y.
Based on transactions of the quarter, the headline rent of offices is on average:
- € 410 /sqm pa, excluding taxes and charges for second-hand space, up by 4% over a year ;
- € 411 /sqm pa, excluding taxes and charges for new or refurbished space, up by 3% over a year.
The headline rent is defined in lease contracts regardless of incentives, whose level was 20.9% last quarter and will be updated next month for Q3 2020.
INVESTMENTS IN FRANCE
In France, the investment volume in Commercial Real Estate over Q3 2020 reached €5.2 billion, down by 49% compared to the Q3 2019. The investment volume has totalled €16.5 billion since the start of 2020, down by 33% compared to the same timeframe last year.
INVESTMENTS IN THE GREATER PARIS REGION
In the Greater Paris Region, the investment volume in Commercial Real Estate over Q3 2020 reached €3.9 billion, down by 40% compared to the Q3 2019. The investment volume has totalled €11.6 billion since the start of 2020, down by 31% compared to the same timeframe last year.
The average capital value for Office in the Greater Paris Region over Q3 2020 all types alike reaches €8,010 /sqm (including transactions costs) which is up by 9% y-o-y.
More information about Q3 2020 can be found on our webpage "Market Data".
