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".