Slower out of recession than Germany,
more resilient than most European countries, France benefited from
a less compromised bank sector. The economy seems set to grow for
several years. Much quality investment real estate is in Paris
offices, where structural restrictions and a healthy business
climate prefigure strong rental growth. Ludovic Bernard,
Head of Transactions, leads strategy in France.
Economic characteristics
Population 63m, the world's fifth and Europe's second largest
economy by GDP, France has one metropolis: of 39 companies in the
global top 500, most have Paris headquarters and, with a
centralised government, this concentrates organisations able to pay
high rentals into the capital. France is third largest European
real estate market attracting more real estate capital than it
invests abroad, most of it into Paris region offices.
Outlook
France, like Germany, benefits from a realistically priced Euro
both in global exports and from the pull of its very large
neighbour. As exports are anchored in value-added products, they
may be more resistant long term to Eastern competition than even
Germany. We have seen the economy growing for several years,
attracting domestic and foreign capital and putting pressure on a
restricted supply of Paris real estate.
Focus
Paris offices and major city hotel real estate - the latter
through Internos' Hotel and Leisure Division.
Internos in France
Internos manages a diversified high-yielding portfolio with
resilience to economic shocks on behalf of client BGP: eighteen
assets, most near Paris and Lyon, comprise 120,000 sq metres - 220
tenants with largely light industrial and logistic needs.
Internos Head of Transactions, Ludovic Bernard, has
French citizenship and a strong formative background in French real
estate banking and with the leading constructor before entering
international fund management with Pramerica.