- French institutions have a low exposure to their residential sector in comparison to German and Dutch investors in their domestic markets. This offers the opportunity for an increase in residential investments in France given the size of the market.
- French demographic trends are positive as shown by household growth, which is forecast to be stronger in France than in other countries such as Germany, Italy and Spain over the next 5 years.
- Most of the institutional capital deployed to date has been focused in the Paris region due to its status as a global gateway city, concentration of population and economic activity.
- New granular data from Homiwoo show that yields are on average lower in the Paris area while higher yields can be found in regional cities such as Strasbourg, Lille and Toulouse.
- More precise data also allows investors to identify locations with better than average rent and price trends on a micro-level to help them make the most of the available investment opportunities.
Source : AEW Europe