BUSINESS REAL ESTATE: LYON CONFIRMS ITS POSITION AS FRANCE’S TOP MARKET
Fnaim Entreprises recently published its 2014 business real estate figures for France and once again Lyon stands out from the crowd as it holds the title of France’s top market in terms of demand and investment volume. Last year, 870 million euros were invested in the Lyon market. That figure is equal to the score of 7 major French cities and 17% of the global volume in France. These investments are made as follows: €585 million in office space, €139 million in logistics, €27 million in local activities, €31 million in business and €86 million in health.
In terms of sq. m of office space, the trend has shown a consolidation with 243, 000 sq. m promoted in 2014 (-4% compared with 2013). This slight dip can be explained by a lack of major transactions. Nevertheless, two projects of over 15, 000 sq. are worth noting: The Caisse d’Epargne at the Incity Tower and the Sanofi Aventis Group in Gerland. At the same time, we can observe a rise in the number of transactions of over 1000 sq. m (44 in 2014 and 41 the year before). For the first time, the Gerland district has overtaken the historic Part-Dieu district. 54, 800 sq. m have been recorded in Gerland, a district that is currently undergoing a major refurbishment in business real estate, against 46, 000 sq. m in Parti Dieu. The stock remains stable at 341, 000 sq. m.
In terms of local activities, the trend shows that take-up has stabilised at 320, 000 sq. m. The logistics market registered a major transaction with Socara (106, 000 sq. m which has just inflated the 300, 000 sq. m rented in 2014).
These results confirm Lyon’s economic resilience. This is due to large-scale urban projects and the presence of international investors. Lyon is a strong contender for other major European cities to beat.