The huge Grand Paris infrastructure project will vastly improve the transport network and increase the accessibility and attractiveness of many suburbs, especially to the South of the capital.

The Olympics will trigger a building boom and improve transport connections in Paris even further, said Arnaud Violette, general manager, business development, Colliers International: ‘Twelve kilometres of new metro lines will create opportunities all around Paris for investors and occupiers.’

The Olympic Games will not only be a marketing opportunity for what is already Europe’s most visited city, but will create ‘new permanent structures and projects which I am confident will be delivered on time,’ said Oliver Kummerfeldt, European real estate analyst at Schroder RE. Areas like Saint Denis, where the Olympic Village will be located, are a good bet for investors, he said.

‘International investors are looking at France again, the country is back on their radar screens,’ said Ludovic Bernard, partner at Internos Global Investors.

'Macron is sending the right signals and saying the right things, welcoming investors and capital. The other positive factor is demographics: unlike its neighbours France’s population is increasing. Plus the economy is growing. The combination of these positive factors means that if you don’t invest in France today, then you probably never will.' 

Domestic investors continue to dominate in France, accounting for around 2/3 of the total, with German investors in second place with 10%, followed by US, Asian and Middle Eastern investors. But foreign players are increasingly active in the market. ‘Sentiment towards France has changed and it is true that there are more investments coming in,’ said Violette.  

'There are a lot of Asian investors investing in France through asset managers, often under the radar, so it can be difficult to know exactly who is investing,' said Raphael Tréguier, CEO of CeGeREAL. ‘But it is a fact that some Asian investors know the French market very well.’.

Another attraction for investors is the financing environment. ‘Interest rates are low and will stay low, and banks have a lot of money to lend and are ready and willing to finance property deals, including development and big-ticket transactions,' said Serge Bacconnier, deputy head, Paris office, Berlin Hyp.

The positive financial and economic environment is enhanced by political stability and the new president’s promise of reforms and welcoming attitude to investors.

'Macron has had a positive effect on sentiment because he understands how to attract investments to France,' said Alfred Fink, partner, Taylor Wessing.' It is mind-boggling how much he has achieved in just five months, like the reforms of the labour laws which were unthinkable until recently. There are concerns about a future property tax in 2018, but I believe it will be balanced out and in any case it will only apply to private and not to institutional investors.'