"France Real Estate Report Q2 2011" is now available at Fast Market Research

April 7, 2011 - PRLog -- In theory, a country where there has been over-supply of commercial real estate across all three subsectors, where commercial rents have been falling, where public sector expenditure is likely to be curtailed and where consumers are disinclined (and, in many cases, unable) to spend is one where the present and future is likely to be bleak.

However, our interviews with in-country sources in France over the last two years have consistently provided us with a much more encouraging picture than might reasonably have been expected. Following the latest round of interviews, which took place at the end of 2010, we remain cautiously optimistic. For a start, it is clear that rents have started to rise once more, after a period of softness in early to mid-2010. In most sub-sectors that we cover, rents have not yet recovered to the levels that were prevailing in 2009. However, the momentum is clearly upwards. Our in-country sources are looking for rents to move sideways or upwards through 2011 and 2012.

This tells us that the various protagonists in France's commercial real estate sector have worked adroitly to ensure that, broadly speaking, supply of new real estate has not run ahead of demand. In 2009, some of our in-country sources alluded to major new projects and developments as being a potential source of weakness for rents. By the end of 2010, the only sub-sectors where our sources identified over-supply of property were in Marseille: however, and as noted above, rising rents implied that demand for space had been picking up.

Yields have remained remarkably stable. For the most part, our in-country sources expect them to remain so. Capital values and rents must, by definition, be moving in parallel. We believe that this points to a strength of the French commercial real estate sector, which is its close integration with (global) financial markets. In part because of investment through pooled vehicles such as listed Real Estate Investment Trusts (which may well be domiciled outside France) and unlisted property funds, and in part because of the large pools of organised savings within the country (such as the enormous French life insurance companies), the market is relatively liquid and efficient.

Over the forecast period, we anticipate that yields will continue to stay at or around the current levels.

For more information or to purchase this report, go to:
-  http://www.fastmr.com/prod/130584_france_real_estate_repo...


Report Table of Contents:

SWOT Analysis
- France Real Estate/Construction SWOT
- France Political SWOT
- France Economic SWOT
Real Estate Market Overview
- Table: Historic Rents - 2009 And 2010 (m2/month, EUR)
- Table: Net Yields, 2010 And 2011 (%)
- Table: Terms Of Rental Contract/Lease, Mid-2010
- Table: Available And Vacant Space, Mid-2010 (m2)
Industry Forecast Scenario
- Table: Real Estate Markets - Rentals, 2010-2012 (m2/month, EUR)
- Table: Forecast Yield, 2008-2015 (%)
- Construction Overview
- Table: France Construction And Infrastructure Industry Data
- Table: France Construction And Infrastructure Industry Data
- France's Macroeconomic Outlook
- Table: France - Economic Activity
Business Environment
- Real Estate/Construction Business Environment Rating
- Table: Europe Real Estate/Construction Business Environment Rating
- Table: Design And Construction Rating
- Table: Commissioning And Operating Rating
- Table: Overall Project Finance Rating
- France's Business Environment
- TABLE: BMI BUSINESS AND OPERATION RISK RATINGS
- TABLE: BMI LEGAL FRAMEWORK RATING
- TABLE: LABOUR FORCE QUALITY
- TABLE: TRADE AND INVESTMENT RATINGS
Company Monitor
- Bouygues Construction
- Eiffage
- Gecina SA
- Klepierre
- Lafarge
- Unibail-Rodamco
- VINCI
BMI Methodology
- How We Generate Our Industry Forecasts
- Construction Industry
- Bank Lending
- Real Estate/Construction Business Environment Rating
- Table: Weighting Of Indicators
- Project Finance Ratings Indicators
- Table: Design And Construction Phase
- Table: Commissioning And Operating Phase - Commercial Construction
- Table: Commissioning And Operating Phase - Energy And Utilities
- Table: Commissioning And Operating Phase - Transport

About Business Monitor International

Business Monitor International (BMI) offers a comprehensive range of products and services designed to help senior executives, analysts and researchers assess and better manage operating risks, and exploit business opportunities, across 175 markets.  BMI offers three main areas of expertise: Country Risk BMI's country risk and macroeconomic forecast portfolio includes weekly financial market reports, monthly regional Monitors, and in-depth quarterly Business Forecast Reports.  Industry Analysis BMI covers a total of 17 industry verticals through a portfolio of services, including in-depth quarterly Country Forecast Reports.  View more research from Business Monitor International at http://www.fastmr.com/catalog/publishers.aspx?pubid=1010

About Fast Market Research

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.

For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.

# # #

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.