2024-01-30-莱坊-European_Office_Dashboard_-_Paris_IDF_Q4_2023_2页_569kb

Knight Frank Europe Market Summary - Q4 2023

Occupier Market Insights

• Key Figures: Total take up in Q4 2023 was 568,022 square meters (sqm) for the Île-de-France office market, marking the strongest quarterly take up of 2023. Annual take up for 2023 reached 1.95 million sqm, a 11% decrease compared to 2022.
• Sector Trends: Higher education saw a 30% increase in leased space, while luxury and consulting sectors expanded. Conversely, coworking operator take up fell by 34%.
• Size Segments: Take up volumes for deals larger than 5,000 sqm dropped 18% year-on-year, with no transactions exceeding 40,000 sqm, down from a prior 20% share.
• Vacancy Rate: Increased to 8.4% in Q4 2023, up 70 basis points year-on-year from 8.2% in Q3. Average rent stabilized at €485 psqm, but disparities exist: city rents fell 6% year-on-year, while Paris rents increased 3%.

Construction and Future Outlook

• Completion Data: Quarterly construction of 225,705 sqm in Q4 2023, with total annual deliveries around 500,000 sqm, a 50% decrease from 2022 and below the 5-year average.
• Vacancy Forecast: Expected to rise further in 2024 due to ongoing development pipeline of 1.5 million sqm, with anticipation of moderation in 2025.

Economic Indicators

• Labor Market: French unemployment rate forecasted to rise moderately to 7.6% in 2024 and 7.8% in 2025, below pre-pandemic levels. New business starts slowed, impacting employment growth.
• Services PMI: Continued contraction in services sector despite a slight uptick in PMI, driven by weak demand.

For detailed data, refer to Knight Frank Research.