Paris 2024 Olympics: What Effect will it have on Property in the Capital?
It recently emerged that the French capital will host the Olympics in eight years after Los Angeles conceded. What effect on property prices will Paris 2024 have?
With Los Angeles accepting the 2028 championships, all that’s needed to make Paris 2024 official is for the International Olympic Committee to rubber-stamp the fact when it meets in Peru in September. Parisian policymakers and city planners will rejoice as they put the narrow defeat to London for 2012 behind them.
And many locals have reason to be happy too as their earning potential from short-term rentals has skyrocketed. A flurry of tweets in the wake of the announcement advertised prices up to 20 times current rates: €5000 a week for a 70 m2 apartment in the suburb of Meudon, or €10,000 for a place on the rue Saint Honore in the 1st arrondissement.
Loue appartement reu Saint honoré, 34m2, 5 min De La Seine, 10 000 euros La semaine #Paris2024
— Terrence Des Vosges (@des_vosges) July 31, 2017
Loue Appartement a Meudon de 70m2 Periode Juillet/Aout 2024 Prix: 5000 Euros la Semaine!!!!! #Paris2024
— Stephen Brun (@StephBrun41) July 31, 2017
Then there is the question of property prices. As seen with the regeneration of Stratford in London where the Olympic Park was built for 2012, hosting the championships can see once-neglected parts of town become sought-after terrain for house buyers. Bernard Cadeau of Orpi recalls the effect of the Stade de France’s construction had on the local area.
“The arrival of the Stade de France in Seine-Saint-Denis had a positive effect on property prices. But more importantly, it facilitated a renovation of the entire urban landscape. The Olympics will do the same as long as house-building accompanies the infrastructure investment. The same trend was seen in Barcelona in 1992.”
The Grand Paris project will also “receive a boost” thanks to Paris 2024, according to Reuil-Malmaison director of Guy Hoquet Stephane Vermeire. The infrastructure investment project has undoubtedly been undertaken in anticipation that Paris had a good chance of hosting the 2024 championships.
This could also amplify Paris’ prestige for international investors ahead of London, a trend already seen in the post-election period as France enters a new era with a pro-market, internationalist president. London 2012 did wonders for the city’s image worldwide, from increased urban development to the unquantifiable knock-on feel-good effect, and Paris 2024 is sure to do the same.
image © Wikicommons