French Property Prices Shoot Up Before The Election
France’s next president could pull the country out of the European Union, but investors are pushing ahead in the country undaunted in their search for higher yields.
Polls showed the leader of the right-wing National Front party, Marine Le Pen, has a better chance this spring to win the election than otherwise thought. But that isn’t stopping investors. French commercial property deals jumped in Q4, reaching $9.7B at the end of 2016 compared to just $6B in each preceding quarter, the Wall Street Journal reports.
Rising prices pushed yields to a record 3% in Q4, down from 3.25% a year earlier and making prime office building yields in Paris the lowest in Europe.