Paris introspection likely as investors re-assess values

The first quarter or two of 2023 in the Paris investment market will most likely be dominated by the need to re-establish market values for each of the different asset classes, statesTaylorWessing partner Alfred Fink.

“Due to the economic environment, everybody is re-evaluating their portfolio assets which has ramifications certainly for financing and for the entire market and the sale and purchase of assets where there is not yet a stabilised price,” Fink told Real Asset Media’s Richard Betts.

He said that while he does not expect fire sales, there will be off market deals “between friends” as investors tidy their portfolios up strategically.

Fink added that everybody is now looking into sustainability, in particular for existing buildings.

“We are in a city where the centre was built 100-200 years ago. That does mean we have to do something with old buildings, we cannot rely only on new buildings,” he said, pointing out that permits are anyway difficult to get to enable building from scratch.

Fink concluded that he is, “slightly positive and optimistic about the market”, adding that there is nevertheless some homework to do before a stabilised market is achieved.

Please click on the video above to watch the full interview or listen to the podcast below.