Offices: Corporate Real Estate, the Rush to the West

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The offices are experiencing unprecedented success. A true investment product, real estate is becoming a B2B issue. The new uses of tertiary buildings thus reinforce the trend of property management, which mainly concerns the management of real estate products. In Bordeaux, the predictive indicator of the office market in 2020 is positive. Indeed, the tertiary real estate market is expected to increase by 9.3% in the Bordeaux metropolis within a year. Tertiary real estate refers to office buildings that account for three quarters of tertiary real estate, as well as businesses or hotels for the remaining quarter. This attractiveness of the cities of the west coast of Aquitaine is thus an investment perspective for Bordeaux companies. Companies that seek to combine business and quality of life.

Offices, a particular tertiary real estate demand

How best to manage a business real estate project for professionals? This is what Bureauxlocalaux, a website specializing in real estate listings for companies, offers. On the occasion of the publication of its semi-annual barometer concerning the demand for offices for rent in the region… Local Offices was able to analyze 1.5 million real estate searches of business leaders carried out on its platform in the first half of 2019. Because of this attractiveness, the demand for corporate real estate is clearly identified by the New Aquitaine region in its land strategy which includes a real estate business component. This strategy is primarily through investments and support for project calls. This is all the more important for the Metropole because Bordeaux is the 4th regional market in terms of tertiary real estate.

Tertiary real estate can also prove to be a good investment product. However, sometimes we see a reluctance on the part of investors. Because of the difference in investment with the rental of housing. In addition, unlike the traditional real estate market, the tertiary real estate market depends on the general economic situation. And not the purchasing power of households.

A tense Bordeaux real estate market that is holding back business demand

While Nouvelle-Aquitaine shows a growth prospect of 9.3% for the office market… Other regions are doing better in terms of attractiveness. Indeed, while metropolises such as Lyon and Nantes are at the top of real estate searches for companies; with respectively 23.4% and 11.5% growth for the sector… The Bordeaux metropolis is hampered by a bad economic situation in its real estate market. Foremost among the fore is a poor match between housing supply and household financial capacity; but also companies.

In addition, the strong population growth of gironde and Bordeaux-Metropole is taking place in favour of a refocusing of the population on the main agglomeration, which results in the appearance of tense flows for corporate real estate. According to the Observatoire de l’Immobilier d’Entreprise Bordeaux Métropole (OIEB), 34,200m² were rented or sold in the 1st quarter, compared to 31,200m² last year.

Companies prefer to rent or sell offices in their applications. On the other hand, there is less demand for warehouses and business premises (-19.8% compared to last year). The contraction in volumes is therefore due to this tension in the market, companies looking to take advantage of Bordeaux’s influence are moving to the Euratlantic district.

Corporate real estate, the AIRE program at the service of the office of tomorrow

In order not to penalize these companies that wish to establish themselves in our territory, Bordeaux Métropole has launched the Aire programme (Develop, Innovate, Redessine, Entrepreneurship). After the success of the first edition which gave rise to a successful call for projects, the second edition which has just been launched at the beginning of July also operates in the perspective of the renewal of commercial real estate.

Supported by La Fab, the urban planning department sponsored by the metropolis, the call for expressions of interest that ends on 27 September must this time concern the re-qualification of sites by interventions on buildings or artificialised sites. For its part, the Metropolis produces new office real estate. With the emergence of new ways of life and work, the regional metropolises that share the market for corporate real estate, therefore put forward policies of major projects that respond to repolarization and new urban centralities.

New Aquitaine therefore wishes to be a leading player in land for businesses. Characterized by a strong intensification and underutilization in a part of the Metropole, the Neo-Aquitaine territory must be able to meet both an environmental requirement of urban renewal and the sustainable development demands desired by Bordeaux companies.

Sources:

Grand Dossier – BORDEAUX Business “Corporate real estate, the new Bordeaux eldorado”

Study “A Complex Demographic Dynamics,” A’URBA, 2019

ICC official website

Bordeaux Real Estate

Official French Tech website

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