Lyon real estate market: business and logistics premises rely on quality

The market for logistics premises saw further growth in 2008,

• with 430,000 m² placed (130,000 m² directly)
• versus 394,000 m² in 2007.

The vast majority of surface area has been leased and 69% invested in new construction.

This demonstrates the importance of having flexible quality products.

It should be noted that transactions of more than 20,000 m² account for 29% of the demand invested.

Two thirds of firms are positioning themselves on premises in the outer suburbs, on:

• the Plaine de l'Ain,
• north of Lyon, and
• in northern Isère.

Space immediately available

• There are 520,000 m² of space immediately available today
• of which 340,000 m² are latest generation projects
• with rents ranging from € 45 to 48 excl. Tax / excl. Charg./m²/year.

Perspectives

These prospects will help Lyon to confirm its role as a major logistics hub for the north/south-east backbone of France (Lille-Paris-Lyon-Marseille) in 2009.

With 293,000 m² placed in 2008 with trading, manufacturing and construction companies, the volume of the industrial real estate sector is standing firm at the same level as 2005.

The share of sales to users has fallen, while rentals have taken up the slack.

This represents 270,000 transactions, primarily in favor of the Eastern Lyon urban area, which contains 75% of the immediately available space: nearly a quarter was invested in new construction, a relatively stable portion compared to previous years.

New products feature major quality improvements, from the architectural and the environmental standpoints in business parks.