The Barnes City Index 2023 will make those who want to rid France of billionaires gnash their teeth: Paris tops the search for the richest international investors, the luxury property specialist’s latest ranking reveals. They are “seduced by its heritage, culture and economic power. Even more attraction with hosting the 2024 Summer Olympics,” explains Barnes. Behind the French capital are Miami, New York, Austin and Dubai.
This enthusiasm was certainly fueled last year by the strength of the dollar, which made Europe relatively cheap. In addition to the return of Americans, “this renewed interest in the ‘city of lights’ is partly explained by Brexit, which has helped attract a clientele of Anglo-Saxon and French senior executives returning from expatriation,” points out Richard Tzipine, CEO of Barnes. The London capital, otherwise abandoned by Russian oligarchs, also fell to seventh place in the index.
This – great – success in Paris has a major consequence. While for decades the luxury real estate market was limited to certain neighborhoods in the west and center of the capital, it is now expanding to all 20 districts. “Driven by a brand image that seems insensitive to crises, the Paris market is on the verge of growing to new heights for truly exceptional properties,” adds the group’s CEO. The symbolic bar of 40,000 EUR/m² has been crossed several times since 2020 by Barnes, and by the end of 2023 sales close to or even higher than 50,000 EUR/m² can be predicted.
Increasingly dizzying prices for remarkable products that contrast with the market as a whole. According to the estimation platform Meilleurs Agents, the average square meter in the capital should drop by a few percent this year and return below the psychological bar of 10,000 euros.
Relocations linked to the UK leaving the EU led to a more than 40% increase in the number of bankers earning more than €1m a year in 2021