The Impact of the 2024 Olympic Games on the Real Estate Market in Paris
Olympic Games impact on Real Estate Market

Paris has always been a desirable city for real estate investments, but the hosting of major sporting events like the Olympic Games can bring additional economic and infrastructural benefits. The upcoming 2024 Olympic Games in Paris, scheduled to take place from July 26th to August 11th, 2024, are expected to have a significant impact on the real estate market in the city.

One of the key ways in which the Olympics can influence the real estate market is through infrastructure development. In preparation for the Games, there will be substantial investments in the construction of new transportation networks, stadiums, accommodation facilities, and urban regeneration projects. These developments not only enhance the attractiveness of the host city but also contribute to the overall growth of the real estate market.

The increased demand for short-term accommodation during the Olympic Games can also have an impact on the rental market. With a surge in athletes, officials, spectators, and media descending upon Paris, there will be a higher demand for hotels, vacation rentals, and serviced apartments. This heightened demand is likely to lead to increased rental prices and occupancy rates during the event.

Furthermore, the hosting of the Olympic Games often triggers urban revitalization initiatives. Neglected areas are regenerated, public spaces are improved, and existing infrastructure undergoes upgrades. These efforts can positively impact property values and attract further investment in the surrounding areas, driving growth in the real estate market.

The legacy effects of hosting the Olympic Games can also be substantial. The creation of new sports facilities and venues can support future sporting events and recreational activities. Additionally, improved transportation networks enhance connectivity and accessibility, which in turn can contribute to sustained growth and development in the real estate market.

For the 2024 Olympic Games in Paris, significant investments in infrastructure are focused on both the city center and Greater Paris, including areas like Seine-St-Denis, Yvelines, Seine-et-Marne, and Hauts-de-Seine. The Olympic and Paralympic Village will be located in St. Denis Pleyel, and the “media village” in Dugny.

Experts estimate that the Paris 2024 Olympic Games will generate over 10.7 billion Euros in economic benefits for the Greater Paris region. The extensive urban projects planned for the Games include the Porte de la Chapelle arena, the Olympic circuit (a new road service), and the construction of the Grand Site Tour Eiffel.

One notable development is the construction of a new volleyball stadium under the Eiffel Tower, which will be a dramatic setting for sporting events. The area around the Eiffel Tower is also undergoing revitalization, including the creation of a new green park known as the Site Tour Eiffel project. The Champ de Mars Arena or Grand Palais Overlay, a sustainable timber structure, has already been constructed nearby to host various Olympic events.

The impact of the Olympic Games extends beyond the city center. The Seine-Saint-Denis department, often referred to as the “9-3,” is a focal point for the Games and future metro expansion. Many companies and students have already settled in this area, which is experiencing demographic growth and increased job opportunities. The arrival of the Super Metro is expected to drive up prices, and real estate prices around the 18 stations on Line 15 are projected to increase by an average of 29% by 2030.

Saint-Denis will become the municipality with the best public transportation links to Greater Paris and 2,200 new homes will be built for 6,000 residents. Other towns in Seine-Saint-Denis will also have positive spin-offs, including Le Bourget and La Courneuve, as well as Bobigny, which will be home to the Prisme (reference center for parasport activities), a 15,000 m2 sports complex that will also include a research center dedicated to sports and health, and which is surrounded by two major sites, Sorbonne Paris Nord University and Avicenne Hospital.

While the positive effects of the 2024 Olympics on the real estate market in Paris are evident, it’s important to note that the impact will extend beyond the inner-city areas. Suburban areas will also benefit, particularly with improved transport links. Experts anticipate an increase of 10% to 15% in suburban property prices once the transport infrastructure is in place, with long-term gains potentially reaching up to 40%.

Among the banlieue under the magnifying glass, Hauts-de-Seine offers excellent real estate investment opportunities. The department is one of the sites that will host the 2024 Olympics, with the Yves-du-Manoir stadium in Colombes and the Arena La Défense Paris in Nanterre, where swimming, water polo and para-water polo competitions will be held. The city will also host two stations of the Grand Paris Express (La Boule and La Folie) and the RER E station in less than ten years.

Other areas are benefiting from the acceleration of work on the Grand Paris Express. To the west, in the Yvelines department, the Saint-Quentin Est station will serve sites for golf, mountain biking and BMX events.

In conclusion, the hosting of the 2024 Olympic Games in Paris is expected to have a transformative impact on the real estate market. The significant investments in infrastructure, increased demand for accommodation, urban revitalization projects, and long-term legacy effects are all factors that contribute to the growth and development of the real estate sector. The Games will not only showcase the best of Paris to the world but also leave a lasting imprint on the city’s real estate landscape for years to come.