A Credit Suisse study on the real estate market situation as of March 1, 2022 confirms what we are experiencing through our projects in the French-speaking part of Switzerland (Le Parc des Crêts, Le Cocon d’Ehden, Le Bois d’Ehden): namely a strong demand from clients for property, with a much higher level of demand than before the pandemic.

Medium and large properties are currently in high demand. Alongside low mortgage interest, the trend towards telecommuting and negative interest rates are stimulating real estate purchases. According to Credit Suisse experts, there is no relief in sight on the supply side in the next few years, with the market remaining relatively dry and new ownership construction continuing to fall due to the scarcity of land and the administrative delays in obtaining building permits.

Thus, the supply figures are in sharp decline since the end of 2019 with -33% supply of properties for sale on the market. The shortage is obvious and therefore supports the current price level (law of supply and demand). The bank expects prices to rise again in 2022 after a very dynamic 2021. The current volatility of the financial markets, inflation and the uncertainty of the current geopolitical situation reinforce the safe-haven nature of real estate.

The study also highlights the growing interest of households in outlying areas near major urban centers. Downtowns are less attractive and arrivals are increasing in the urban periphery and rural areas. The growing desire of city dwellers to turn their backs on the big cities has led the Capvest Group for several years now to develop top-of-the-range projects with generous surface areas in the vicinity of major urban centers. Our project of
Parc des Crêts
with more than 300 condominiums is a perfect illustration, as are our projects in the communes of
Vandoeuvres
and
Cologny
.