Managing Director of Luxembourg-based Property Partners SA – Vincent Bechet gave an interview to Europe Real Estate and shared his thoughts about the real estate market of Luxembourg.
Bechet said: "Luxembourg is like an island in the storm at this time – the countries around us have suffered from the crisis, as has Luxembourg, but Luxembourg’s market remains stable and the country is recognized around the world as a strong financial center. The main driver of the financial industry is the fund industry; and Luxembourg currently has more than 2 000 000 000 under management. Luxembourg is a very attractive location for high net worth individuals, and so the financial industry continues to grow.
Luxembourg is also the capital of Europe, but it’s not well known that we have more than 12 000 European functionaries working here, taking up around 1 000 000 sq. m. or 25-30% of the total office stock in Luxembourg. That has really helped Luxembourg be recognized as an important real estate location.
We are also helped by the Luxembourg government being very stable – because the economy is still dynamic. When you are a country as small as Luxembourg, you need to be different, to find niches of activity in which to play a part and make a difference on the European stage".
Source: http://www.europe-re.com/system/main.php?pageid=2616&articleid=19827