Housing crisis, rising turnover… How is the construction sector doing in Île-de-France?

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“We need build to master the costs “. Tuesday, November 5, 2024, the members of the Alliance for Housing in Île-de-France met to exchange ideas on solutions to housing in the region. This meeting also made it possible to take stock of the figures for construction sector for the current year.

The housing sector in crisis

In Île-de-France, the construction sector generated a turnover of 39.6 billion euros in 2023, representing 18% of the national total, according to the French building federation Grand-Paris Île-de-France. Of this sum, 22 billion concerns maintenance and renovation buildings, while 17.6 billion for new construction.

Although this turnover has increased over the last ten yearsit remains to be put into perspective, because, as Olivier Princivalle, president of the professional real estate union FNAIM Grand Paris, points out, this growth is taking place in a context of “very serious housing crisis”.

Municipal elections responsible for the crisis

This chronic housing crisis in Île-de-France results from several factors. On the one hand, high rents and insufficient supply in the face of ever-increasing demand. On the other hand, the construction of new housing has greatly reduced in recent years. While in 2017, more than 85,000 new housing units were started, this figure dropped to 47,000 in 2023.

Emmanuel Dezellus, member of the Housing Alliance and president of Seqens Solidarités, discusses difficulties administrative and regulatory which explain this decline. But according to him, this situation also follows a electoral calendar which weighs heavily on construction. “We have mayors who, as the elections approach municipal electionsrefuse to launch new projects,” he laments.

During each election period, housing production 20% kickunderlines Emmanuel Dezellus. To remedy this, housing stakeholders are proposing to financially encourage “builder mayors”, in order to prevent this cycle from systematically recurring. “We are in a logic of project and facilitation,” he assures, “not legislation.”

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