3 Economy �
The Breeze of the Arab Spring Blew into Paris
While the middle class left Paris, the Middle East has surely found a new place to call home. It is apparent that the faces of people dining in cafes and walking the beautiful parks of Paris have changed. Many Arab investors sought out buying Parisian houses and castles and were able to do so with relative ease because locals were not able to pay the ever-increasing prices in an everuncertain financial climate. Some decided to settle in Paris, fleeing from their countries’ tumultuous situations revolving around the Arab Spring and settling in the peaceful city along the Seine. Many of these Arabs benefited from the fact that as they were looking for safe haven, French citizens were looking to sell their little plots of heaven.
46 % of the real estate deals are made with foreigners
In 2012 the real estate giant- Paris John Taylor reported that its Lebanese, Syrian, and Tunisian agents constituted 50 % of the company earnings. It is clear that a new crop of Parisians can be seen. They appear to be springing up everywhere.
75 % income tax
After more recent economic changes, it appears that the exodus from Paris was not only restricted to the middle class bourgeoisie, but the French elite have also started leaving the capital in droves. After the Prime Minister, François Holland, imposed an income tax that reached 75 %, even those who were well off in Paris before seemed to find the new level of taxation to be unreasonable. For example, the famous
actor- Gerard Depardieu gave up his French nationality, put his castle up for sale, and left for Russia to escape from the oppressive income tax. Additionally, many other affluent Parisians decided to leave their hometown behind, which resulted in a real estate climate never before seen in central Paris. With prices continuing to rise and new faces continuing to blow in from all over the world, it is uncertain whether these sparks are enough to keep the real estate light burning brightly or not.
38 DORCHESTER April- 2013