These are 190000 m2 of offices which were launched in 2008

BNP Paribas real estate, subsidiary to 100 of the French Bank, developing synergies between promotion, marketing, administration of property and asset management for sales 2008 of EUR 600 million, 40 international. Real estate business represents 85 of this figure, the balance from the housing.

Today, the activities of the real estate group services totalled three quarters of the 600 million euros and promoting the balance. The acquisition in 2004 of the Council in real estate business Auguste-Thouard, become Atisreal, was decisive in extending the activities of the Group and its geographical scope. The development of asset management completes its range of skills.

After a real estate year widening of dangers for the sector, Philippe Zivkovic takes stock of the year 2008 of BNP Paribas real estate and gives us his vision of the market in the beginning of this year 2009.

How do you interpret the crisis affecting the real estate sector

Housing is now more affected than the real estate business by the financial crisis. It had thought between September 2007 and June 2008 to a soft landing. However the summer 2008 has recorded a sharp break with a fall in sales of homes in the France of the order of 50 from September to December 2008 over the same period of 2007. In this context, the decline in the prices of the nine is located end of 2008 between 7 and 10 over a year.

It is found that a crisis was emerging whenever the prices of the previous join the prices of the nine as they should be 20 lower because of the cost of higher recording and less rational surfaces. The rising rates of abandonment which, from an average of 15 in the past, climbed up to 50, is evidence of the loss of confidence of the buyers. The market was very reactive by cancelling or postponing the launch of numerous operations so that stocks remain limited.

At the same time, the recent measures taken to revive housing seem to be very positive, whether it is the doubling of the rate loan zero intended to reconstruct the contribution of primo-homebuyers or the last amendment Carrez establishing a tax reduction of 25 of the purchase price, capped at 300,000 euros, acquired with a view to be rented housing and depreciable over nine years.

With regard to the real estate business, he has recorded a decline of 50 after a year 2007 outstanding investments and it recorded a decrease of 20 of the transactions to the lease in Ile-de-France, however more than 2.2 million square metres in 2008. So far, the Office vacancy rate remains below 6, one of the lowest in Europe.

How BNP Paribas real estate is facing the crisis

With 600 million euros in fees in 2008 against 680 in 2007, down to 12, BNP Paribas real estate proves the validity of his model joint promotion/services, with a significant proportion of recurring fee from the administration of property, asset-management, expertise and the Council.

Our promotion in real estate business activity is safe since it is based on projects préplacés to our fund investment and external investors. These are 190,000 m2 of offices which were launched in 2008. Activity for the promotion of housing, for its part, has always remained sized in BNP Paribas real estate in the Ile-de-France and in major regional cities with a stock sale operations in work which is now twelve months of marketing. On an annual production of 2,000 units, our group is currently 70 apartments delivered not sold. I would remind you that residential activity including the promotion, management, and the transaction is 15 of our turnover. Services, which account for three-quarters of the 600 million share parity between non-recurrent of tertiary real estate transactions where we are, fees, leader in France and Germany with extensive regional coverage, and those perennial, asset-management and Board management. If our geographic base is the France, 40 of our overall fees from international.

How you discuss 2009

Of course, our plan in 2009 promotion is not equivalent to that of 2007, but we already have a number of projects acquired and made with clients who qui We take position on well located land in which we had little access, having regard to prices, over the past two years, as Levallois and Issy les Moulineaux.

In the services, the recurrence of a portion of their fees provides a regularity of revenue. In transactions, we assist our customers in 25 countries through our direct locations and our alliances. Generally, we expect well continue to improve our market share by implementing a commercial policy more focused on the client, according to its type, and not only on the real estate assets. Finally, we have today of the prudent policy of recruitment of the past years, which limits our level of charges.