Buying an Investment Building: A Profitable and Controlled Strategy

A Market Accessible from €600,000

Contrary to common belief, investing in a full building is not reserved for institutional players.
The investment building market starts around €600,000, offering 200–300 m² properties in central areas of major French cities such as Lille, Lyon, Nantes, or Toulouse.

In Paris and its immediate suburbs, entry prices are higher — around €2 million minimum for equivalent assets.
For investors looking to share capital and optimize taxation, creating a French real estate company (SCI – Société Civile Immobilière) can be a strategic solution.

The Key Advantages of Buying in Block

• 10–20% price discount compared to unit-by-unit purchases,

• Lower acquisition costs, including registration fees and notary charges,

• Attractive rental yields, typically between 7% and 10%, depending on location and property mix.

Diversify Rental Risk and Maintain Full Control

Owning the entire building gives you the ability to spread rental risk across multiple tenants.
If one unit becomes vacant or a tenant defaults, the other rents help maintain stable income.

A diverse asset mix — such as commercial space on the ground floor and residential units above — further enhances financial security.
Equally important, you maintain complete autonomy over renovations and upgrades, without the constraints of a condominium.

This flexibility allows you to:

• Plan works in line with your cash flow,

• Create tax-deductible property deficits,

• And manage your investment at your own pace, while preserving long-term value.

Maximizing Capital Gains on Resale

While buying an entire building is financially efficient, selling individual units (by division) can significantly increase capital gains.
Before selling, you’ll need to:

• Divide the property into separate lots,

• Hire a licensed surveyor (géomètre-expert) to establish the legal description of division,

• Draft a condominium regulation,

• And obtain mandatory technical diagnostics.

Each apartment can then be marketed and priced independently, maximizing the overall resale potential.