SPECIAL EDITION: A Fraction (Or More), One Part and Two Apartments For Sale at Kilometer Zero
In yesterday’s French Property Insider, we asked our readers if they have ever thought about sharing the usage and responsibility of one property with others who have the same goals in mind (Fractional Ownership). And in this special edition of Parler Paris, we’re going to ask you, too…but before we do, and before you start to complete our simple 10-question survey, we want you to know about three very special properties for sale in their entirety or in part (Fractional Ownership)!
Fractional Ownership in today’s economic environment is HOT!
“Fractional ownership simply means the division of any asset into portions or shares. If the ‘asset’ is a property, the title or deed can be legally divided into shares. In certain instances this is done by creating a ‘mezzanine structure,’ i.e. creating a company which owns the property then allowing multiple owners or investors to own shares in the company. Those shares can then be purchased and owned by more than one individual. The reasons for a ‘mezzanine structure’ can vary. Two common reasons are to allow transfer of shares without the need to reflect changes on the title or deed to the property, and for tax benefits.
“Shared ownership of the property and its deed will also entitle shareholders to certain usage rights, usually in the form of weeks. Conceptually, fractional ownership is not the same as timeshare. Fractional ownership affords much of the freedom and usage benefits offered in timeshare, however, the fundamental difference with fractional ownership is that the purchaser owns part of the title (as opposed to units of ‘time’). Therefore, if the property appreciates in value, then so do the shares. As with whole ownership, fractional owners can sell whenever they deem necessary or prudent, releasing the capital growth from their ‘bricks & mortar’ investment.”
Fractional Ownership in Paris is so hot, that just this week, two couples each purchased a share of “Le Palace des Vosges,” the luxury property that our group located (in the 400+ year-old Place des Vosges), purchased with investors, renovated (by Martine di Mattéo), developed as a fractional property and is representing for sale. This constitutes the 9th share sold (of 13) and once the 10th share is sold, the price will increase for the subsequent three shares, just like works of art do when the number of a print is ‘editioned.’
We represent a variety of Fractional Ownership Properties in Paris and elsewhere in France. Some of them were developed ‘from scratch’ just as was Le Palace des Vosges. Others were existing properties whose owners ‘fractionalized’ them for the purposes of selling them to recuperate some of their investment, but wanting to hold on to one or more shares for their own personal usage — which makes a lot of sense!
One of them is known as the “Jewel of the Seine.”
This rare Paris apartment is located next to Notre Dame and the Seine River, on the historic ‘Ile de la Cite.’ It has one master bedroom with a queen-size bed, and a second bedroom with twin beds, one-and- one-half bathrooms, and impressive views of Notre Dame’s towers. The building is on the banks of the Seine opposite the Hôtel de Ville and the Ile Saint-Louis. This ideal location is very rare, since there are so few buildings on this magical island located right in the middle of the Seine River — known as “Kilometer Zero” from which all points in France are measured. It simply doesn’t get more central than this.
The views of Notre Dame are breathtaking and the only noise you’ll hear are Notre Dame’s bells which ring only during the day. This is the heart of the historic center of Paris, and you can get anywhere in the city from this location.
The building is classed among Paris historical monuments. This apartment has been entirely renovated restoring its original wood floors, wood beams and moldings to their original beauty. The bathrooms and kitchen are exquisite. This apartment has been designed to offer you a very comfortable upscale residence for your Paris stays.
This special apartment on the Quai aux Fleurs is a Fractional Ownership based on one set of two-week shares per owner. This means the price of a share is as low as 39,900€ — very affordable for such luxury!
If Fractional Ownership suits your needs, and you dream of having your own “pied-à-terre” in the very heart of Paris where life in the city began, then the Jewel of the Seine may be your dream come true. To learn more, visit Jewel of the Seine or email [email protected].
If you prefer to own your own “pied-à-terre,” and still want to be in the same great location, the same owner has two offerings which might suit you perfectly.
One he calls “Rue Chanoinesse V.” Located on rue Chanoinesse adjacent to Notre Dame, is a 58 square-meter two-bedroom/two-bathroom luxury apartment on the ground level of an ivy-lined paved courtyard that makes an ideal rental property with a proven successful history of revenue.
What’s most interesting about this property is that because of its ground floor location, the short-term rental of this apartment perfectly complies with city ordinances and because it can remain under the management of the current agency, the new owner can rest peacefully while the returns flow in without one iota of hassle or downtime.
The asking price is a bargain at 845,000€, including all furnishings — 14,569 per square meter, when comparable properties are selling for about 1,000€ more per square meter…and in need of renovation! This is your opportunity to own a piece of the heart of the City of Light and make an investment you’ll enjoy for years to come.
The second one, known as Chanoiness VI, is an even more interesting proposition — because here’s your chance to purchase one part of the apartment or the apartment in its entirety. Two apartments have been combined — a studio with its own kitchen and bathroom and a one-bedroom with its own kitchen and bathroom, both united by one big beautiful 17 square-meter private terrace! And both apartments are in the same amazing historically classified building as Chanoinesse V!
You have the opportunity to either purchase the 25 square-meter studio on its own with access to the terrace, or the entire two-bedroom/ two-bathroom apartment. Both come completely furnished. Both come with ongoing rental revenues. There is nothing to do, but walk in with your suitcases and enjoy your own apartment that makes a perfectly sound investment in Paris.
The asking price for the studio alone is 395,000€, including all furnishings. Should you want to purchase the apartment in its entirety, the asking price is 950,000€, again, including all furnishings. Both are bargains considering this amazing location and the ability to move right in with no loss of revenue.
Special note: added to the cost of the properties for sale (with the exception of the fractional share), is a 3% finder’s fee and of course, notarial closing costs of about 7%. Financing here in France is possible on the purchase of these two properties, of up to 80% loan-to-value. Interest rates are currently as low as 3.5%! So, this is a great time to buy!
Now, if and when you’re ready to answer our 10 questions, simply go to Fractional Ownership Questionnaire (If you prefer, you may print it out, complete it by hand and fax it to: +1 (415) 520-1329.)
Thank you for your feedback! We’ll report the results in a future Nouvellettre®. And if you want to learn more about our Fractional Ownership properties, visit French Property Insider Fractional.
If you’re thinking seriously about purchasing either a share in the Jewel of the Seine, or Chanoinesse V or VI, don’t hesitate to contact us for more information at [email protected].
A la prochaine…
Editor, Parler Paris
(with Mimi Chang)
P.S. If you are not already a subscriber of French Property Insider, it’s easy to be — get 50 issues a year absolutely free — your chance to realize your dream of owning property in Paris or France! This weekly e-zine gives you insights, recommendations, tips and discoveries about buying and investing in property in Paris and France. Subscribe to French Property Insider and you’ll receive all 50 issues a year, plus you’ll have access to all past issues, archived articles, special reports and the latest Paris property price information — all at your fingertips and all absolutely free. Subscribe now! French Property Insider.
P.P.S. House Hunters International episode “Starting Over in Paris” – Episode HHINT-2807H airs November 3rd at 6:30 p.m. EST and PST! Don’t miss it…”While spending the summer in Paris as a law student, Mimi Chiang told her daughter Georgi she’d one day like to own a piece of this romantic city. But once she arrives with her two kids, real estate professional Adrian Leeds has a message that could threaten 10 years of dreaming. Homes in her 1 million budget are scarce. And most likely, they will need some work, especially if she wants the classic French style. Will she settle for small or spend thousands over her budget to create the vision she’s clung to for years? Find out when House Hunters International walks the romantic streets of Paris.”