Newsletter | Real Estate

Newsletter | Real Estate

5 minutes de Smart Law | May 2025

Our Paris Real Estate team offers you an overview of legislative developments, analyzes new regulations, and highlights court decisions shaping the real estate landscape.

 

REAL ESTATE TAX

Temporary Increase in Transfer Duties on Property Acquisitions

The 2025 Finance Act allows departments to temporarily increase the transfer duty rate on property sales (5% instead of 4.5%), leading to an overall tax rate of 6.3185% (instead of 5.80665%). This increase may apply starting April 1, 2025. Paris and neighboring departments have already voted for this increase.

Sandra Fernandes

 

COMMERCIAL LEASES

Entire Indexation Clause Deemed Unwritten: How to Calculate the Refund Claim?

If the indexation clause in a commercial lease is entirely deemed unwritten, it could not have produced any effect. Therefore, the original rent amount, unindexed, must be used to calculate the refund claim, not the rent paid at the date the limitation period began.

Court of Cassation, 3rd Civil Division, January 23, 2025, No. 23-18.643

Géraldine Piedelièvre

 

CONSTRUCTION

Off-Plan Sale (VEFA): Reminder of the Inapplicability of General Contractual Liability

Buyers of a property under VEFA (off-plan purchase) sued the seller for certain defects based on general contractual liability. The Court of Cassation upheld the Court of Appeal’s decision to declare the claims time-barred because they concerned the dimensions of a parking space—a visible defect that could only be remedied under the guarantee for apparent defects provided by Article 1642-1 of the Civil Code.

Court of Cassation, 3rd Civil Division, February 13, 2025, No. 23-15.846

Aurélie Dauger

 

RESIDENTIAL

Energy-Inefficient Dwellings: Tougher Rules for Ongoing Leases?

A second bill aiming to clarify energy efficiency standards for housing was adopted by the Senate after debate on April 1, 2025. In its current version, it does not apply to ongoing leases. Corporate landlords would have an additional three years after the conclusion or tacit/formal renewal of the lease to complete compliance works for properties rated G.

Sidonie Fraîche-Dupeyrat

 

CONDOMINIUM AND LAND MANAGEMENT

Works Affecting Both General and Special Common Areas: A Single Vote Is Enough!

When a decision authorizing works concerns both general and special common areas, it must be adopted by the general meeting gathering all owners of the general common areas, without requiring an additional authorization from owners of the special common areas.

Court of Cassation, 3rd Civil Division, February 6, 2025, No. 23-18.586

Jérémy Regade

 

Severe Sanction for Syndic Appointment Cancellation: Refund of Fees

If the decision of the general meeting appointing a property manager (syndic) is canceled, the fees received must be refunded to the condominium association, even if the syndic performed its duties during the interim and had its mandate renewed several times.

Court of Cassation, 3rd Civil Division, February 27, 2025, No. 23-14.697

Jérémy Regade

 

***

2025 Real Estate Update Brochure

The crisis in the real estate sector continued in 2024, resulting in difficulties, layoffs, and liquidations. However, new players are emerging with innovative approaches. Restructuring, redevelopment, and mixed-use buildings are gaining traction, now incorporating an essential ecological dimension. The law is adapting to these developments, and our 26th edition highlights the key aspects. Discover our brochure (in French) here.

 

Clémence Legout Appointed Partner and Head of the Restructuring Practice

Clémence supports companies, executives, shareholders, and creditors in preventive and judicial procedures and advises buyers of distressed businesses.

At LPA Law since 2020, she now leads the Restructuring practice, with the ambition of accelerating its development. She offers a full-service approach in synergy with the firm’s other areas of expertise, particularly real estate, and handles cross-border cases. Discover her profile!

Clémence Legout

 

Marianne Sajus joins as Counsel

With nine years of experience in real estate law at international law firms, Marianne handles complex transactions — including financing, acquisitions, sales — and leasing operations for both completed and off-plan properties. She advises investors, banks, and occupiers on all types of assets. Her experience at a law firm with an integrated notarial office has provided her with strong expertise in land and regulatory matters.  Discover her profile!

Marianne Sajus

 

Improving building energy performance: self-consumption and its alternatives

Self-consumption is a key lever for optimizing the energy performance of buildings. During a conference  co-organized with Carb0n on April 10, our Real Estate and Energy Law team explored various avenues for energy value enhancement — (self-consumption, power purchase agreements, ..) The session also covered regulatory incentives, financing opportunities through REITs (French SCPIs), the APER Law, landlord/tenant issues,
and the growing role of households in collective self-consumption. Need a clearer understanding or ready to take the next step? Let’s talk!

Céline Rifflet \ Pauline Maurus

 

LPA Law ranked again in the Chambers & Partners France Guide!

Several of our real estate practices have once again been recognized, with many of our lawyers also receiving individual distinctions.

Recognized practice areas:

• Band 1 – Environment
• Band 2 – Planning
• Band 3 – Real Estate

Individual rankings:

• Band 1 – Frédérique Chaillou, Hélène Cloëz
• Band 3 – Aurélie Dauger, Sandra Fernandes
• Band 4 – Sidonie Fraîche-Dupeyrat, Géraldine Piedelièvre

Discover all our rankings.

 

Our team also shines in the Legal 500 EMEA 2025!

Recognized practice areas:

• Tier 1 – Environment
• Tier 2 – Real Estate
• Tier 3 – Construction & Public Law
• Tier 4 – Tax

Individual Distinctions:

• Hall of Fame – Vincent Sol
• Leading Partners – Frédérique Chaillou, Hélène Cloëz, Sandra Fernandes, Sidonie Fraîche-Dupeyrat
• Leading Associate – Anne Delorme

Discover all of our rankings!

***

We remain at your disposal for any further information or assistance you may require in your projects.

The Paris Real Estate team

LPA Law