Luxembourg, located in the heart of Europe, has a thriving economy and growing population. The city's office real estate market is booming due to the success of local businesses and their need for more space. As a result, there are many opportunities for companies looking to relocate or expand.
La Cloche d'Or
Nestled in the southwest of Luxembourg City, La Cloche d'Or is a burgeoning business district that has become a magnet for major players in the consulting, auditing, financial services, and banking sectors. The district's first buildings were erected in the mid-2010s, and since then, it has rapidly grown to become a hub of activity. La Cloche d'Or combines commercial, residential, and leisure spaces in a skilfully balanced manner, creating a lively and dynamic atmosphere. The Auchan shopping centre, situated in and around the district, offers numerous amenities and services, making it an ideal location for companies looking to provide their employees with easy access to everything they require. In the near future, La Cloche d'Or is expected to become one of the city's major business centres, with the arrival of the tramway in 2024 providing direct access to the rest of the capital and nearby Howard station.
Kirchberg
The Plateau du Kirchberg, located at the heart of Luxembourg City's bustling financial district, serves as a hub for major players in the financial industry. Alongside prestigious law firms, asset managers, and service providers to the fund industry, European institutions and major banks call this area home. Avenue John-F. Kennedy, with its distinguished character, adds to the allure of this neighbourhood. Its appeal has only continued to grow, with available space becoming increasingly scarce and highly sought-after. Over the past thirty years, the area has undergone significant development, with buildings that come available being renovated to meet the high standards of today's market. Moreover, the tramway that already serves the Plateau will soon connect directly to Findel, with plans for an extension of the line to the airport in the works. This expansion is expected to make the area even more alluring to major international players in the financial industry.
The Station district
Luxembourg's city centre and railway station areas are highly sought after by many due to its unique blend of prestige and accessibility. The city centre, also known as the Central Business District (CBD), is considered a prestigious location, favoured by companies looking to align themselves with Luxembourg's strong brand image. It's prime central location makes it an ideal choice for businesses seeking smaller office spaces ranging between 100m2 to 300m2. In recent years, the Station district has grown in popularity, thanks to its convenient access to public transportation and its proximity to the city centre. With several ongoing projects in the area, the Station district is experiencing a revival, making it a highly attractive location for businesses and individuals alike.
Belval
The district of Belval, located outside of Luxembourg's capital, is fast becoming a popular choice for companies looking to establish their offices. Known for its focus on knowledge and research, Belval is home to the University and several major research and development organizations in Luxembourg. However, the district is now attracting a growing number of businesses thanks to its intense development and large surface areas available for moderate rents. The Square Mile, a dedicated business zone in the heart of Belval, is being redeveloped on a former industrial site and is set to deliver around 200,000m2 of floor space by 2027. The area is particularly attractive to businesses that do not require customer-facing facilities, such as the back offices of financial institutions or large firms. One of the main advantages of the area is its proximity to the French border, which makes it easier for companies to attract cross-border talents and reduce their commuting time significantly. By choosing Belval as their base of operations, companies can benefit from the district's rapidly growing reputation as a hub for knowledge and research, as well as its strategic location and cost-effectiveness.
The towns surrounding Luxembourg City
The towns that are directly linked to Luxembourg City have become increasingly popular among businesses that seek to provide their employees with easy access to the office via car. For these companies, a location within the city of Luxembourg is not necessarily a requirement. Instead, they prefer a higher parking ratio, which is becoming increasingly scarce within the capital, to the prestige of being located within the city or the access to a wide range of services. One of the most attractive communes for these businesses is Howald, which is located at the junction of the Cloche d'Or and Bonnevoie districts in Luxembourg. This area is on the verge of undergoing a significant transformation and will soon be served by the tramway. The site will benefit from a new development dynamic, making it an ideal location for businesses looking to set up in Luxembourg.
The business hubs along the borders
With the aim of retaining and attracting talent more easily, an increasing number of companies are beginning to create hubs near the borders in the post-covid era. Due to tax and social security constraints, cross-border workers in Luxembourg are unable to work from home, leading employers to consider alternative ways to provide greater flexibility to their employees. One solution that has gained popularity is to offer workspaces closer to the homes of their staff, specifically, near the borders. However, establishing these hubs is challenging as space is limited, and it involves additional costs in terms of occupancy, layout, and management. Furthermore, it requires a complete rethinking of the organization to be able to accommodate and monitor teams when they are spread over several sites. It will be fascinating to observe how this trend develops over time.
For more information, please see:
CBRE Luxembourg. Focus on Luxembourg's business districts to set up your headquarters.
