A controversial cap on rent prices in Paris came into force on 1 August and has been met with concern and criticism from
estate agents and landlords. Under the new loi ALUR landlords will have to set the rent in accordance with the
average price per square metre in that area, up to a maximum of 20% more or 30% less than this average figure. The aim of the cap is to make Paris more affordable for low and medium income renters and it is expected to lower one in five new leases in the city which has seen a rise in rents of
42% in the past decade. However, estate agents and landlords warn it could discourage property investors from buying property to let in Paris, destablise the market and actually lead to a drop in the number of rental properties available. If the cap is successful then it is expected to be extended to other cities with high rents, including Nice,
Bordeaux and Grenoble.