The ambitious infrastructure planned for “Grand Paris” development is to consolidate its leadership in the sector of fairs, trade shows and conventions and become A FACILITY OF INTERNATIONAL SCOPE.
At the foot of Europe’s leading land-air-rail multi-modal travel hub, ITC Paris will offer a package of services that will satisfy all users of tourism, fairs, trade shows and business conventions. They will appreciate its easily accessible, large-capacity multi-purpose spaces equipped with the latest NICT equipment, environmentally-friendly buildings and high standard of hotel accommodation complete with quality services available for sophisticate international clientele.
France [Île de France]
Estimated project cost
EUR 750 million
Urban Mobility Projects
Partial financing secured
Economic rationale / Business Model
This first integrated convention and business tourism complex, at the heart of the Roissy-en-France economic cluster within easy reach of Paris, will instil real impetus on a European scale. It will give Paris the ideal infrastructures for continuing to rank first in the global landscape of tourism, fairs, trade shows and conventions. Backed by local and national authorities, ITC Paris opens up new prospects for the EU business tourism market, aspiring to host 500 events a year that will draw a total of 1.2 million visitors. The ITC was developed to meet a primarily European demand in the segments of conferences with 300 to 3,000 participants, B to B trade shows and corporate events. To date ITC Paris has identified close to 1,600 “rotating venue” type events with attendance ranging from 300 to 3,000 that are organized in Europe and have seldom, if ever, been held in France. ITC aims to compensate for what is lacking on the Paris market and attract a new clientele by offering high quality services.
Completion time: 3 years. Expected investment pay-back period: 15 years. Detailed estimates of returns to investors (for different envisaged layers of financing, private or debt equity) available upon request.
Project financing secured: EUR 277.50 million (37 %)
Self participation: EUR 277.50 million (37 %)
Financing source: Private
The target raise is €490m and the investment will be used to fund the construction of the project development.
FINANCIAL STRUCTURING. Total forecast investment: €750m; where around 27% have been already invested by the Brazilian investors: €200m; where 10%-15% are pre-approved to be leveraged with France Development Bank in the form of equity (approx. 60m). The net result of the conservative approach towards financial forecast is an expected net cumulative EBITDA of €96,768m by 2036.
The promoter has received / applied for EU / EIB financing support related to this project.
Existing or potential bottlenecks for the realisation of the project / Potential risks
The 2008 crisis has led to profound changes in users’ behaviors with respect to fairs,shows and conventions: clients want more content and fewer non-essentials,as spending considered too lavish has come to be bad for a company’s image. Creating a venue where all the desired features/services are focused in a single place and that offers a package proposed by a single vendor has become a priority in MICE field. Still the main issue regarding investments with high budget remain the capital access.
Project additional information
Just 4 km from Paris-CG Airport, ITC Paris will be able to capitalize on its central position to expand its scope throughout EU. With 63.8 million passengers, the Paris-CG Airport platform is the busiest continental European airport and ranks eighth in the world in passenger traffic. The support of the first-rate logistics hub of the northern Paris region has put it at the top of the list of EU airports for freight as well. With passenger traffic mounting and investment reaching €3.1bn over 5 years, the outlook is positive: annual growth is expected to reach 2.5% between 2016/2020. ITC will create 2,500 new jobs and contribute to the economy,and has consequently received the full support of the authorities at the highest government level.
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A free translation into English has been provided by the European Commission on this project, for information purposes only. The original language version is the authentic version.