France finalizes draft law mandating EPC rating C minimum for all rental properties by 2028
The French National Assembly's Commission on Sustainable Development published draft amendments to the Climate & Resilience Law requiring all residential rental properties to achieve Energy Performance Certificate (EPC) rating C or higher by January 2028, expanding from the current G-F phase-out. An estimated 4.8 million rental units (42% of stock) currently fall below this threshold. The Economy Ministry estimates retrofit costs of €25,000-€45,000 per unit with limited subsidy availability for non-primary residence owners.
Avena analysis.
Historical EPC mandate escalations in the Netherlands (2019 label C requirement) triggered 11% valuation declines for non-compliant rental stock within 14 months, while Scotland's 2022 EPC-C standard for private rentals caused 6.2% price compression in affected segments. France's 2023 G-rated rental ban already produced localized 4-7% discounts in Paris arrondissements with older housing stock. The 2028 C-rating threshold affects a dramatically larger pool, with retrofit economics particularly punitive for investors in secondary coastal markets where yields are compressed and pre-1975 construction dominates. Falsifiability: signal invalidated if final legislation includes substantial state subsidy programs covering >40% of retrofit costs for rental property owners, or if implementation deadline extended beyond 2030.
Affected markets.
Detected 02 Jul 2026 · Tracking until 24 Dec 2027· CC BY 4.0