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LuxReal has renewed its executive board, welcoming new members. We invited them to introduce themselves and share their perspectives on the challenges facing the real estate sector in Luxembourg. Tom Hamen (Partner at Loyens & Loeff) shares his insights on the challenges and opportunities for Luxembourg real estate, both locally and globally.

Why did you decide to join the LuxReal board? How would you like to contribute to the association?

When the opportunity came up to join the LuxReal board as a representative of the tax profession, I didn’t hesitate. I’ve always admired how active and dynamic the association is—which strongly resonates with me. LuxReal does an outstanding job of bringing together professionals from all corners of the real estate world, creating a space where ideas, expertise, and perspectives can be shared openly.

What really motivated me to step forward was the chance to contribute to that mission in a meaningful way. I believe there’s a lot of value in building stronger bridges between the real estate and tax worlds. One of my goals as a board member is to make tax topics more approachable and meaningful for real estate professionals—whether through events, discussions, or practical insights.

I’m excited to be part of this journey and to support the continued success of LuxReal.

What does LuxReal mean to you? Why is this association essential today?

To me, LuxReal stands for collaboration, networking, and federation—values that are especially vital in challenging times. It’s more than just an association; it’s a platform where professionals from across the real estate sector come together, support one another, and move forward as a community.

LuxReal also represents sharing experiences, insights, and knowledge. This exchange is incredibly powerful—it has the potential to elevate the entire Luxembourg real estate ecosystem, from local practitioners to large-scale international investment platforms. By learning from each other and working together, we can drive innovation, strengthen connections, and help shape the future of real estate in Luxembourg.

What is your view of the Luxembourg real estate market today and, more generally, of the development of the real estate business from Luxembourg?

That’s a complex question, mainly because it depends on the perspective you take. From a local perspective, the Luxembourg real estate market is clearly facing challenges. This isn’t new, but it continues to shape the day-to-day reality for many professionals in the sector.

However, Luxembourg’s role goes far beyond its borders. As a global financial centre and a key hub for structuring international real estate investments, Luxembourg is deeply connected to the broader global real estate ecosystem. This inevitably exposes it to global political, economic, and environmental shifts.

But this global exposure is not just a risk. It’s also an opportunity. Luxembourg is uniquely positioned to benefit from upward trends in other parts of the world. When international markets grow or shift in new directions, Luxembourg can play a central role in facilitating and supporting that growth through its financial and legal infrastructure.

In short, understanding where the Luxembourg real estate market stands today requires a dual perspective—local and global. And in that complexity lies both challenge and potential.

What do you see as the main challenges facing the sector in the coming months?

The real estate sector is facing a number of challenges.

One of the most pressing is the need to adapt existing structures to meet modern standards—especially in terms of environmental performance. Improving the energy efficiency and sustainability of older buildings is not just a regulatory requirement. It’s a responsibility we all share in the face of climate change.

At the same time, we must ensure that housing remains affordable. As urban populations grow and construction costs rise, striking the right balance between quality, sustainability, and affordability is becoming increasingly difficult—but absolutely essential.

Another major challenge is the impact of global migration, which is being driven by a combination of environmental changes, geopolitical instability, and economic pressures. These shifts are reshaping housing needs and urban planning priorities around the world, and Luxembourg is no exception.

Addressing these challenges will require a coordinated effort across sectors, disciplines, and borders.