The Impact of the Tram on Property Prices in Luxembourg

Since entering service in 2017, the Luxembourg tram has profoundly transformed urban mobility. But its impact goes far beyond transport: it is also redrawing the map of property prices.

The Luxembourg tram network

Current line and extensions

How the network has evolved:

• 2017: launch of the Luxexpo - Pont Rouge section
• 2020: extension to the Central Station
• 2023: extension to Bonnevoie
• 2024: extension to the airport
• Future: extension to Hollerich and Cloche d'Or

Neighbourhoods served

The tram runs through strategic areas:

• Kirchberg (European and business district)
• City centre (Place de l'Étoile)
• Central Station (multimodal hub)
• Bonnevoie (residential neighbourhood in transition)

Impact on property prices

The "tram proximity" effect

Studies show a significant impact:

• +5% to +15% within a 400 m radius of a station
• Stronger effect for apartments than for houses
• Anticipation effect: prices rise even before the opening
• Prices stabilise once the novelty effect wears off

The Kirchberg case

An emblematic example:

• Prices doubled in 10 years
• The tram accompanied the district's development
• Enhanced appeal for professionals working in the EU institutions
• Very strong rental demand

Bonnevoie: transformation under way

A neighbourhood in full transition:

• Arrival of the tram in 2023
• Major urban renewal
• Prices still affordable compared with the centre
• Strong potential for medium-term capital gains

Opportunities for sellers

Highlight the proximity

If your property is close to the tram:

• Mention the exact distance to the station
• State travel times to the main employment hubs
• Emphasise that no car is needed
• Include photos showing the nearby tram stop

Anticipate the extensions

For properties along the future route:

• Cloche d'Or: extension planned by 2028
• Hollerich: a district in full development
• Selling point: future value appreciation

Sellect.lu tips

To make the most of the tram effect:

1. Highlight tram proximity in your listing
2. Calculate and communicate travel times
3. Target buyers working in Kirchberg or the city centre
4. For future extensions, anticipate the value uplift
5. Consult an agency that knows the neighbourhood well