But the project is also controversial locally as it will force the relocation of residents, businesses and even schools in the area where the village is to be constructed.
Prime Minister Edouard Philippe launched the works, which are set to last over three years, in the suburb of Saint-Ouen. Putting a strong emphasis on legacy, the authorities plan after the games to reconfigure the area into a new neighbourhood that will offer a total of 3,000 homes and also increase participation in sports.
"If we want them (the Games) to be a success we must make sure that all this organisation, all this financing and this mobilisation does not just vanish when the Olympic flame goes out," said Philippe as he launched the works.
Legacy is now a huge aspect of Olympic developments, especially after the success of the London 2012 Olympics which helped breathe new life into the east of the British capital. There have already been protests locally against the Olympic village project, which requires the clearing of a zone that is home to over 20 businesses, three schools, a hotel, a student residence and a residence for foreign workers.