Amsterdam,
16
January
2020
|
12:52
Europe/Amsterdam

2019 new record year for real estate investments in the Netherlands

CBRE identifies bottlenecks for the development of Dutch cities

  • Investment volume once again higher than in previous years
  • Pressure on cities is on the rise as investments in infrastructure and mobility lag behind
  • Available capital and willingness to invest are fuelling an unprecedented momentum
  • New report identifies three routes to return

Real estate investments in the Netherlands reached a new record high in 2019. At a whopping €20.8 billion, the investment volume surpassed that of previous record year 2018 (€ 20.7 billion). More was invested in residential real estate (€ 7.6 billion) and healthcare real estate (€ 1.1 billion) than ever before. These are the results revealed in CBRE’s annual analysis of the Dutch real estate market, Real Estate Outlook 2020, published today.

Rising pressure on cities

Despite the investment record in the real estate market, CBRE points out the drawbacks of growing urban economies. Quality of life in cities is under pressure, a fact that is demonstrated through issues with affordability, a healthy living environment and accessibility. Looking at the current situation in the market, CBRE strongly believes now is the time to take action and modernise cities.

Bart Verhelst, Executive Director Capital Markets, CBRE
With an excess of capital in the market, we see opportunities for finding solutions to these bottlenecks. The capital currently available and the willingness of international investors to invest are higher than ever before. That is why now is the perfect time to modernise cities in order to make sustainable growth possible and elevate Dutch cities to a higher level.
Bart Verhelst, Executive Director Capital Markets, CBRE

Joint urban regeneration

The challenges faced by modern cities, which are caused by a significant growth in population and rising employment opportunities, require a new vision and approach.

Erik Langens, Executive Director Capital Markets
The Netherlands requires a different outlook on the city of the future. Urbanisation, rising housing costs, sustainability requirements and more mixed functionality in buildings and areas all require joint urban regeneration efforts by governments and market players. Solutions including plenty of affordable housing, sustainable use of raw materials and creating critical infrastructure can only be found by joining forces”.
Erik Langens, Executive Director Capital Markets

Complete overview of the Dutch real estate market

A complete analysis of the expectations for the Dutch real estate market can be found in CBRE’s Real Estate Outlook 2020. This publication also identifies three investment routes to return. The full report with this year’s theme ‘Unlocking City Potential’ can be downloaded here.

About CBRE

CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2019 revenue). The company has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.