2024-03-18-莱坊-Dutch_Office_Market_Report_Q1_2024_4页_879kb

Dutch Office Market Report Summary: Q1 2024

The quarter one office market in the Randstad region (Amsterdam, The Hague, Rotterdam, Utrecht) showed mixed trends as summarized in this analysis.

Amsterdam experienced significantly high demand and lettings in 2023, particularly in the city center. Take-up was dominated by large companies (e.g., Philips, Salesforce) and SMEs, totaling over 210,000 sq m. Key areas like Sloterdijk and South Axis drove this trend. While demand was strong, availability increased due to new constructions and relocations, raising vacancy rates to about 10%, despite high office rents (ranging from 550 to 625 EUR per sqm per year).

The Hague had a relatively flat market compared to previous years, with moderate take-up around 60,000 sq m. Activity was concentrated in the city center, supported by large deals with institutions like the Central Government Real Estate Agency and Goldman Sachs. Favorable developments reduced vacancy in some areas, though availability rose in others like Rijswijk. The Hague Centre had average office rents between 130 and 230 EUR per sqm per year.

Rotterdam faced a subdued letting market in 2023, with take-up declining by 20% from 2022 to approximately 81,000 sq m. Demand shifted toward smaller spaces (200-1,000 sq m), impacting large deals. Increased availability due to older buildings being taken out of stock led to higher vacancy rates, reaching nearly 180,000 sq m in the city center. Rents varied but were generally affordable, with the city center ranging from 130 to 310 EUR per sqm per year.

Utrecht saw a sharp decline in demand over the quarter, with take-up slowing to about 60,000 sq m mostly from smaller occupiers. The market faced sluggish conditions, particularly lacking in larger floor areas. Reliance shifted to smaller spaces (200-1,000 sq m), but vacancy rates increased, with nearly 271,000 sq m available. Key areas like Rijnsweerd and Kanaleneiland underperformed, while Science Park showed some offset through increased availability. Utrecht's office rents were generally lower, from 90 to 325 EUR per sqm per year.

Overall, Q1 2024 was a mixed quarter, with strong performance in Amsterdam and The Hague due to high demand and strategic lettings, contrasted with reduced activity in Rotterdam and Utrecht. Vacancy and availability dynamics varied, influenced by economic factors and specific local developments.