RANDSTAD OFFICE MARKET 2013 STATE of AFFAIRS Amsterdam Region

RANDSTAD OFFICE MARKET 2013 STATE OF AFFAIRS amsterdam Region

So far the Amsterdam conurbation has managed to distance concerned are Sloterdijk-Teleport, ‘Westelijke Tuinsteden’ itself quite well from the negative sentiment in the office and North. Especially Sloterdijk-Teleport is suffering market. Based on the number of transactions and the corre- heavily. Not only did demand for office drop significantly, the sponding take-up volumes, for several years now demand for area is also suffering from high vacancy levels. Office office space has been at a relatively high level. In the first six vacancy is a problem anyhow; a problem the Amsterdam months of 2013, the demand side again developed reason- office market has been dealing with for quite some time now. ably favourably. Taking a closer look at the office take-up At this moment approximately 17% of 6 million m² office figures, however, one cannot but ascertain that from a stocks are offered for rent or sale. This is but a fraction less spatial point of view, demand is not divided equally. For it is than the percentage of office space offered in late 2012. the city of Amsterdam in the first place where most dynamics can be sensed. In the adjacent municipalities of Supply is still high because in many lease transactions there Amstelveen and Diemen, demand for office space simply has been a shift and lessees have been taking up fewer would not get off the ground. square metres than those abandoned elsewhere. Companies and organisations that decide to extend their contracts, are Unmistakable differences are also noticeable in the Dutch also settling for less office space. One interesting example in capital itself. For instance, figures confirm that in recent this context is Reed Elsevier in Sloterdijk-Teleport. This years demand mainly involved Southeast, the city centre publishing company has decided to stay, but it will give up and South Axis. As for Southeast, lessees are mainly inter- half the floor area it has been using so far. ested in offices around the Amsterdam ArenA, which should not come quite as a surprise. Bearing in mind the proximity Even though 120,000 m² of office space were withdrawn of the train station and numerous facilities among other from stock last year in the city of Amsterdam, a solution for things, it is an attractive location for many companies. the high vacancy level seems miles away. In any event, due Whether this part of Southeast will manage to hold on to the to the ample supply of vacant offices, with the exception of a take-up figures of previous years despite its liveliness and few projects the construction of new offices almost came to a convenient accessibility, is a rather difficult question to standstill. Especially companies that require larger office answer. It is however clear that in the first six months of this space might have a problem finding enough floor area in the year, less office space was taken up compared to the same future. This, however, is less relevant in the short term as period in 2012. The same applies more or less to develop- the number of large-scale tenants looking for premises has ments in the popular South Axis business district. Again, slightly dropped. The ample availability of offices also inter- demand for office space in this area was comparatively fered with rents. Investors have been offering a lot (incen- rather low in the first six months of the year. Here, it should tives) and also, rents are clearly becoming more realistic. be noted that in 2012 the lease transactions with AkzoNobel This basically means that lower rental levels are realised and Stibbe ensured a high take-up level. almost everywhere.

Office areas in the city of Amsterdam which have been sailing against the wind as far as the take-up figures is

NVM Business RANDSTAD OFFICE MARKET 2013 Trends in office take-up per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 Amsterdam Centre 30,000 59,000 93,500 71,000 39,500 26,000 32,500 46,500 53,500 36,500 Amsterdam Sloterdijk-Teleport 28,000 29,500 21,000 35,000 33,500 13,500 7,500 11,500 2,500 11,500 Amsterdam West 19,000 54,500 50,500 55,500 24,000 22,500 17,000 19,500 13,000 0 Amsterdam South Axis 31,500 13,500 94,500 36,500 35,500 46,000 75,500 26,500 51,000 11,500 Amsterdam Southeast 93,500 55,000 45,500 71,500 65,500 37,500 39,000 66,000 75,000 8,500 Amsterdam North 1,000 0 14,500 16,500 16,500 0 2,500 1,500 5,500 1,500 Amstelveen 16,000 35,000 72,500 22,500 4,000 14,500 8,500 6,500 12,500 1,500 Diemen 1,500 4,500 24,500 2,500 6,000 0 500 5,000 0 3,000

Trends in office supply per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 Amsterdam Centre 142,000 190,500 130,500 136,000 109,000 139,000 150,500 135,500 168,500 162,500 Amsterdam Sloterdijk-Teleport 148,000 159,000 170,500 181,000 160,000 178,000 204,000 182,500 195,500 191,000 Amsterdam West 112,500 146,500 195,000 207,500 186,000 208,000 167,500 187,500 187,500 177,500 Amsterdam South Axis 186,000 206,500 184,500 194,000 147,500 131,000 91,500 81,500 72,000 81,500 Amsterdam Southeast 248,000 298,000 337,000 340,500 282,500 292,000 307,500 304,500 252,500 257,000 Amsterdam North 4,500 8,000 8,000 14,000 4,000 15,000 13,500 18,500 21,500 23,500 Amstelveen 114,000 106,500 94,500 72,500 109,500 126,000 144,500 159,500 171,000 172,000 Diemen 72,500 74,500 66,000 78,500 69,000 73,500 72,500 65,000 39,000 32,000

Availability rates per district mid 2013 Prime rental levels per district mid 2013

% € Amstelveen Amsterdam South Axis Amsterdam Sloterdijk-Teleport Amsterdam Centre Amsterdam West Amsterdam Southeast Amsterdam Southeast Amsterdam North Amsterdam North Amstelveen Diemen Amsterdam Sloterdijk-Teleport Amsterdam Centre Amsterdam West Amsterdam South Axis Diemen 0 10 20 30 40 50 0 50 100 150 200 250 300 350 Source: NVM Source: NVM

Typical rental bands per district mid 2013 Take-up and supply in Amsterdam 2 2 Amsterdam Centre 145 320 x 1,000 m2 Amsterdam Sloterdijk-Teleport 90 150 1,200 Amsterdam West 80 150 1,000 Amsterdam South Axis 230 330 800 Amsterdam Southeast 80 195 600 Amsterdam North 130 180 400 Amstelveen 100 180 200 Diemen 70 130 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 Supply Take-up Source: NVM

NVM Business RANDSTAD OFFICE MARKET 2013 The Hague and surrounding towns

After Amsterdam, the conurbation of The Hague has the space dropped significantly, also due to the lack of large- second largest concentration of offices in theNetherlands. scale tenants looking for premises. In addition, the number Nevertheless, this prominent position is only partly of small spaces – between 200 and 1000 m² - taken up in reflected in the take-up figures. Set against the total office Zoetermeer has dropped. On the supply side the situation stock, which is worth approximately 6.4 million m² in The is absolutely alarming, as the supply and take-up ratio Hague and surrounding towns, annual transaction volumes continued to worsen in 2013. This, however, is not only true are low. It is mainly because many office users are owners for Zoetermeer, but for other neighbouring municipalities which means they do not appeal to the open market. But in The Hague region as well. still, the letting market is not doing too bad. After a drop in 2011, recently demand for office space has been recovering The Hague, the city with the lowest vacancy percentage quite significantly. Last year 60% more office space was for years in the Randstad conurbation, has also been let and sold in the open market compared to the preceding witnessing more available floor area. This is mainly the year and if office lettings are a sign, then the figures for result of a large number of redundant government build- 2013 will be favourable as well. ings that have been coming onto the market. Although not all square metres are included, in a short amount of time Unlike in the past, the greater dynamics is mainly ensured the amount of office space on offer increased by almost by sectors like businesses services and the industry. Trans- 90.000 m². This has clearly affected the market sentiment. actions with e.g. 3M, APM Terminals, AT&T, Bird & Bird, To turn the tide to some extent, the authorities should CB&I Lummus, Damco, Huawei and Total clearly illustrate make the market feel more confident. Whether this will this. These transactions are not the only good news. Equally happen remains to be seen as the central government important was the decision of Nationale-Nederlanden to intends to drop more offices than it had intended earlier remain headquartered in The Hague. on, and mainly have fewer leased premises. Nevertheless, property agents are noticing a lack of high-quality supply Geographically, most dynamics in the office market can in The Hague, especially in the Central Station area. It be sensed in The Hague itself, with the city centre and is about buildings with a modern appearance and larger the Bezuidenhout district being the most popular loca- floors, which are preferably available for rent exempt from tions. The other office locations in the ‘residence’, like VAT. Affordable accommodation is becoming more and more Binckhorst and Congresgebouw (Convention Centre), are within lessees’ reach, as rents continued to drop and incen- clearly less in demand. Studying last year’s lease results, tives have become more interesting. Many office owners it turned out that outside the city of The Hague it was are now settling for fewer rental incomes in order to avoid mainly Zoetermeer that managed to turn in a better vacancy. Some owners will even agree to effective rents performance. Unfortunately, this positive trend did not only, losing the incentives. persevere. In the first half of this year demand for office

NVM Business RANDSTAD OFFICE MARKET 2013 Trends in office take-up per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 The Hague Centre 23,000 17,500 52,500 16,000 26,000 19,500 35,000 12,000 28,000 6,500 The Hague Benoordenhout 1,500 10,000 3,500 8,500 500 500 3,500 0 17,000 500 The Hague Bezuidenhout 39,500 48,000 29,500 7,500 2,000 32,500 41,000 21,500 11,000 25,000 The Hague Binckhorst 20,500 1,000 0 13,500 15,000 2,500 0 1,500 1,500 3,000 The Hague Convention Centre 35,500 1,000 6,000 3,500 2,000 9,500 1,000 7,000 1,500 3,500 The Hague Laakhaven 7,500 4,000 7,500 10,500 2,500 2,000 0 500 9,000 1,500 Rijswijk 16,000 23,500 5,500 40,000 15,500 7,500 13,000 5,500 10,000 5,500 Leidschendam 2,500 5,000 500 9,500 500 1,000 0 1,500 1,500 0 Voorburg 0 4,000 5,000 3,000 0 1,500 0 5,000 4,000 3,000 Delft 5,500 10,000 1,500 6,000 15,500 7,500 6,500 6,500 8,000 5,000 Zoetermeer 43,000 19,000 12,500 28,000 22,500 14,500 11,500 8,500 23,000 2,500 Trends in office supply per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 The Hague Centre 26,000 63,500 41,000 63,000 78,000 111,500 135,500 139,000 138,500 150,500 The Hague Benoordenhout 5,500 26,500 21,500 26,000 37,000 42,000 56,500 46,000 49,000 71,500 The Hague Bezuidenhout 59,000 44,500 20,500 26,500 53,000 62,000 50,000 52,000 66,500 113,000 The Hague Binckhorst 59,500 58,000 55,000 56,500 45,500 70,000 84,500 84,000 85,000 79,500 The Hague Convention Centre 24,500 32,000 37,500 38,000 17,000 31,000 34,500 27,500 33,000 34,500 The Hague Laakhaven 31,000 27,000 36,000 24,000 17,000 37,000 40,500 53,000 70,000 64,500 Rijswijk 93,000 95,000 114,000 133,000 135,500 189,500 193,000 221,500 244,500 246,500 Leidschendam 19,500 18,000 20,000 24,000 40,500 46,000 46,000 44,000 45,500 48,500 Voorburg 8,500 9,500 20,500 19,000 23,000 28,500 30,500 29,000 31,500 30,500 Delft 27,500 36,500 28,500 18,500 4,000 32,000 35,000 39,500 36,500 35,000 Zoetermeer 71,000 89,500 119,500 103,500 83,000 102,000 132,000 130,000 135,500 141,500

Availability rates per district mid 2013 Prime rental levels per district mid 2013

% € Leidschendam The Hague Centre The Hague Laakhaven The Hague Bezuidenhout Rijswijk The Hague Benoordenhout The Hague Binckhorst The Hague Convention Centre Zoetermeer The Hague Binckhorst Voorburg Voorburg The Hague Bezuidenhout Delft The Hague Benoordenhout Zoetermeer The Hague Convention Centre The Hague Laakhaven The Hague Centre Rijswijk Delft Leidschendam 0 10 20 30 40 50 0 50 100 150 200 250 300 350 Source: NVM Source: NVM

Typical rental bands per district mid 2013 Take-up and supply in The Hague 2 2 The Hague Centre 125 205 x 1,000 m2 The Hague Benoordenhout 120 170 1,200 The Hague Bezuidenhout 130 195 1,000 The Hague Binckhorst 60 140 800 The Hague Convention Centre 125 170 600 The Hague Laakhaven 85 135 400 Rijswijk 70 135 200 Leidschendam 80 120 Voorburg 75 140 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 Delft 90 140 Zoetermeer 85 140 Supply Take-up Source: NVM

NVM Business RANDSTAD OFFICE MARKET 2013 Rotterdam Region

Rotterdam’s office market, size-wise the third largest office Rotterdam’s laborious letting market, however, is not an market in the Netherlands, is anything but healthy. Unlike isolated case as demand for office space is also getting off Amsterdam and The Hague, after several years of growth, on the wrong foot in the adjacent municipalities of Capelle demand for office space is clearly coming to a standstill. aan den IJssel and Schiedam. Unfortunately, the dimin- The downward trend is indicated by the available lease ishing demand for office space in the region is not the only statistics. In 2012, almost 40% less office space was taken concern. Figures on the first six months indicate a rising up in Rotterdam compared to 2011. In the first six months number of offices available for immediate occupation. of this year, trends in demand were hesitant. Halfway through the year approximately 785,000 m² of office space were available for rent or sale, which is 18% of The main reason for this downward twist is said to be the the total stock. One interesting detail is that it is the city lack of major lease transactions. By now, most large-scale centre of Rotterdam in particular that is facing rising office users have found their spots and only a few compa- supply levels. This year relatively sizeable office spaces nies outside the region are prepared to relocate to became available on the Hofplein, Blaak and the Benthem- Rotterdam. But large-scale office users are not the only straat. In addition, the new development project called ones who at the moment are hardly interested in First Rotterdam near Central Station also pushed up the exchanging their existing accommodation for new alterna- supply levels. tives. Figures confirm demand for small and medium-size office space has also dropped significantly. Solutions for this rising vacancy in Rotterdam’s city centre are not readily available. Converting slightly older build- Even though every office location in Rotterdam is suffering ings into apartments offers little consolation, as the city from the stagnating trends in demand, locations on the already has many apartments on offer. None will be outskirts of the city must face the strongest decline. surprised to learn that the high availability of office space Especially the office markets in Prins Alexander and also has consequences for the rental levels in this city, for Kralingen are presently lacking any inspiration whatso- they have been facing more pressure even though the ever. To win lessees’ favour, Rotterdam’s city centre still has asking prices remained reasonably intact. Nevertheless, it the best credentials. Here, demand for office space is the incentives that went up in the first half of the year, remained reasonably steady in the first six months of this causing a fall in rental incomes. year. For instance, cable company UPC spotted a building on the Weena, while tank storage provider Vopak took on a lease for additional space in a project on the Westerlaan.

NVM Business RANDSTAD OFFICE MARKET 2013 Trends in office take-up per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 Rotterdam Centre 31,000 41,000 43,500 64,500 62,500 33,000 72,500 71,500 27,000 16,000 Rotterdam Prins Alexander 7,000 35,000 20,000 22,500 42,500 7,000 2,500 2,000 4,500 1,000 Rotterdam Kralingen 14,500 14,500 4,000 5,500 21,500 8,000 17,000 12,000 11,000 1,000 Rotterdam Waalhaven 1,000 3,000 21,000 1,500 5,500 500 4,000 12,500 6,500 3,500 Rotterdam South 20,500 38,000 51,500 14,000 16,500 2,000 18,500 1,500 5,500 0 Capelle a/d IJssel 24,000 16,000 24,500 8,500 25,000 21,500 13,000 11,000 10,000 3,000 Schiedam 26,500 500 1,500 3,500 17,500 4,000 5,000 18,500 2,000 0

Trends in office supply per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 Rotterdam Centre 156,500 180,500 159,500 164,000 142,500 271,500 280,000 307,500 323,500 377,000 Rotterdam Prins Alexander 43,000 47,500 26,000 27,000 16,500 17,000 28,500 60,000 81,000 82,000 Rotterdam Kralingen 19,000 31,500 39,500 53,000 41,500 54,500 52,000 53,000 54,500 60,000 Rotterdam Waalhaven 2,000 8,000 7,500 13,000 11,000 16,500 28,000 27,000 22,000 23,000 Rotterdam South 19,000 24,500 31,000 25,500 30,000 32,000 32,000 53,000 67,000 67,000 Capelle a/d IJssel 80,500 91,500 73,500 88,000 64,000 96,000 108,000 132,000 136,000 139,000 Schiedam 27,000 30,500 24,500 26,000 22,500 34,500 29,500 24,500 23,500 38,000

Availability rates per district mid 2013 Prime rental levels per district mid 2013

% € Rotterdam Prins Alexander Rotterdam Centre Capelle a/d IJssel Rotterdam South Rotterdam Kralingen Rotterdam Kralingen Rotterdam Centre Rotterdam Prins Alexander Rotterdam Waalhaven Rotterdam Waalhaven Schiedam Capelle a/d IJssel Rotterdam South Schiedam 0 10 20 30 40 50 0 50 100 150 200 250 300 350 Source: NVM Source: NVM

Typical rental bands per district mid 2013 Take-up and supply in Rotterdam 2 2 Rotterdam Centre 100 190 x 1,000 m2 Rotterdam Prins Alexander 120 150 1,200 Rotterdam Kralingen 140 170 1,000 Rotterdam Waalhaven 90 145 800 Rotterdam South 90 190 600 Capelle a/d IJssel 90 145 400 Schiedam 100 140 200 0 2004 2005 2006 2007 2008 2009 2010 2011 2012

Supply Take-up Source: NVM

NVM Business RANDSTAD OFFICE MARKET 2013 Utrecht Region

The office market in the city of Utrecht is having a hard office location in the city) has seen disappointing figures. time. Although slightly more office space was let and sold Unlike in previous years, lessees hardly showed up while in the open market in 2012 compared to the preceding year, supply continued to rise at the same time. By now one- demand for office space has dropped far below the city’s quarter of the offices is available for rent. One interesting average for the second year in a row. In the first six months detail is the fact that Kanaleneiland is not the only office of 2013, the office market was again dominated by disap- location with sizable availability. pointing demand levels. Indeed, a number of lease trans actions did catch the eye, like those with AM, PLUS and Papendorp too has a high supply level, which to a great UNIT4, yet many companies adopted a wait-and-see atti- extent follows from the departure of Capgemini that tude nonetheless. Especially the fact that many lessees recently relocated its headquarters to Leidsche Rijn. Even were more critical about their accommodation, interfered though supply is much higher than demand in most office with demand for office space. locations in Utrecht, property agents are detecting a lack of small spaces; these are offices anywhere between One of Utrecht’s areas which at the moment are suffering 200 m² and 500 m². heavily from the dropping demand, is the city centre where hardly any office space was taken up in the first six months As for the office market outside the city of Utrecht, the of this year. One would be inclined to think it is because of situation is not quite cheerful. Demand for offices is poor the insufficient supply to actually meet demand. In reality, in Maarssen as well as Houten, and supply remains this is not the case. In fact, office space available for imme- consistently high. Modest activity has been registered in diate occupation in the city centre has increased signifi- Nieuwegein, although the take-up volume is low. Never- cantly. For instance, substantial floor space is on offer in the theless, one did succeed in pushing back the availability municipal office that is under construction near the Central level by designating offices that have been vacant for a Station. Also, offices have become available in the same area long time for residential purposes. on the Daalsesingel and the Moreelsepark. Against this background, rents clearly dropping in this Although different lessees are considering new accommo- region should not come as a surprise. Parallel to this dation in the city centre, a further rise in supply is development, the incentives have gone up as well. lurking. In addition to the city centre of Utrecht, the Depending on the location and the duration of the lease, Kanaleneiland district too (size-wise the second largest they may even reach 30%.

NVM Business RANDSTAD OFFICE MARKET 2013 Trends in office take-up per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 Utrecht Centre 6,000 45,500 74,000 20,000 12,000 6,000 24,500 17,500 13,000 1,500 Utrecht Rijnsweerd 27,000 4,500 10,500 16,000 14,000 36,000 5,500 2,500 10,500 5,500 Utrecht Kanaleneiland 27,500 30,000 8,500 36,500 22,500 10,500 7,500 13,500 2,000 1,500 Utrecht Lage Weide 1,000 9,000 12,000 16,000 4,000 2,500 12,500 3,500 5,000 6,500 Utrecht Papendorp 45,000 31,000 12,000 9,500 29,500 11,500 23,500 16,500 9,500 11,000 Utrecht De Meern 15,500 7,000 1,500 3,500 2,000 5,500 500 1,000 500 0 Maarssen 1,000 4,000 1,000 4,500 6,000 1,000 2,500 3,500 500 0 Nieuwegein 7,500 37,000 13,500 17,000 10,000 9,000 12,500 12,000 8,500 3,000 Houten 4,000 34,000 3,500 5,500 10,000 6,000 2,000 5,000 500 0

Trends in office supply per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 Utrecht Centre 49,000 26,500 24,000 20,000 15,000 12,500 14,500 23,500 41,500 62,000 Utrecht Rijnsweerd 32,000 31,000 49,500 22,500 27,000 27,500 41,000 49,500 57,000 50,500 Utrecht Kanaleneiland 72,500 57,500 89,000 66,000 56,000 74,500 86,000 81,500 86,500 92,500 Utrecht Lage Weide 12,500 30,000 48,000 36,500 34,500 47,000 38,500 41,000 47,500 48,000 Utrecht Papendorp 17,500 28,500 37,000 51,500 46,500 55,500 65,500 60,000 97,500 94,000 Utrecht De Meern 18,000 12,000 20,500 18,000 17,500 23,500 28,000 29,500 33,500 33,500 Maarssen 25,000 24,500 35,500 33,500 24,000 45,000 47,500 44,500 45,500 45,500 Nieuwegein 81,500 92,000 95,000 80,000 90,500 127,000 159,000 176,500 173,000 157,500 Houten 33,000 23,000 23,000 22,000 10,500 23,000 39,000 40,500 45,500 48,000

Availability rates per district mid 2013 Prime rental levels per district mid 2013

% € Utrecht De Meern Utrecht Centre Maarssen Utrecht Papendorp Nieuwegein Utrecht Rijnsweerd Utrecht Papendorp Utrecht Kanaleneiland Utrecht Kanaleneiland Nieuwegein Utrecht Lage Weide Houten Utrecht Rijnsweerd Utrecht Lage Weide Houten Utrecht De Meern Utrecht Centre Maarssen 0 10 20 30 40 50 0 50 100 150 200 250 300 350

Source: NVM Source: NVM

Typical rental bands per district mid 2013 Take-up and supply in Utrecht 2 2 Utrecht Centre 140 190 x 1,000 m2 Utrecht Rijnsweerd 130 170 1,200 Utrecht Kanaleneiland 110 170 1,000 Utrecht Lage Weide 85 125 800 Utrecht Papendorp 155 185 600 Utrecht De Meern 80 125 400 Maarssen 80 125 200 Nieuwegein 75 140 Houten 100 130 0 2004 2005 2006 2007 2008 2009 2010 2011 2012

Supply Take-up Source: NVM

NVM Business RANDSTAD OFFICE MARKET 2013 Schiphol Region

Although the Schiphol region is in fact a stone’s throw from for rent is hardly changing. Halfway through this year the city of Amsterdam, it is entitled to special attention almost 325,000 m² of office space were offered for rent, nonetheless. As a business location for office-accommodated which is almost the same compared to year-end 2012. Like companies and organisations, the region has its own in previous years, Schiphol-Rijk has the highest vacancy market which in terms of size is considered one of the figures. One factor which could serve future office sales in largest markets in the Netherlands. At the moment approx- Schiphol-Rijk, is the diversion of the N201 provincial road imately 1.4 million m² of office space exists on and around in the area between the A4 and A9 motorways. From A4, the Schiphol airport. A significant part thereof is linked to Schiphol-Rijk will have its own exit to ensure better acces- office locations in Hoofddorp. sibility of the office area and faster flow of traffic. It also means that in practice, the difference in accessibility As figures reveal, for several years demand for office space between Schiphol-Rijk and Beukenhorst will be minor. has been very high in the Schiphol region, also due to Nevertheless, Schiphol-Rijk will only be able to really numerous new building activities in Beukenhorst-South in benefit from this once demand for offices picks up again. Hoofddorp. Even though demand for new constructions has declined afterwards, the take-up levels remained reason- As far as competitiveness is involved, the airport has little ably steady. In fact, last year slightly more than 40,000 m² to suffer and yet, supply and demand levels are incon- of office space were let in the open market (excluding sistent. Especially Schiphol Centre still has quite some floor owner-occupier construction). area to offer, mostly in the former Triport office complex.

Nevertheless, it looks as if the market will have to settle for In general, rents in this region managed to reasonably a modest office take-up in 2013. In Hoofddorp and Schiphol survive. The incentives too remained almost the same. too, considerably less office space was let in the first six Nevertheless, office rents were under even more pressure months of this year, set against the same period last year. in Beukenhorst-West. As a result, the price difference Not only are trends in demand reluctant but also, only a few between Beukenhorst-West and the other office areas in office users are prepared to rent accommodation for five Hoofddorp increased. years or longer.

Except the fact that the take-up figures in the region are falling short of expectations, the supply of offices available

NVM Business RANDSTAD OFFICE MARKET 2013 Trends in office take-up per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 Hoofddorp Beukenhorst West 3,000 11,000 13,000 8,000 3,000 1,500 3,000 4,000 5,000 1,500 Hoofddorp Beukenhorst East 6,000 2,500 13,000 15,000 8,500 16,000 500 13,000 7,000 5,000 Hoofddorp Beukenhorst South 7,500 2,500 3,000 20,500 28,500 14,500 14,000 8,000 11,000 1,500 Hoofddorp De Hoek 3,500 0 2,000 2,000 1,500 4,500 1,500 4,000 0 1,000 Schiphol 8,000 24,000 5,000 24,000 6,500 6,000 3,500 11,500 14,500 1,500 Schiphol Rijk 2,500 15,000 1,000 9,500 3,000 6,500 7,000 9,000 2,000 1,000

Trends in office supply per district 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 H1 m2 Hoofddorp Beukenhorst West 37,500 39,000 35,000 30,500 29,000 38,000 60,500 55,500 56,500 56,500 Hoofddorp Beukenhorst East 29,000 43,500 43,500 41,500 30,500 44,000 59,500 52,000 56,500 56,500 Hoofddorp Beukenhorst South 18,500 22,000 22,500 18,500 17,000 16,000 18,500 18,000 15,000 14,500 Hoofddorp De Hoek 9,500 7,500 7,000 7,000 13,500 27,000 27,000 24,500 31,000 33,500 Schiphol 40,000 35,500 38,000 27,500 34,500 32,000 39,000 28,500 30,500 31,500 Schiphol Rijk 54,000 58,500 61,000 61,000 61,500 77,500 76,000 61,500 66,000 68,500

Availability rates per district mid 2013 Prime rental levels per district mid 2013

% € Hoofddorp De Hoek Schiphol Hoofddorp Beukenhorst West Hoofddorp Beukenhorst South Schiphol Rijk Hoofddorp Beukenhorst East Hoofddorp Beukenhorst East Schiphol Rijk Hoofddorp Beukenhorst South Hoofddorp Beukenhorst West Schiphol Hoofddorp De Hoek 0 10 20 30 40 50 0 50 100 150 200 250 300 350 Source: NVM Source: NVM

Typical rental bands per district mid 2013 Take-up and supply in Schiphol region 2 2 Hoofddorp Beukenhorst West 100 135 x 1,000 m2 Hoofddorp Beukenhorst East 130 170 1,200 Hoofddorp Beukenhorst South 145 190 1,000 Hoofddorp De Hoek 85 130 800 Schiphol 150 350 600 Schiphol Rijk 80 150 400 200 0 2004 2005 2006 2007 2008 2009 2010 2011 2012

Supply Take-up Source: NVM

NVM Business RANDSTAD OFFICE MARKET 2013 Definitions

Office Supply A spatial and independent unit used for office Office space immediately available for rent activities or supporting activities in the first or sale. Supply does not include offices under place. Office space that is part of industrial build- construction and offices which are yet to be built. ings, universities or hospitals is not considered to Supply includes vacant and developing offices as be an office. well as spaces that are still being used but which are soon to be released. Supply is measured in Take-up buildings covering at least 500 m². Lease and sales transactions taking place in the open market. Users who provide for their own Rent accommodation requirements (the ‘owner-occu- The basic rent paid per square metre of lettable pier development’) are not included in the take-up floor area, exclusive of VAT, service charges and volume. The same applies to sale-and-leaseback lessees’ specific fitting-out costs. agreements as well as contract extensions. NVM registers transactions starting at 200 m².

This publication has been produced with the assistance of: P van den Bosch Bedrijfsmakelaars (Amsterdam), Fris Bedrijfsmakelaars (Amsterdam), COG Makelaars (The Hague), Nadorp Makelaars (The Hague), Rob Swart Bedrijfshuisvesting (Zoetermeer), MVGM Bedrijfshuisvesting (Rotterdam), Ans de Wijn Bedrijfshuisvesting (Utrecht) and BT Makelaars (Schiphol).

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Composition Drs. R. L. Bak. Data source NVM Data & Research, Nieuwegein. Design Proof Studio, Amsterdam. Photography Boudewijn Stap, G&S Vastgoed, Pieter Kers, Huib Nederlof.

August 2013

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