Q3 2019 Amsterdam Market Report

Rising occupier demand and less construction activity in Amsterdam in recent years have sharply reduced vacancy and caused rising rents. New supply is limited and often pre-let. The demand for high-quality office space at multimodal locations with a mix of living, working, shopping and recreation remains high. The lack of such buildings/developments causes rents to rise and result in low take-up. Due to insufficient supply of offices with big floors plates and substantial demise (>3,000 m2) within the Amsterdam CBD, occupiers are also moving to adjacent locations such as Amstelveen and Hoofddorp or other big city centres as Utrecht or Rotterdam. The risk of a stronger supply response going forward and an uncertain development of the economy in the years ahead could slow down office rental growth in the next years.