23 Apr 2018
Rent rises for all Bouwinvest tenants in the free-market residential rental sector in the Netherlands will be limited to a maximum of inflation plus-1.0% in 2018, the institutional real estate investment manager has confirmed.
As one of the largest residential investors in the Dutch market, Bouwinvest has been closely involved in the debate about the affordability of housing with politicians, administrators and the media. We take our social responsibilities very seriously and the affordability of homes is a major concern for us, which is why we have take the decision to cap rent increases. Bouwinvest is also taking a close look at the possibility of reducing the income requirements for rental properties and the system of allocating homes based on income levels. We’ve also urged the government to consult with all key stakeholders in the residential market on finding solutions for the severe structural supply problems in major cities.
With more than 20 years of experience of investing in urban areas, Bouwinvest understands the importance of the affordability of housing. We believe that by creating affordable and inclusive cities where people want to live and work, we can also better guarantee the future value our investments In these areas.
Finding structural solutions in new buildings
In the attached position paper, we explain our point of view and focus primarily on structural solutions. Ultimately, we believe these lie in a cooperative approach between private and public parties and compromises from all parties are essential:.
Michiel de Bruine, Bouwinvest Director of Dutch Residential Investments, said: "Shortage of housing, especially in the mid-market segment in the larger cities, is a problem that we all have to deal with. Structural solutions take time and the cooperation between the various stakeholders are not up to speed yet. For now, we have focused on a temporary solution which has a direct positive impact on the living costs of our tenants."