There is a major shortage of mid-market rental property in the Netherlands, particularly in urban areas. With more than 20 years of experience of investing in cities, Bouwinvest understands the importance keeping housing affordable. We believe that by creating affordable and inclusive cities where people want to live and work, we can better guarantee the future value our investments in these areas.
Bouwinvest started investing in property in 1952. Since then, we have built up a major residential portfolio in the Netherlands’ central urban belt, mainly in Amsterdam. We currently have over 20,000 homes under management and in our pipeline. More than 50% is made up of mid-market properties, with a rent of between €710 and €1,000 per month.
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, officials and the media. The shortage of housing, especially in the mid-market segment in the larger cities, is a problem that we all have to deal with. In 2018, we decided to raise the rents of our non-rent controlled properties by no more than inflation plus 1% - a temporary solution which has a direct, positive impact on our tenants’ living costs.
Local authorities, housing corporations, project developers and institutional investors are natural partners, because they all take a long-term view. They share a common interest: to develop an inclusive, undivided city which is stable in value and in which people genuinely want to live and work. Cities which are open to all, whatever their income, tend to be livable and economically strong – in other words, future-proof. We want to invest in these regions. At Bouwinvest, we consider this stability to be essential.
Ultimately, stimulating mid-market rental development is a structural answer to the demand for housing in urban areas. We believe the answer is a cooperative approach between private and public organisations and that compromises between the various interest groups are essential.
Find out more about our point of view in our position paper.
"Investing in affordable housing combines financial and societal interest"Michiel de Bruine Director Dutch Residential Investments