Thursday 09 December 2021

Office vacancy rate is nearly double accepted estimate: report

The Dutch office vacancy rate is closer to 27%, rather than the accepted 15%, because over six million square metres is rented but is not being used, according to advisory group AOS Studley in Saturday’s Financieele Dagblad.

This ‘hidden’ empty office space is the market’s blind spot, AOS Studley director Harold Coenders told the paper.

Many companies have reduced the size of their workforce but are tied to property rental contracts.

Fewer workers

‘Reducing the rental contract is much slower than letting staff go,’ Coenders told the paper. As a result, office blocks which have been rented out contain floors and rooms which are not being used.

Coenders expects this extra space to gradually reach the market, further pressuring prices.

Cuno van Steenhoven, head of real estate broker DTZ Zadelhof, said he is not surprised by the figures but argues that not all empty office space should be considered to be the same.

‘A Dutch vacancy rate says nothing,’ Van Steenhoven told the paper. ‘There is no national office market. It is one of micro markets at the level of a postcode. If you want to rent in Utrecht, the vacancy rate in Groningen is meaningless.’

Thank you for donating to DutchNews.nl

The DutchNews.nl team would like to thank all the generous readers who have made a donation in recent weeks. Your financial support has helped us to expand our coverage of the coronavirus crisis into the evenings and weekends and make sure you are kept up to date with the latest developments.

DutchNews.nl has been free for 14 years, but without the financial backing of our readers, we would not be able to provide you with fair and accurate news and features about all things Dutch. Your contributions make this possible.

If you have not yet made a donation, but would like to, you can do so via Ideal, credit card or Paypal.