CBRE Zuidas Amsterdam (Jun 2013)

8/12/2019 CBRE Zuidas Amsterdam (Jun 2013)

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June 2013

ZUIDAS AMSTERDAM

An insiders view


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Copyright 2013 CBRE. All rights reserved.Information herein has been obtained from sources believed to be reliable. While we do not doubt its accuracy,we have not verified it and make no guarantee, warranty or representation about it. It is your responsibility to

independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimatesused are for example only and do not represent the current or future performance of the market.This information is designed exclusively for use by CBRE clients, and cannot be reproduced without priorwritten permission of CBRE.


3/16AN INSIDERS VIEW ZUIDAS AMSTERDAM 3

INTRODUCTION

Since the first edition of ZUIDAS AMSTERDAM,

AN INSIDERS VIEW (2011) has been received

positively by those involved with or interested in the

office market at the Zuidas area, it is now time for

an update. All the more reason for an update is the

current split development visible in the Dutch office

market, where prime office locations are showing

relatively favourable market dynamics (continuing

demand, steadily declining vacancy), while the

opposite is happening at less popular locations.

Zuidas Amsterdam is a pre-eminent example of a

well functioning market, where the prime property

market is already tightening while companies are

still interested to settle down in the area.

The Zuidas Amsterdam office district stretches alongboth sides of the A10 motorway (ring road) in the

southern part of Amsterdam. The area begins at

the RAI conference complex in the east and ends at

the Tripolis office complex and the West/Zuiderhof

subarea in the west. In north-south direction, the

district stretches from Stadionkade to De Boelelaan.

Zuidas Amsterdam consists of three subareas.

The core area (also referred to as High South;

buildings 21 to 39 on the map) is the office cluster

immediately surrounding railway station Station

Zuid). This subarea is by far the largest and also

the most prominent subarea of Zuidas Amsterdam.The area is dominated by the World Trade Center,

the ABN AMRO headquarters, the Symphony towers

and the Mahler4-complex with office towers such

as The Rock and Toyo Ito. A new building under

construction is the Deloitte/AKD office tower

(The Edge), at the imaginary border between

the core area and subarea West/Zuiderhof.

The eastern subarea Vivaldi (buildings 42 55)

offers a number of older buildings, dating from

before the planned development of Zuidas

Amsterdam, but also a newer development such as

the Ernst & Youngs Cross Towers is situated here.

Vivaldi is situated in the immediate vicinity of railway

station Amsterdam RAI, near conference centre RAI.

Subarea West/Zuiderhof is the western part of

TOTAL OFFICE STOCK801,000 SQ M

NUMBER OF OFFICE

BUILDINGS

55

AVERAGE ANNUAL

TAKE UP 2007-2012

43,500 SQ M

VACANCY RATE

7.4%

QUICK STATISTICS 2013 Q1

Zuidas Amsterdam. It is a more diverse area

and offers a number of prominent buildings

such as the Amsterdam law court, the ING

House and the Zuiderhof complex. Virtually all

buildings are all located along the north-south

axes Amstelveenseweg and Parnassusweg/

Buitenveldertselaan.

One of the success factors of Zuidas Amsterdam

is that the area was initially an extension of the

traditional prime office districts of Amsterdam

Oud-Zuid and Centre. Large companies in these

city districts were looking for larger and modern

office space and Zuidas Amsterdam was able to

meet these demands. This also explains why initially

particularly the financial and business services

sectors came to Zuidas Amsterdam, since these

companies also dominated the inner city districts.

The increasing presence of these sectors at ZuidasAmsterdam, however, eventually also attracted

related enterprises, head offices and national

branches of foreign companies to the office district.

The multifunctional character of the area has

contributed greatly to the success of Zuidas

Amsterdam as well. In the beginning it was difficult

to attract retailers to a completely new area, but the

more prominent companies the Zuidas attracted,

the more retailers became interested to start a

business. Today, the core area of Zuidas Amsterdam

accommodates about 64 tenants active on thefield of retail or consumer related services: 45%

of the tenants belongs to the so-called horeca

sector (hotel, restaurant, catering), 17% to the

actual retail trade and 24% to consumer related

services. Among the remaining part of tenants are

for example day cares, a dermatologic clinic and

a dentist. It should be noted that also the steady

construction of residential apartments since 2006

has attracted more retailers to the area. Today,

the Zuidas area offers about 600 residential

apartments, divided between six buildings, and

more residential projects are in the pipeline. Zuidas

Amsterdam will become a more multifunctional

area in the next two decades, thanks to many and

various projects still to be executed.


4/164 AN INSIDERS VIEW ZUIDAS AMSTERDAM

1 Gemini

2 Forum

3 Garden Court

4 Olympic Plaza

5 Tripolis Building 100



8 ING House

9 Zuiderhof Pavillion 1




13 Zuiderhof I

14 Zuiderhof II

15 Meerparc

16 Boer & Croon

17 Parnassus Tower

18 Vitrium

19 Anrooy Building

20 Parnascomplex

21 Prinses Irene Building

22 Freshfields

23 Strawinskyhuis

24 Winterthur

25 Atrium

26 Stibbe Tower

27 AKZO Tower

28 WTC H, I

1 2

3 4

5

6 7

8

9

10

11

14

13

15

16

12



29 WTC A - D, F, G

30 WTC E

31 The Rock

32 Graves

33 Violy

34 UN Tower

35 FOZ

36 SOM

37 Toyo Ito

38 ABN AMRO

39 Symphony

40 Lons

41 Metropolitan

42 Cross Towers

43 Vivaldi Offices I

44 Vivaldi Offices II

45 Antonio Vivaldistraat 12

46 Nijkerk Building

47 Binck Bank

48 Eurocenter II

49 NBA

50 The Boardyard

51 Stage

52 XL Insurance Building

53 Officia I

54 Officia II

55 Officia III

See page 15 for images of the listed buildings.

17

19

20

21

25

22

26

23

27

24

28 29 30

31 32 33

34 35 3637

38

39

40

41

42

4443

45

49 50 51 52

5355

54

46 47 48

18



0%

5%

10%

15%

20%

25%

30%

35%

Vacancyrate

Q12010

Q22010

Q32010

Q42010

Q12011

Q12012

Q22011

Q22012

Q32011

Q32012

Q42012

Q42011

Entire Zuidas Core area West/Zuiderhof Vivaldi

x1,0

00sqm

0

200

400

600

800

2012

2011

2010

2009

2008

2007

2006

2005

100

300

500

700

900

x1,0

00sqm

0

20

40

60

80

100

90

70

50

30

10

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

x1,0

00sqm

-40

-30

-20

-10

0

10

20

30

40

50

60

70

80

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

ZUIDAS AMSTERDAM OFFICEMARKET DYNAMICS

Take-up & vacancyAt a long-term (10 year) the average annual take-up

at Zuidas Amsterdam is roughly 44,000 sq m peryear. In this respect, however, it should be noted that

most office buildings in the district were built only

recently: in terms of square metres approximately

50% of total stock has been constructed after the

year 2000. As a result, most of the rented office

space has been taken up in a relatively short

period of time. Moreover, also in the period

between 2008 (when the economic crisis also

reached the Netherlands) and 2012, the annual

average take-up volume was virtually on the same

level as the long-term average.

Total stock increased between 2008 and 2012 by

a solid 100,000 sq m. Initially vacancy increased

as well, but it declined since 2010. As a result,

vacancy declined from about 89,000 sq m in 2008

Q4 to almost 62,000 sq m in 2012 Q4.

In the course of 2013 Q1, vacancy has shown a

little decline again and currently moves around

59,000 sq m, which implies a vacancy rate of

roughly 7.4%. In this respect, it should be noted

of course, that vacancy will increase again once

Stibbe and Akzo Nobel have physically moved to

their new office towers in the Beethoven subarea,

leaving their current office towers (The Twin Towers)

behind. On the other hand, this will possiblyalso bring about some movement on the Zuidas

market, where the market is gradually tightening,

while international companies are still interested in

suitable office space at the Zuidas Amsterdam office

district which is, however, currently hardly available.

As the table on the next page will show, there is also

hardly office space available at Zuidas Amsterdam

of 5,000 sq m or larger ((i.e. as a single lettable

unit). Besides, most companies currently looking at

the Zuidas for office space seem to focus on offices

with a floor area between 300 and 600 sq m.

Vacancy rate

Office stock

Take-up

Take-up net absorption



Top 10 available offices 2013 Q1

Most recent investment deals

Top 10 largest occupiers

RANK PROPERTY NAME SQ M OCCUPIER

1 ABN AMRO 67,000 ABN AMRO

2 Parnascomplex 46,300 Law Court Amsterdam

3 Cross Towers 25,900 Ernst & Young

4 The Rock 24,300 De Brauw Blackstone Westbroek

5 Forum 17,300 Loyens & Loeff

6 ING House 17,500 ING Group

7 World Trade Center, Tower I 15,100 NautaDutilh

8 Symphony 12,400 APG Algemene Pensioen Groep

9 ZuiderHof I 12,500 Van Doorne

10 Toyo Ito 12,300 Houthof f Buruma

RANK PROPERTY NAME SQ M AVAILABLE

1 UN tower 7,300

2 Atrium 7,031

3 Winterthur 6,790

4 Symphony 5,088

5 FOZ 4,858

6 Eurocenter II 4,504

7 World Trade Center, A-D 3,750

8 Garden Court 2,842

9 Tripolis Building 100 2,500

10 Meerparc 2,462

YEAR PROPERTY NAME SQ M BUYER PURCHASE PRICE

(X 1 MILLION)

2013 Akzo Nobel Tower 14,735 Union Investment (UniImmo) 82.1

2012 Violy 26,160 Deka Immobilien 139

2012 The Rock 29,665 WestInvest InterSelect 131.8

2011 Zuiderhof I 12,500 AEW Europe 61

2009 Zuiderhof II 17,500 LB Immo Invest / GLL Real Estate 54.5

2009 Eurocenter I 9,615 Binck Bank 24



15

14

13

8

5

Germany

Netherlands

USA

France

Other

5.65%

4.5

4.7

4.9

5.1

5.3

5.5

5.7

5.9

6.1

6.3

mrt10

jun

10

sep

10

dec

10

mrt11

jun

11

sep

11

dec

11

mrt12

jun

12

sep

12

dec

12

mrt13

%

REIM

Open/Closes

Private

Institutional

OOC

12

26

12

32

OWNERS

The available data about tenants and office

buildings at Zuidas Amsterdam show that the

area generally houses prominent, solvable tenants

in often high-grade core assets. Regardingoffice properties, the data also indicate that

these buildings are often multi-tenant facilities,

particularly the larger properties.

Type of owner

Nationality of owner

Prime yield Zuidas Amsterdam

Although such properties are generally more

complex to manage, the vacancy risk for this type

of property is also reduced, thanks to a variety of

tenants and the spread of expiration dates of the

individual leases. This fact is also being subscribed

by the low volume of completely vacant buildings

at Zuidas Amsterdam.

Regarding ownership at Zuidas Amsterdam, it

appears that only five out of the fifty-five office

buildings are owner-occupied. A notable fact

is that the lions share of owner-occupied office

metres is on the account of ABN AMRO and ING.

The remaining part of owner-occupied buildings

are small in scale and older, often built before the

planned development of the Zuidas district.

A large share of the owners of offices at Zuidas

Amsterdam concerns institutional-type investors.

Eight office buildings are directly owned by

institutional parties - such as pension funds and

insurance companies - and fifteen of the fifty-five

buildings of Zuidas Amsterdam are owned by

investment managers operating with institutional

money. As for private investors active at Zuidas

Amsterdam; they are often large-scale enterprises

with a similar investment scope as funds or

institutional investors.

Zooming in on the origin of investors, most

investors are Dutch, followed by German investors

and USA based investors, which are currently

equally represented at the Zuidas office investmentmarket. German investors are mostly open- and

closed-ended funds, but also a number of REIMs.

The remaining part of current office owners

consists of a few French investors and one Swiss

and one Irish investor (category Other in the

pie-chart).

Despite prominent tenants and often high-grade

assets, market activity at Zuidas Amsterdam is

limited: the period of 2008-2012 witnessed

only six deals. On the other hand, this may also

indicate that the office owners (apart from theowner-occupiers) tend to hold on to their assets

at Zuidas Amsterdam. 2012 witnessed the sales

of office tower The Rock (29,700 sq m) and

Violy (>26,000 sq m). 2013 started with a

notable transaction: developer Dura Vermeer

sold the Akzo Nobel Tower (under construction)

to Union Investment in Q1. In this respect it is also

noteworthy that, as we speak, there are several

office buildings put on the market for sale.

The initial yields at the Zuidas are generally the

lowest in the country and are often used as prime

office benchmark in the country. Between 2008

and 2012 the prime net initial yields moved

between 6.0% and 5.25%. The prime net yield

moved around 5.65% in 2013 Q1.



22%

8%

7%

14%

7%

22%

2%

2%

16%

Financial services

Lawyers & Notary

Business services

Public sector

Real Estate

Education

Industry, Transport, Energy & Trade

IT & Media

Other

40%

42%

8%

10%

4%5%

5%

10%

11%

11%

32%

22%

94

28

5650

10

10

11

5 7 12

4 2

10000 sqm

Sectors (% of companies) representedat Zuidas Amsterdam

Transactions by size category (2009-2012)

Transactions by buildings (2009-2012)

Number of companies & rented unitsat the World Trade Center

LEASES

Letting dealsIn the period of 2009-2012, about 73 letting

transactions (>500 sq m) were concluded at

Zuidas Amsterdam. This figure comprises both newcontracts (48 transactions) and lease renewals

(25 transactions). Together the leases cover nearly

207,000 sq m in total. Looking more closely to the

individual deals, almost 40% of the transactions

appears to involve office space smaller than

1,000 sq m. A slightly higher percentage (42%

of all transactions) involved medium-sized offices

(1,000-5,000 sq m). Between 2009 and 2012,

seven transactions occurred involving office space

larger than 10,000 sq m. The figures imply that the

tenant base at Zuidas Amsterdam is quite diverse

and that the office district does not depend on just

a few particular tenants or companies.

World Trade Center AmsterdamSplitting the aforementioned letting transactions

out by the office buildings involved, it is no surprise

that given its size and number of let table office

units The World Trade Center stands out with

regard to the total number of letting deals. I t

should be noted, though, that the figures here

concern letting deals >500 sq m only, so in fact

the number of let office metres at the WTC is

higher. The ratio renewals - new contracts at the

WTC complex in the aforementioned period oftime was about fifty-fifty. It is noteworthy that the

Symphony tower noted 8 letting deals in total,

which were also all new contracts.

Additional data about specifically the World Trade

Center tell more about the actual composition of

the tenant base at the WTC. The complex consists

of nine office towers - covering around 113,000

sq m in total - and accommodates around 300

companies. The two largest tenants in the WTC,

however, are NautaDutilh (15,000 sq m in Tower I)

and Kempen & Co (around 11,700 sq m in Tower E).

Thus, a massive amount of tenants in the WTCrents small offices. The tenant list tells that at least

238 tenants occupies a unit smaller than 500 sq m.

Moreover, of these 238 tenants, the majority

(94 tenants) rents a unit even smaller than 100 sq m,

almost one third of all WTC tenants.

A notable fact is that the office supply in the

WTC moves currently (at the end of 2013 Q1)

around a level of 3,750 sq m (3.3% of the total

WTC floor area). Another notable fact is that the

representation of sectors in the WTC complex is

hardly different from the representation of sectors

at the entire Zuidas Amsterdam. As the pie-charts

show, the composition of sectors accommodated

in the WTC corresponds largely with the general

picture at Zuidas Amsterdam.



x1,0

00sqm

0

20

40

60

80

100

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

2026

sq m

p

ersqmp

eryear

AverageWest/ZuiderhofVivaldiCore(High South)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

320

255

294 290

259

201

256238

19%21%

13%

18%

0

50

100

150

200

250

300

350

25%

7%

6%

17%

5%

21%

1%

0%

18%

Financial services

Lawyers & Notary

Business services

Public sector

Real Estate

Education

Industry, Transport,Energy & Trade

IT & Media

Other

Rental levels & incentives 2009-2012

Lease expiration dates

Sectors (% of companies) representedin the World Trade Center

In the Zuidas area as a whole, the financial

services and business services sectors alone are

responsible for more than half the number of

companies situated in the district. Particularly law

firms play a prominent role at Zuidas Amsterdam;

not only in number of companies but also in size of

occupied square meters. A solid five out of the tenbiggest office users residing at Zuidas Amsterdam

are law firms. In fact, all of the national head

offices of the countrys largest law firms are located

in the district. The presence of many corporate

clients and Amsterdams law court in the district

are a strong plus. A striking fact as well is that the

public sector only represents 2% of all office users

at Zuidas Amsterdam. This implies that business

networks, rather than the presence of public

bodies, form the cement that binds the district.

Expiration of contractsData about all known lease contracts at Zuidas

Amsterdam indicate that the average lease length

in the office district is approximately 7.5 years,

while the standard lease length for new contracts

in the Netherlands is 10 years. An analysis of all

known lease contracts indicates also that there

is a dip ahead, in the year 2018. Almost no let

square meters will expire in 2018. The explanation

is simple but striking; calculating back the average

10 years, we end up in 2008, the year of the

financial crisis. In this year almost no 10 year lease

contracts were signed. It should be noted, though,

that the expiring office metres in 2018 can stillincrease in the coming years, since companies are

currently more and more opting for shorter lease

periods. As for the years 2016 and 2017, the

opposite is true: ten years prior, in 2006 and 2007,

tenants easily signed lease contracts of 10 years.

As a result, somewhat more stir is to be expected in

the Zuidas office letting market in 2016 and 2017.

Rents & IncentivesThe rent levels at Zuidas Amsterdam differ per

subarea. While the highest rent paid at subarea

Vivaldi (most recent transaction) was 250 per sqm per year, some of the better offices in the WTC

in the core area generate a rental price of about

380 (most recent transaction). The average

rent at the Zuidas paid as of 2009 until the end

of 2012 is 290 per sq m per year. It appears

that the closer the office is situated to Station

Amsterdam Zuid, the better the quality of office

space and the higher the rental price.

Although incentives are not a typical Dutch

phenomenon, it is particularly the extent to

which they are used in the Netherlands which is

exceptional and it is difficult to determine the actual

level of the paid rent.As of 2009, the average

incentive at the entire Zuidas office district was

18%, based on the available data about letting



Knowledge QuarterThe construction of an additional building for

the VU university (Vrije Universiteit Amsterdam)

started in January 2013. Project O2 (working

name) covers 35,000 sq m and 13 floors. It is

part of the campus development of the VU and

VU Medical Center in the so-called KnowledgeQuarter. O2 will house laboratories, but it will

also offer educational facilities and office space.

The completion is planned for 2015.

Gershwin: De ZuidschansThe 46 units of residential project Op Zuid (subarea

Gershwin) are already under construction. Op

Zuid, to be completed in 2014, offers studios,

apartments, city garden apartments and pent-

houses and is part of the larger development

project De Zuidschans. The start of the construc-

tion of the other schemes is still unknown.

Gershwin (Cluster 11+12): SummertimeProject Summertime in subarea Gershwin consists

of two buildings with 197 middle-segment rental

apartments and 1,000 sq m of commercial space

at ground level. The start of the construction of

the project is planned for 2014 and its completion

for 2016.

Frederik RoeskestraatFrederik Roeskestraat - situated between city

district Oud-Zuid and Zuidas Amsterdam - will

become a more mixed area. The constructionof a new office pavilion will start in June 2013.

The construction of a residential project (128

dwellings) is scheduled for 2014.

Ravel ResidenceIn the southeastern part of Zuidas Amsterdam,

the construction of Ravel Residence (820 student-

homes) should start in the autumn of 2013.

The completion of the complex, situated at the

junction De Boelelaan/Antonio Vivaldistraat,

is planned for 2014.

ZuidasDok (dock model).

Artist impression:

DRO Amsterdam

NEW DEVELOPMENT

Although a significant part of the plans at Zuidas

Amsterdam is already completed, there are still

several projects in the pipeline.

ZuidasDokThe infrastructure at the Zuidas area will be

improved. Firstly, the development of the new

metro connection Noord/Zuidlijn is in fullswing. Its completion is planned for 2017.

Secondly, the southern ring road A10 will be

widened and tunnelled (ZuidasDok, dock

model). The railway, however, will stay above

the ground. Furthermore, the platforms of

Station Zuid will be widened, instead of the

initially planned extra platforms. The construction

of a new station building for Station Zuid has

been postponed. The number of shops and

consumer services at Station Zuid should increase

substantially, concrete figures are not available

yet. According to plan, the current shops insideStation Zuid will move to the outside of the

station.

Deloitte, Akzo Nobel & StibbeAlready under construction are the new office

towers for Deloitte/AKD (40,000 sq m, border

core area) and Akzo Nobel (>15,000 sq m,

core area, Beethoven). The completion of

these offices is planned for 2014 and 2015

respectively. As we speak (2013 Q1), the Akzo

Nobel tower has been purchased by Union

Investment. The start of the construction of the

office tower for Stibbe (>14,000 sq m, core

area, Beethoven) is planned for 2013 and its

completion for 2016

transactions, both renewals and new contracts.

Average incentives are highest at subarea Vivaldi,

followed by the core area. In other areas the

picture is more diffuse; some larger deals without

any incentives influence the average incentive

percentage downwards.

The highest incentives granted exceed 30% ofthe contract s worth. For new lease contracts in

the core area concluded as of 2009 until the

end of 2012, with a lease length of 10 years,

the average incentive was around 22%. With a

declining supply of high-grade office space and

continuing demand, rents are expected to remain

stable or even increase a lit tle in the near future.

The incentives will remain fairly stable, possibly

they may also show a little decline.



The Edge: Deloitte/AKD

Developer:OVG

Size:40,000 sq m

Completion:2014

Architect:PLP Architecture

1

2 3 4 5

Goldstar

Developer:Maarsen Group

Size:160,000 sq m

Completion:unknown

Architect:Meyer en Van

Schooten Architecten

Project O2

Developer:Van Eesteren,

Wolter & Dros, Croon

Size:35,000 sq m

Completion:2015

Architect:EGM Architecten

Mahler 1000 & 900

Developer:G&S Vastgoed

Size:Mahler 1000:

9,500 sq m offices/860 sq m

commercial space.

Mahler 900: 20 penthouses

Completion:2015

Architect:Mahler 1000:

OeverZaaijer

Summertime

Developer:AM/Bouwinvest

Size: 197 rental apar tments/

1,000 sq m commercial

space

Completion:2016

Architect:SeARCH

9

1 2

4 53OVERVIEW NEWDEVELOPMENTS



Ravel Residence

Developer:Verweij Holding

Size:820 student homes

Completion:2014

Architect:OeverZaaijer

6 7 8 9

Zuidschans

Developer:Bouwfonds,

AM wonen, AMinvest,

Size:70,000 sq m

Completion Op Zuid

residential: 2014.

Other projects: unknown

Architect Op Zuid:

Max Lammers, Angeline

Stouten-Stuyts

Akzo Nobel & Stibbe

Developer:Dura Vermeer

Size:Akzo Nobel: 15,000 sq m.

Stibbe: 14,000 sq m

Completion: Akzo Nobel

2015, Stibbe 2016.

Architect:Akzo Nobel:

Group A. Stibbe: Jo Coenen.

Frederik Roeskestraat

Developer:All-in Real Estate

Size:128 dwellings.

Office space: 2,170 sq m.

Completion:2014/2015

Architect office pavilion:

Gent & Monk Architecten

6

8

7



RAI areaThe RAI conference complex will expand with

an extra conference hall (Scheldepleingebouw:

7,000 sq m). The start of the construction is

planned for 2013. A new parking garage

(1,000 parking spaces) is included (construction

start: 2014). Railway station Station Rai willget a new station building and extra tracks,

since the station will become par t of the new

metro connection Noord/Zuidlijn.

Projects in the planning stage:

Mahler 1000 & Mahler 900Office tower Mahler 1000 (subarea Mahler)

offers 7,600 sq m of office space and 860 sq m

of retail space. A residential tower will offer 35

apartments and about 1,000 sq m of commercial/

retail space at ground level. A parking garage

(225 parking spaces) is included as well.

Residential project Mahler 900 comprises 20

penthouses with large terraces and parking spaces.

GoldstarProject Goldstar (subarea West/Zuiderhof)

comprises 160,000 sq m of offices, residential

and facilities. The scheme is situated along the

ring road in the vicinity of the new Deloit te/AKD

office tower.

The above is just a part of all plans. The completion

of the Zuidas area, as is envisaged in master plan

Visie Zuidas of the Municipality of Amsterdam,

is planned for 2035.

CONCLUSIONS AND OUTLOOK

The office market in the Netherlands is now and

again pictured as a vacancy-ridden market with ahigh tenant mobility. This representation, however,

does not take into account the strong qualitative

differences that exist. Under the surface, the Dutch

office market is being sorted and a polarization

between prime and secondary office locations

is taking place. Tenants are looking for office

locations that offer accessibility, services, leisure

and a lively atmosphere. Tenants are also looking

for well-fitted, sustainable property which offers

them the flexibility and floor plate size to design

their work processes in an optimal way.

Office district Zuidas Amsterdam is able to meetthe occupier demands described above. The

importance of the area as office district is expected

to increase further in the coming years, since the

concentration of head offices and of the business

services sector at the strongest Dutch locations

continues. The market dynamics at Zuidas are

evidence to these trends; strong demand for office

space at Zuidas Amsterdam has resulted in a

steadily dropping vacancy rate - even in a tough

time for the real estate sector in general - which

currently moves around 7.4%. The Zuidas area

shows a tightening market with an increasing

scarcity of prime office space. As a result, new

construction of office space in the area will

become necessary again, sooner or later.

Currently, a number of infrastructural, residential,

office and other projects are under construction

or will commence rather soon. These projects will

shape the Zuidas area further and will contribute

to its multifunctional character. It should be noted,though, that plans which are in the planning stage

(for instance Mahler 1000 & 900 ) will be realised

only when a tenant/occupier has been found. All in

all, Zuidas Amsterdam will become more and more

attractive as working and living environment in the

years to come and given the current demands from

both office users and job seekers combined with

demographic trends, its prospects are favourable.

For investors Zuidas Amsterdam offers an attractive

pool of core-type investment opportunities. As

we speak, a number of core assets has been puton the market for sale as well. Although most

properties are multi-tenant assets, which are

more complex to manage compared to single-

tenant assets, the reduce of the vacancy risk for

this type of property - due to various occupiers

and the spread of lease expiration dates - is a

favourable feature. As the Zuidas prime office

market is getting tighter, this will induce new office

development sooner or later. A rental growth is not

unlikely to occur in the office district in the near

future, given the limited development pipeline,

a steadily declining availability and continuing

demand for high-grade office space. Under these

circumstances the incentives will remain fairly

stable, possibly they may also show a decline.



1. Gemini

2. Forum

3. Garden Court

4. Olympic Plaza

5. Tripolis Building 100



8. ING House

9. Zuiderhof Pavillion 1




13. Zuiderhof I

14. Zuiderhof II

15. Meerparc

16. Boer & Croon

17. Parnassus Tower

18. Vitrium

19. Anrooy Building

20. Parnascomplex

21. Prinses Irene Building

22. Freshfields

23. Strawinskyhuis

24. Winterthur

25. Atrium

26. Stibbe Tower

27. AKZO Tower

28. WTC H, I

29. WTC A - D, F, G

30. WTC E

31. The Rock

32. Graves

33. Violy

34. UN Tower

35. FOZ

36. SOM

37. Toyo Ito

38. ABN AMRO

39. Symphony

40. Lons

41. Metropolitan

42. Cross Towers

43. Vivaldi Offices I

44. Vivaldi Offices II

45. Antonio Vivaldistraat 12

46. Nijkerk Building

47. Binck Bank

48. Eurocenter II

49. NBA

50. The Boardyard

51. Stage

52. XL Insurance Building

53. Officia I

54. Officia II

55. Officia III

IMAGES OF THE LISTED BUILDINGS OF PAGES 4 AND 5


16/16

For more information please contact:

CBRE B.V.Research & Consultancy

+31 (0)20 626 26 [email protected]

www.cbre.nl

Machiel WoltersDirector

Ratih BachSenior Analyst

Nick van WijkConsultant

CBRE Zuidas Amsterdam (Jun 2013)

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Transcript of CBRE Zuidas Amsterdam (Jun 2013)