Marjolein van Bekhoven and Lars van Esveld of Loyens & Loeff
discuss the outlook for the Dutch real estate market in 2023
– a barometer of the country's economic activity.
Economic Developments (2020 – 2022)
The real estate market in the Netherlands, historically cemented
as a barometer of its economy, has shown impressive activity levels
over the past two years. Cheap, abundant debt, monetary stimuli and
fiscal relief measures under the COVID-19 climate pushed investment
volumes to EUR17.9 billion in 2020 and EUR17.3 billion in 2021,
CBRE has reported. In comparison, the all-record, pre-COVID year
2019 amounted to EUR21.6 billion.
In the pandemic's wake, however, the conflict in Ukraine has
sent economic shockwaves through the world. Soaring inflation,
decreased money supply and sharply increased interest rates have
caused market volatility and investment has paused. Consequently,
2022's real estate investment volumes in the Netherlands
decreased, but
