Netherlands Outlook 2025 | Provada Edition
Jos Hesselink • 17/06/2025
Building on solid fundamentals
Our country boasts solid fundamentals that continue to attract both domestic and international investors, regardless of trade wars, geopolitical instability, or unpredictable policies. The Dutch investment climate remains strong and resilient. After all, the Netherlands has much to offer the world, and quality comes at a price.
Despite geopolitical and economic uncertainties, the commercial real estate sector has been trending upwards, driven by improved sentiment that has been evident since autumn 2024. Although the market anticipated a delayed year-end rally in the first half of 2025, this surge did not materialise across the board. This was directly linked to the cautious stance that investors, despite the improved sentiment, have yet to abandon. Investment volumes appear to be tracking at €4.1 billion by mid-2025, marking a 5% increase from the previous year.
The current market outlook indicates significantly more capital in circulation compared to last year, leading to greater investment pressure among (institutional) players and consequently driving prices upward. This has progressively narrowed the bid-ask spread, and from a real estate market perspective, all signals now point to green. However, the persistent cautious approach among many investors seems to stem from the unpredictable global situation, which could continue to influence sentiment in the real estate investment market during the second half of 2025—if uncertainty around US trade policy persists.
Market recovery is expected across all segments in 2025. However, its timing and intensity will largely depend on the degree of clarity regarding US trade policy and the European Central Bank’s interest rate decisions. Meanwhile, high volatility in the stock and bond markets remains a key concern. These fluctuations significantly impact real estate allocations within investment portfolios, potentially putting pressure on existing investment mandates. According to baseline estimates, investment volumes could range between €11 and 12 billion.
Read all about it in our report. Feel free to get in touch to further discuss your business opportunities and challenges.
Contact
