This website uses cookies to remember your personal preferences and gather statistics. Click here for more information about cookies.

Yes, I agree No, I do not agree X

Financial statements

13 Investment property under construction

  

2019

 

2018

At the beginning of the year

 

210,857

 

127,432

First time adoption IFRS16

 

67,990

  

Transfer from investment property

 

-

 

-

Investments

 

95,254

 

81,117

Net gain (loss) from fair value adjustments on investment property under construction

35,389

 

2,308

 

In profit or loss

 

35,389

 

2,308

In other comprehensive income

   

-

Transfer to investment property

 

(146,366)

 

-

Transfers out of level 3

 

-

 

-

Movement of right of use ground leases

 

56

  

At the end of the year

 

263,180

 

210,857

The right of use of land is included as an integrated part of the investment property under construction. To compare the externally appraised values of the Investment property under construction the lease liabilities are deducted from the Total investment property value.

 

2019

2018

Investment Property

263,180

210,857

Less: right of use assets

(56,355)

-

Valuation as per internal valuation

206,825

210,857

Investment property is not (re)developed within the Office Fund but via external parties or within Bouwinvest Office Development B.V. As at 31 December 2019 the investment property under construction relates to Hourglass (Amsterdam), and Central Park (Utrecht).

The net valuation gain (loss) for the year included a positive fair value adjustment of € 35,389 (2018: € 2,308) relating to investment property under construction that is measured at fair value at the end of the reporting period.

The investment property under construction is valued by external valuation experts.

Investments

2019

2018

Amsterdam

72,287

45,563

Rotterdam

-

-

Utrecht

22,967

35,554

The Hague

-

-

Total investments

95,254

81,117

The significant assumptions with regard to the valuations are set out below.

 

2019

2018

Gross initial yield

3.9%

5.4%

Net initial yield

3.8%

4.0%

Long-term vacancy rate

0.0%

0.0%

Average 10-year inflation rate (NRVT)

0.4%

0.5%

Estimated average percentage of completion

50.4%

38.4%

Current average rent (€/m²)

287

336

Construction costs (€ per m²)

5,291

4,121

  • Share this article