| | | 2019 | | 2018 |
At the beginning of the year | | 12,898 | | 11,941 |
First time adoption IFRS16 | | - | | - |
Investments | | 5,774 | | 7,529 |
Transfer to investment property | | (18,672) | | (21,482) |
Transfer from investment property | | - | | 12,898 |
Net gain (loss) from fair value adjustments on investment property under construction | - | | 2,012 | |
In profit or loss | | - | | 2,012 |
In other comprehensive income | | - | | - |
Transfers out of level 3 | | - | | - |
Total investment property under construction (level 3) | | - | | 12,898 |
Movement of right of use ground leases | | - | | - |
Lease incentives | | - | | - |
At the end of the year | | - | | 12,898 |
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 | - | 12,898 |
Less: lease liabilities | - | - |
Valuation as per internal valuation | - | 12,898 |
Investment property under construction is not (re)developed within the Retail Fund but via external parties or Bouwinvest Retail Development B.V.
The as if completed value of the investment property under construction is determined by external valuation experts.
Investments | 2019 | 2018 |
Experience | - | - |
Convenience | 5,774 | 7,529 |
Other | - | - |
Total Investments | 5,774 | 7,529 |
Transfers to investment property | 2019 | 2018 |
Experience | - | - |
Convenience | 18,672 | 21,482 |
Other | - | - |
Total transfers to investment property | 18,672 | 21,482 |
The significant assumptions with regard to the valuations are set out below.
| | 2019 | 2018 |
Gross initial yield | n/a | 6.8% |
Net initial yield | n/a | 5.6% |
Long-term vacancy rate | n/a | 6.0% |
Average 10-years inflation rate (NRVT) | n/a | 0.5% |
Estimated average percentage of completion | n/a | 26.1% |
Current average rent (€/m²) | n/a | 208 |
Construction costs (€/m²) | n/a | 1,014 |