Market Update third quarter 2025

Despite a slowdown in momentum, the Dutch economy continued to grow in the final quarter of 2025, supported in part by higher government spending. Inflation eased but remained above the eurozone average, while unemployment increased yet stayed below the eurozone level. The 10-year government bond yield rose, underscoring short-term uncertainty.

• Retail: Stable consumer spending continues to support sector growth, and investment activity is cautiously picking up despite concerns around costs and job security.
  
  
• Residential: House prices rose slightly and rental pressure remained high. Despite lower investment volumes toward the end of the year, strong demand and tight supply provide a solid foundation for renewed activity in early 2026.
  
  
• Offices: Demand for prime offices in G5-IC locations remained strong, keeping vacancy levels low in these locations. Limited availability of premium space continues to support rental growth.
• Science Parks: Demand for high-quality locations with strong research and talent connections remains resilient. More selective investment decisions are slowing momentum, but structural drivers keep the long-term outlook solid.
  
  
• Farmland: A renewed derogation request was rejected, resulting in structurally higher manure disposal costs and a clear decline in farmer confidence. Nonetheless, scarcity and efficiency gains continue to support land prices.
  
  
• Renewables: The energy transition shifted toward system integration in the second half of 2025. Battery storage also moved firmly into the spotlight, driven by grid reinforcement needs and long-term system reliability.