Investment Property Databank (IPD) has said that total return of its ROZ / IPD Dutch Property Index this year was 11.3%, down from 12.5% in 2006, but close to the 11.4% average ten-year annualised total return. In 2007 property outperformed both equities and bonds, which returned -16.7% and 1.7% respectively. Capital growth dropped to 5.8% in 2007 from 6.6% in 2006, while income return fell from 5.6% in 2006 to 5.2% in 2007. The top performing sector was Retail with a total return of 13.4%, followed by Industrial at 11.7%, Offices at 11.3%, and Residential coming in at 9.6%.
Investment Property Databank (IPD) has said that total return of its ROZ / IPD Dutch Property Index this year was 11.3%, down from 12.5% in 2006, but close to the 11.4% average ten-year annualised total return. In 2007 property outperformed both equities and bonds, which returned -16.7% and 1.7% respectively. Capital growth dropped to 5.8% in 2007 from 6.6% in 2006, while income return fell from 5.6% in 2006 to 5.2% in 2007. The top performing sector was Retail with a total return of 13.4%, followed by Industrial at 11.7%, Offices at 11.3%, and Residential coming in at 9.6%.
'The 2007 market return of 11.3% for the Dutch real estate investment sector dropped only just over one percentage point against the 2006 peak value of 12.5%. This demonstrates resilience in the context of the financial crisis
which is already impacting severely upon some major property markets around the world', IPD director Ian Cullen said.
The IPD Dutch Databank covers a total of EUR 44.9 bn of proeprty, representing 60% of the total property assets held by financial institutions and property companies.
