Construction in Amsterdam now 43rd most expensive globally
Companies looking to enter into construction projects in Amsterdam now spend eight percent more than in 2020. The increase put the Dutch capital at 43rd most expensive for construction out of 100 cities globally.
This was determined by an analysis from consultancy and engineering firm Arcadis. The same study last year put the city in the 53rd spot. The higher costs this year were related to stricter environmental requirements, the impact of the pandemic, a shortage of suitable construction sites and exchange rate effects.
Construction costs are not only on the rise in Amsterdam but also elsewhere in the Netherlands. At the same time, due to the housing shortage in the country, a significant number of new houses will need to be constructed, Arcadis noted. By 2030, one million new homes need to be built to meet the needs of the population. This will lead to a further increase in construction costs, according to Arcadis.
Rotterdam was included in previous reports by Arcadis. Due to its similarity with Amsterdam, it was removed from the index this year.
Geneva, London and Copenhagen were ranked the most expensive cities to build in. The three Indian cities of Mumbai, New Delhi and Bangalore ranked at the bottom of the list.