10% fewer homes created by converting vacant non-residential buildings last year

Last year, 7,900 homes were created in the Netherlands by converting vacant non-residential buildings, such as offices and shops. That is 10 percent fewer than in 2023, Statistics Netherlands (CBS) reported. This number has been declining for three years, and initial estimates indicate it will be lower again this year. In the first half of this year, 2,900 homes were added to the housing stock through conversion.

Of all the homes added to the Dutch housing stock last year, 9 percent were conversions. New construction remains the main growth factor in the housing market, accounting for 69,000 homes in 2024.

The number of home conversions decreased most in Noord-Holland, falling 51 percent compared to 2023. Last year, 955 converted homes were added to the housing market in the province. “Amsterdam, in particular, saw fewer buildings converted into homes. While Amsterdam accounted for 13 percent of the national total in 2023, this figure dropped to only 3 percent in 2024.”

In Rotterdam, the number of home conversions increased. The port city accounted for almost 12 percent of the national total, converting existing buildings into 925 homes. Largely due to this, Zuid-Holland led the ranking with 1,970 home conversions last year, followed by Noord-Brabant with 1,320.

The number of homes created from old office space increased by 11 percent to 2,800 last year. The number of homes in former shops, on the other hand, almost halved to 1,200.

Experts attribute the decrease to the fact that the easy-to-convert buildings have already been turned into homes. Last year, over 40,000 buildings in the Netherlands were vacant. But not all of them are suitable for residential use because they’re too close to a highway, for example, or don’t get enough sunlight.

“A lot of the low-hanging fruit has been picked,” Stefan Groot, a housing market economist at Rabobank, told NOS. “Many buildings are not suitable for simple conversions into homes, and there are obstacles on top of that.”

“You don’t build homes on an industrial estate,” Peter Boelhouwer, a professor of housing market development at Delft University of Technology, told the broadcaster. In addition to environmental requirements, developers must comply with all kinds of municipal regulations and appease locals reluctant to accept change. “You have to deal with objections from residents, and when it comes to shops in city centers, business associations can also object.”