Amsterdam city council and a number of leading Dutch developers and investors have signed a deal to build an additional 10,000 mid-market rental homes in the capital within five years.

The homes, which will target middle income professionals such as teachers, healthcare workers and police officers, will have a rent of between €740 and €1,030 a month. The declaration of intent includes agreement that rents for the properties will rise by inflation plus 1% over the next 20 years.

City housing alderman Laurens Ivens has also agreed to reduce the price of building land if necessary to ensure developments are financially viable.

‘This statement of intent underlines the willingness of everyone involved to work together to stimulate affordable housing in Amsterdam, both rental and for sale,’ said Desirée Uitzetter, chairwoman of Dutch property developers association Neprom and area development director at Holland Metropole partner BPD.

‘We value the fact that Amsterdam is prepared to look again at its method for calculating land prices… to eradicate unnecessary delays to the development and building process.’

Desirée Uitzetter, NEPROM and BPD

Frank van Blokland, director of institutional investor group IVBN, said his members are doing their utmost to contribute to the need for new housing in the city. Holland Metropole partners Bouwinvest and Syntrus Achmea are members of the IVBN, and have been at the forefront of efforts to stimulate a housing development drive.

‘The agreement is the first step to allow continued investment in mid-market rental property in Amsterdam,’ Van Blokland said. ‘To meet the enormous demand for housing, we need a lot more building locations and, of course, good public transport.’

An integrated mobility plan for new developments is a key part of the Holland Metropole approach.