State Secretary Van Eijck of the Ministry of Finance introduced a proposal to abolish the fiscal depreciation on commercial real estate as per Janyuary 1, 2003. The IVBN, the Association of Institutional Property Investors in The Netherlands, reacted in disbelieve.
A reliable and stable fiscal policy in the Netherlands, one of the Dutch best investment opportunity selling arguments, has been hammered, as over the years depreciation has been allowed to be fiscally deducted. All of a sudden investors are being confronted with lower yields on their existing real estate portfolios. But also new investments will be affected. The IVBN is worried that this measurement will have very negative effects on the real estate market as a whole.
For more information please visit www.ivbn.nl.