Student houSingutrecht Science Parkeast utrecht

Meeting, ConneCting, ProgreSS

4 Foreword 8 Locat ion 10 Utrecht as a c it y oF taLent

6 Utrecht

12 Utrecht as a c it y oF knowLedge

38 deveLopments

20 stUdent accommodat ion 22 east Utrecht projects

16 trends and deveLopments in stUdent hoUs ing

24 stUdent accommodat ion 26 casa conFet t i

36 investment opportUnit ies28 partnerships

18 stUdent hoUs ing FoUndat ion (ssh)

14 stUdent hoUs ing : the market

4 Foreword

F l o r i s d e G e l d e r & To n J o c h e m s

Utrecht Science Park is the leading knowledge hub in Utrecht and one

of the main hotspots for economic growth. It is here that education,

research, entrepreneurship and healthcare come together in the desire

to work towards a healthy and sustainable future. Over 50,000 students

attend lectures at Utrecht Science Park every day: no other place in

Europe has such a high student density. Only a small proportion of these

students also live on the campus.

Utrecht is a true student city, with almost 20% of its total population

consisting of students. High-quality accommodation and facilities are

essential for attracting and retaining students. New student housing is

being built and planned, but demand still outstrips supply.

This brochure provides an indication of the opportunities and possibilities

for expanding the range of options which allow students to live in their

preferred student city.

6 utreCht

Lonely Planet about Utrecht (2012)“Perhaps it’s the lure of Amsterdam that

leads people to forget Utrecht. Whatever the

reason, this graceful city is bizarrely under-

visited. Its old town is encircled by a medieval

canal, and you can hop on a boat tour to

visit the city’s bustling, vibrant wharves.

Built to connect the canalside with Utrecht’s

impressive townhouses, today these unique

spaces are filled with bohemian cafes, shops,

restaurants and bars.”

8 LoCation

UtrechtEindhoven

Amsterdam

Utrecht Science Park: the heart of Europe’s most competitive region.

10 utreCht aS a City oF taLent

Utrecht most competitive region in Europe

According to the European Commission, Utrecht is Europe’s most competitive region for the second time and heads

a list of 271 regions, leaving areas such as Amsterdam, London and Paris trailing. Utrecht scores particularly high in

the Joint Research Centre’s ranking in terms of innovation, quality of the institutions, infrastructure (including digital

networks), healthcare and human capital. The province of Utrecht boasts the highest-educated labour force in the

country: 43% of the working population has a higher professional education or academic degree. The province of

Utrecht is also known for its world-class universities and research institutes.

The city of Utrecht is the fourth largest and one of the oldest cities in the Netherlands. But it is also a young city:

20% of its population is made up of students attending one of its institutions of higher education. Utrecht is one of

the most accessible cities of the Netherlands, situated at a junction of motorways, railways and waterways. It offers

outstanding national and international connections. Amsterdam Airport Schiphol, the fourth busiest in the world, is

only a 30-minute train ride away.

a place where people can meet, connect and make progress

12 utreCht aS a City oF knowLedge

Utrecht Science Park - Working towards a healthy future

Facts & Figures• Area: over 300 hectares

• Companies: over 70

• Employees: 20,000 every day

• Students: 50,000 every day

• Patients: 400,000 outpatients every year

• Visitors to UMC Utrecht: 15,000 – 20,000 every day

• Start-ups: 20 every year

• Student housing: 2,600 student units by 2015,

possibly expanding up to 4,000

• Investment: € 1 billion up to 2018

Utrecht Science Park forms the heart of

Europe’s most competitive region. It is a

unique location where healthcare, education,

research and entrepreneurship come together.

The high concentration of internationally

renowned knowledge institutions such as

Utrecht University, the University Medical

Center Utrecht and the HU University of

Applied Sciences Utrecht and research

institutes such as the Hubrecht Institute,

TNO and Deltares attracts various types of

entrepreneurs, companies and investors.

In September 2013, Nutricia Research opened

its doors. Danone’s new global research

centre is accelerating innovation in the areas

of early life nutrition and medical nutrition.

With the arrival of the Princess Maxima

Centre for Paediatric Oncology (2016) and

the combination of the knowledge and

expertise of the Antoni van Leeuwenhoek

Hospital and the University Medical Center

Utrecht in a specialist cancer hospital for

adults, Utrecht Science Park is developing

into the leading oncological centre in the

Netherlands and far beyond. At Utrecht

Science Park top researchers are combining

their efforts to find solutions for a longer and

healthier life.

14 Student houSing: the Market

Student housing: a growth market in the Netherlands Demand for student housing will continue to increase in the future.

The Netherlands is increasingly developing into a centre of knowledge.

In regions around universities and universities of applied sciences, plenty

of knowledge-intensive enterprises can be found and science parks

and university campuses are being developed. Higher education is the

driving force behind the knowledge economy. Housing is an important

precondition for attracting and retaining students. Currently, student

housing is a major bottleneck point in higher education. There are

not enough rooms available, and for many students the time spent

travelling to and from their knowledge institution is excessive. There is

not enough accommodation for foreign students either.

More student housing on the campus will not only attract students

but will also encourage a culture of innovation and creativity. The

more students there are, the more facilities there will be. And the

more facilities there are, the more students and entrepreneurs they will

attract. Students also develop many new small enterprises themselves

and therefore contribute to the local knowledge economy and quality

of life in the region.

16 trendS and deveLoPMentS in Student houSing

Utrecht

rotterdam

+124.000

+20.000

+112.000

+67.000

amsterdam

the hague

antiCiPated PoPuLation growth in the Four Major dutCh CitieS over the next 30 yearS. SourCe: CBS

Utrechtis growing faster

than the other

three major cities.

over the next 30 years, the number of inhabi-tants in the city will rise by 40%, as predicted by Statistics netherlands (CBS).

The annual National Student Monitoring,

which is supported by the Dutch Government,

predicts the number of academic students in

Utrecht to grow from ± 57,300 in 2013 to

± 61,400 by 2021. This growth encompasses

Trends and future developments in student housing

± 30% university students and ± 70% stu-

dents at the University of Applied Sciences.

These students are expected to appear in all

age and gender categories. As far as foreign

students are concerned, they will appear

predominantly in the university realm. This

growth will not only be seen in Utrecht, as

comparable reports predict similar strong

growth both in and outside the Netherlands,

for instance in the US, Germany and the UK.

The municipality of Utrecht is faced with a

substantial deficit in acceptable and affordable

student housing. The strong and stable de-

mand for student housing and the deficit of

supply in Utrecht, the diminishing availability

of classic sources of finance, and the ambitions

and plans of Utrecht Science Park (possible

growth of 1,500 student apartments) provide

for an interesting opportunity for investors.

18 Student houSing Foundation (SSh)

• Founded in 1956

• 100 employees

• 16 .000 rooms and apartments

• Total assets € 1/3 billion

• Total economic value € 2/3 billion

• Average economic value of dwellings € 80.000

• Total turnover € 45 million/year (rent € 30 million/year)

• Average room rent € 272/month,

average apartment rent € 357/month

• Furnished (about 3.000) and unfurnished (about 12.000) rooms

and apartments, full or limited service, on campus (about 3.000)

or off campus (about 12.000)

• Dwellings are either property of SSH (about 11.000), or of other

housing corporations, private investors or institutional investors

(about 4.000)

• Currently active in Utrecht (including Bunnik and Zeist), Amers-

foort, Rotterdam, Tilburg, Maastricht and Zwolle. Next year also in

Groningen.

Facts & Figures

SSH (Student Housing Foundation)

SSH is a Dutch housing corporation that primarily aims to provide

affordable accommodation for students. At the moment, SSH rents

out approximately 16,000 rooms and apartments.

Housing corporations in the Netherlands are modern real estate

businesses and service providers, working independently at their own

expense and risk. These private non-profit organisations are therefore

independent entities, but operating within a legal framework setup by

the government.

MissionSSH regards it as its mission to provide students with high-quality and

affordable accommodation. The units are rented out for relatively

short periods of time and offer services which are tailored to the

target group. SSH has a culture which makes students feel at home.

HBO

WO

2013

2013

2021

2021

Bron: Landelijke Monitor Studentenhuisvesting 2013, ABF Research

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Demand for student housingUtrecht is the leading student city in the Netherlands. No other city

has such a large student population as a percentage of its total

number of inhabitants. In the years ahead, this number will continue

to grow in all age categories.

20 Student aCCoMModation

Living in East UtrechtAlongside the centre, the residential districts on the eastern side of Utrecht are the areas

where students prefer to live.They are the perfect base for students, as they are close to

the university and the city centre. When building new complexes, SSH therefore focuses on

these popular neighbourhoods. Examples include the transformed County Hall and – a little

further afield – the KPN site. In 2017, SSH wishes to construct 540 student units and 260

starter apartments on this site. Some of the offices in the KPN tower will be transformed

into residential units as part of this project.

Initially, Utrecht Science Park only offered space for university buildings. In 1999, SSH

completed the first student complex with 1,000 rooms. This was followed by De Bisschoppen

(550) in 2006 and the colourful Casa Confetti (400) in 2008. Building work is still in full swing:

in 2013, the foundations of the splendid Johanna building (650) were laid. As well as housing,

the student facilities have been expanded to include a supermarket and bar, for example.

Utrecht Science Park has truly become a residential district for students!

Living on the campus

22 eaSt utreCht ProjeCtS

Current student housing1 IBB 1,300 Student Units

2 De Sterren 700

3 Cambridgelaan 1,000

4 Casa Confetti 400

5 De Bischoppen 550

6 Johanna 650

Archimedeslaan: living in a green student district near the universitiesWith the student complex known as De Sterren (2013), Rijnsweerd

has become a true student district. This district, next to Utrecht

Science Park, is very diverse with a mix of owner-occupied dwellings,

offices and student housing surrounded by parks. At the boundary

between this unique green location and Utrecht Science Park, SSH

would like to create another 1,000 student units.

KPN campus: popular location between the universities and lively city centreThis site is located between the city centre and Utrecht Science Park.

From 2016, SSH will be creating 800 units for students and starters here.

Two existing office buildings on the site will be transformed into

student accommodation. There will also be space for student facilities.

The location makes this site very popular.

Central Station

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Dom

KPN

Archimedeslaan

Affordable student housingStudents often don’t have much money. They prefer to live in an

affordable student room or unit, and the cost of living is the main

factor which determines whether a student room or unit is an

attractive option.

24 Student aCCoMModation

When it comes to rooms, Utrecht currently has a significant deficit. Another 7,910 rooms are required in order to

meet the current demand.* Every new student in Utrecht will therefore increase the pressure on the market.

Demand is greater than supply, making vacancy levels low compared to other assets. Added to this is the

countercyclical nature of student housing, since in times of economic downturn students tend to extend their stay

at university rather than entering a weak labour market, and thus increase demand for student housing.

Student housing generates a relatively stable cash flow and can be further optimised to further limit risk. A number

of the students accommodations have the potential to be converted for alternative uses.

*Source: StudentenWoonMonitor

Source: Apollo 2013 for the city of Utrecht

houSing requireMentS By tyPe oF Living SPaCe, utreCht, 2013, 2021

202120130 500 1000 1500 2000 2500 3000 3500 4000 4500 5000 5500 6000 6500 7000 7500 80000 500 1000 1500 2000 2500 3000 3500 4000 4500 5000 5500 6000 6500 7000 7500 80000 500 1000 1500 2000 2500 3000 3500 4000 4500 5000 5500 6000 6500 7000 7500

Rooms, shared facilities, affordable

Rooms, shared facilities, expensive

Rooms, private facilities, affordable

Rooms, private facilities, expensive

Independent, affordable

Independent, expensive

26 CaSa ConFetti

2011/2012Casa Confetti voted 1

of the 10 most beautiful

student complexes

in the world

Casa Confetti is proof that good and affordable accommodation

can still go hand in hand with outstanding architecture. The website

Flavorwire voted this building one of the most beautiful student

complexes in the world: “Featuring giant swings and built-in loungers,

this pretty pixelated, high density residence was designed to alleviate

the housing shortage for young adults in Utrecht. Who says high

density can’t be fun?”

Casa Confetti

28 PartnerShiPS

JoiNT RESEARCH CENTRE - EURoPEAN CoMMiSSioN In 2010 and 2013, the Utrecht region was voted the most

\competitive region in Europe.

UTRECHT SCiENCE PARK Architectural paradise: the Educatorium by Rem Koolhaas, the

University Library by Wiel Arets and the Minnaert Building by

Neutelings Riedijk are featured in the book ‘1001 buildings you must

see before you die’.

THE FiNANCiAL TiMES“Utrecht has one of the best investment climates in Europe.”

UTRECHT UNivERSiTy“The best university in the Netherlands for over 10 years”

30 PartnerShiPS

Collaboration with private investors

SSH is managing increasing numbers of third-party buildings.

In the past, SSH did this for fellow housing corporations, but

commercial investors and developers are now also finding their

way to SSH. Because of the increasing interest and activity of

institutional investors and increasing quality of the product itself,

the market for student housing is evolving into an asset class in

and of itself. Added to this is the fact that banks are increasingly

interested in financing student housing.

Private investors are also interested in affordable student

housing. Take the real estate company De Waal, for example. In

collaboration with SSH, this company transformed the former

county hall in Utrecht into student complex De Sterren. The

659 student rooms cost an average of € 275, excluding service

charges. The rooms measure around 17 m2 and the communal

facilities are shared with nine or ten people.

32 PartnerShiPS

Examples of student housing in Utrecht by private investors

• Countyhall-(DeSterren)transformation,DeWaal/SSH.

Completed in 2014

• CampusCityMax-newlyconstructedstudiosforsaleandrent

aimed at students and starters; Bouwfonds Ontwikkeling, SSH

and Bo-Ex. Completed in 2009

• Oudenrijnhospital-(DeKwekerij)transformationandnew

build, studios and rooms for students, young people and

starters; Veluwezoom Verkerk Vastgoedontwikkeling and

VanBeek&Partners;DIDVastgoedontwikkeling/4-Freedom

Vastgoed. Under development

• Startblok-starterhomesincollaborationwithSSH,Jebberand

Syntrus Achmea. Under development.

Photo: E. Dronkert

34 PartnerShiPS

• TheNetherlandsisabletoattractanever

increasing number of international students due

to the widespread availability of English-taught

programmes and low tuition fees.

• Overthepastfewyearsasubstantialnumberof

empty office buildings have been redeveloped into

student housing, solving problems in both markets.

• Studenthousingisincreasinglyturningintoan

attractive asset class for commercial investors.

• Rapid growth of university enrolments, particularly by the so

called ‘Echo Boomers’ (generation Y);

• Limited on and off-campus supply;

• Astrongrelationshipwithlocalmarketsupply/demand

fundamentals and not necessarily with external factors such as

macro-economic growth and unemployment rate.

As a consequence, the addition of student housing to a portfolio can:

• lower volatility;

• improve diversification;

• lower exposure to market risk.

Utrecht matches the essential conditions for attractive student

housing investments:

• Close proximity to universities that are experiencing

enrolment growth;

• Safe, secure, well-priced and professionally managed buildings;

• With access to shopping, entertainment and public

transportation.

Student housing: an interesting portfolio investment

36 inveStMent oPPortunitieS

Option A Option 2

Type of unit Independent Dependent

Year of construction 2013 2013

Number of units 250 250

Construction costs per rentable unit € 75,000 € 55,000

Total investment € 18,750,000 € 13,750,000

Monthly rent per rentable unit € 360 € 282

Rental income per year € 1,080,000 € 846,000

Net operating expenses per rentable unit* € 459 € 459

Other operating expenses per rentable unit*

€ 995 € 647

Government taxes per rentable unit* € 377 -

Total operating expenses per year per complex

€ 457,750 € 276,500

Gross Initial Return 5.76% 6.15%

Net Initial Return 3.32% 4.14%

Return on student housingThe following calculations provide an average picture of the returns on student

housing. The current investment conditions imposed by the government

(such as the property valuation system and the tax on housing corporations)

have been taken into account. Special location-specific costs have not been

included (for example if extra soundproofing measures are required).

Source: Kences, July 2013

• Currently (including ongoing projects) 2,500 units available;

• Land space for 1,500 additional units, already incorporated in zoning plan;

• Target group: students, short-stayers and graduate students;

• Occupancy of existing units is 98%;

• Indicative investment volume: €45 – 50 million. Indicative investment per 500 units:

€ 27.5 million;

• Management can be arranged through existing SSH organisation.

USP Key valuesUtrecht Science Park has developed an integral vision on the USP area on basis of three key values:

hospitality, connectivity and reputation. For student housing, these values can be translated into:

• A design with the right balance between cost-efficiency and distinctive architecture (reputation);

• First-class availability of supportive technological systems and a functional facility service

(hospitality);

• A safe, secure and lively environment that is a pleasant place to live (connectivity).

• There are excellent transportation systems and parking facilities.

New facilities should meet two sets of key conditions:

• USP key values;

• Performance demands of relevant international real estate investment communities.

investment opportunities at Utrecht Science Park

38 deveLoPMentS

USP Projects 2013 - 20181 Danone Nutricia Research (2013).

Room for over 450 employees.

2 P+R De Uithof (2013). 2,000 parking spaces, as well as climbing walls.

3 Expansion of University Medical Center Utrecht (2014 – 2016). Alliance with Antoni van Leeuwenhoek hospital and construction of the Center for Image Guided Oncological Intervention.

4 Joint Environmental Laboratory (2014). Utrecht University, TNO and Deltares combine their expertise to research the influence of human activities on climate, air, soil and water.

5 Expansion of Hubrecht Institute, KNAW (first phase: 2015). 400 new workplaces in Hubrecht Institute and UMC Utrecht.

6 New housing for the Faculty of Geosciences, UtrechtUniversity(2016/2017).17,000m2of new gross floor area.

7 Princess Máxima Centre for Pediatric Oncology (2016). Will open its doors alongside and in collaboration with the University Medical Center Utrecht, the Wilhelmina Children’s Hospital and the NKI-AVL (Antoni van Leeuwenhoek).

8 Education Centre of the Faculties of Science and Geosciences, Utrecht University (2015). Replaces the education centre in Went Building.

9 Student housing complex Johanna (2015). 650 student housing units.

10 New Life Sciences Incubator (2015). The LSI is an incubator for start-ups in the field of Life Sciences and will provide both laboratories and offices.

11 National Institute for Public Health and the Environment (RIVM) (2018). Room for 1,450 employees.

12 De Uithoflijn (2018). Tram connection between Utrecht Central Station and Utrecht Science Park (P+R).Thetramreplacesbusline12/12sandhasmuch more capacity.

13USPPavilion(expected2015/2016).Cateringpavilion with a view over the Botanical Gardens.

uSP 2013 - 2018

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1 Danone Nutricia Research (2013)Room for over 450 employees.

2 P+R De Uithof (2013)2,000 parking spaces, as well as climbing walls.

3 Expansion University Medical Center Utrecht (2014 – 2016)Alliance Antoni van Leeuwenhoek hospital and construction ofthe Center for Image Guided Oncological Intervention.

4 Joint Environmental Laboratory (2013)Utrecht University, TNO and Deltares combine their expertisefor research on the influence of human activities on climate, air,soil and water.

5 Expansion Hubrecht Institute, KNAW (first phase: 2015)400 new workplaces in Hubrecht Institute and UMC Utrecht.

6 New housing faculty of Geosciences, Utrecht University (2014)17,000 m2 gross floor area new estate.

7 Princess Máxima Center for Pediatric Oncology (2015)Will open its doors alongside and in collaboration with theUniversity Medical Center Utrecht, the Wilhelmina Children'sHospital and the NKI-AVL (Antoni van Leeuwenhoek).

8 Education Center Faculties of Science and Geosciences,Utrecht University (2015) Replaces the education center Wentbuilding.

9 Student housing complex Johanna (2015)650 student housing units.

10 New Life Sciences Incubator (2015)The LSI is an incubator for start-ups in the field of Life Sciencesand will provide both laboratories and offices.

11 Expansion University of Applied Sciences Utrecht

12 National Institute for Public Health and the Environment(RIVM) (2018) Room for 1,450 employees.

13 De Uithoflijn (2018)Tram connection between Utrecht Central Station and UtrechtScience Park (P+R). The tram replaces the bus line 12/12s andhas much more capacity.

14 USP Pavilion (expected 2015/2016)Catering pavilion with a view over the Botanical Gardens.

15 USP Bilthoven (2013)Development satellite location RIVM terrain.

A Broadening the A27

B Second tram line via the city centre to the Central Station

C Second P+R (transferium) to the west of USP

D Renovation of central area including the Van Unnik building

E Area for business accommodation± 20,000 m2 GFA

F Area for business accommodation± 40,000 m2 GFA

G Area for student accommodation

H Area for student accommodation

I New build / renovation of multifunctional building for shortstay, flexible working and catering.

J Conference facility Universiteitsweg

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