Pandemic Deals Dutch Office Sector Blow

The planned sale of the Dutch headquarters of Siemens in The Hague is a perfect illustration of the dilemma property investors are facing. There is no doubt about the quality of the tenant or the 30,000-square-metre building, which underwent a massive refurbishment in 2016 to meet Siemens’ demands. The potential problem is the four years left on the lease, in light of the firm's announcement last year that all employees could work remotely two or three days a week. As with so many other office deals that don’t come with long leases, investors are taking a gamble.