Booking.com has sold its new headquarters in Amsterdam for €566.3 million to a fund managed by Deka Immobilien Investment, according to an SEC filing.
Under the terms of the deal, the online accommodation booking service will lease back the building for 16.5 years paying €24.3 million a year in rent, which is indexed but capped at 5%. Booking will also pay for certain operating expenses, usage property taxes and certain insurance for the Booking campus.
Booking has a right of first refusal to repurchase the property should Deka in the future decide to sell the building and receives a bona fide purchase price.
The travel company has been trying to sell its headquarters through CBRE for years but it suffered a sharp drop in revenue as a result of the lockdowns during the pandemic, which prevented people travelling.
Developer BPD is building a 72,500-square-metre new office complex on the Oosterdokeiland, which will become Booking.com’s new headquarters. Prior to the pandemic, the company’s 5,000 employees were spread across 12 offices in the Dutch capital.
The new complex will comprise 65,000 square metres of office space and facilities and 7,500 square metres of apartments plus restaurant, coffee bar, bicycle repair shop and fitness centre.