Greater Eindhoven headlined in yesterday's paper "More demand for flexible office buildings by young people and startups." Young people are encouraged to go into business, and in an innovative city like Eindhoven, you don't have to say that twice. The consequence, however, is that the number of offices, especially in the city center, is in short supply. The reason for Twice to launch especially for young startups at the end of the year with affordable scalable and flexible office spaces in the startup hub Alpha on the TU/e Campus.
According to the article, Eindhoven has over twenty thousand business establishments. From agriculture to transportation and from business services to culture. In the list of so-called residential objects that includes schools, health centers and stores, the office function stands head and shoulders above them. August of this year, it was reported that the number of young entrepreneurs, aged around 20, is rising sharply. In fact, the largest increase was among young people under the age of eighteen. This is also due to the fact that entrepreneurship is encouraged in colleges. These young people will not immediately start looking for an office building, but if they like entrepreneurship, this group will eventually storm the market and start looking for their own space. In other words, more and more office and work spaces will be needed.
In centers of large cities there is a severe shortage of offices
According to a report released in 2019 by the company Dynamis (including real estate consultants and appraisers) entitled: 'Battle for square meters in inner cities', the office market appears to be reasonably balanced (supply and demand), but not in the centers of large cities. There is an acute shortage there.
The report examines the largest cities in the Netherlands, including Eindhoven. 'Not only the office sector is laying a heavy space claim in the Dutch centers, other space applicants are also strongly attracted to the good accessibility and lively atmosphere in center locations. This competition is going to determine the dynamics in the Dutch office landscape for the coming years,' the report states.
This report also cited Eindhoven's innovative nature, which makes the city an attractive place to hold offices. The year 2019 turned out to be the fourth year in a row that showed a decrease in supply. Demand is high. And especially in the city center, the supply decreased and even halved. Compared to the peak in 2015, the supply has decreased by more than eighty thousand square meters.
Flexible locations and facility sharing are proving in demand (exactly what Twice offers)
According to the article, startups and smaller companies benefit from more flexible office space. There's a huge dynamic going on there. That could just be those young adult graduates. By the way, the consequence of the shortage in the center is that prices are high. Even the flexible office spaces are not cheap. Facility sharing and flexibility within these locations are proving to be very popular.
Twice offers the solution here with the arrival of Alpha: at low rates, startups can grow here for the first four years.
Alpha startup hub
Are you or do you know a young technology starter? There is no better place in Eindhoven to bring your innovative technology to fruition than in Alpha, located on the TU/e campus. Alpha is the place for innovative entrepreneurs who are starting their own business based on a technological invention or the application of existing technology. Feel free to call for a no-obligation appointment.
