Residents of the island of Java are concerned about the sale of 278 rental houses

The reason for the sale of Bouwinvest is that the houses no longer meet the company’s expected return or strategy. The tenants’ association “HV Java” represents all 705 rental houses that Bouwinvest owns on the island of Java and is not reassured about it. “We don’t know what will happen, but as Bouwinvest doesn’t see it as profitable, we can only fear things will get worse and more original residents will leave,” says treasurer Tom Spel.

Spel has seen many of the island’s residents leave in recent years due to rising rents. From 2021, the rent will no longer be increased because the government intervened with the so-called Wet by maximizing the rent increases of the liberalized lease agreements. If this law isn’t extended in 2024, Spel believes there’s a good chance a new investor will implement significant hikes.

Although Bouwinvest had done the same before, the company hasn’t gone full steam ahead. The tenants’ association sees a chance that a new party will do it: “Bouwinvest increased by an average of 4% per year in the period from 2014 to 2020, while inflation was 1%. But according to the contracts of the most tenants here, it could be even worse, it could be 5% plus inflation,” the treasurer said.

Furthermore, the association fears that tenants will be affected in other ways: “You can’t change much in rental contracts, but there are other ways, for example by cutting management costs or throwing overboard sustainability plans”.

Average incomes

Karen Versteege has lived on the island for twenty years. Over the years she too has had to deal with the increase in rent: “I started at 850 euros and now I’m at 1200”. “This island was meant for middle incomes. But that won’t be the case soon. This will keep me awake.”

Bouwinvest says he’s not sure yet whether the houses will actually sell. “It has not yet been decided whether we will ultimately also do this for all other houses and thus also for the affected houses on the island of Java. However, we have informed the tenant associations involved in good time that this opportunity exists, whereby we have indicated that the rental agreement arrangements of all affected tenants will of course continue to apply should we sell. If it is a sale, tenants and any tenant associations will be notified as soon as possible,” a spokesman said.

However, according to Versteege and Snel, politicians have the task of countering this. PvdA party leader Lian Heinhuis also saw this case as a reason to question the council of aldermen and administrators. “I wrote a letter because we are concerned about the quality of life and affordability of the houses. This way, the tenants don’t know where they are. Also, we want a mixed neighborhood and living in the city shouldn’t be possible just for the richer”.

You can’t live on bullshit

Heinhuis sees the problem recurring in different parts of the city. “We have little grip on this sector. It would be interesting to see if this type of house can be bought by a cooperative. But as there is little money there and with the municipality, these are not realistic scenarios. What you can do is to make clear arrangements upfront. Also agree on a maximum rent. It’s important that the mid-market rent remains mid-market and that homes don’t sell for higher prices after a few years.”

And Versteege also speaks clearly. “The city was robbed by real estate investors. Perhaps the municipality can say that we will take something back. We will see if we can give something back to the city. Behind it is the Jan Schaefer bridge. It was someone who made a big effort due to a housing shortage. You can’t live on bullshit. I say, take it back.”