Wereldhave comments on the Dutch Cabinet’s Tax Plan 2023

Wereldhave has taken notice of the Dutch Cabinet’s intent to no longer allow direct investments in real estate as permissible investment for Fiscal Investment Institutions (in Dutch ‘FBI’). The measure is supposed to take effect as from 1 January 2024, in order to allow affected FBI's to restructure, to prevent double taxation of investment income. In 2017, a similar measure was initially proposed but eventually revoked. The proposed measure is completely unexpected as a recently published SEO Report on the effectiveness of the current FBI regime came to favourable conclusions. This study was prepared upon request of the Dutch Parliament and is scheduled to be discussed in the Dutch Parliament in January 2023. Wereldhave will carefully study the potential impact of this new measure on the Company and its business, and will also discuss the impact on the sector with other affected companies.

As details around the newly proposed measures are still unclear, we are not in the position to comment further on this specific topic.