Stoneweg European REIT renews major office leases in the Netherlands and Poland

Stoneweg European Real Estate Investment Trust (SERT) has successfully renewed nearly 27,000 square meters of office leases across two properties in the Netherlands and Poland. These lease extensions, involving tenants Coolblue BV and Motorola Solutions, have helped maintain near full occupancy at the respective assets and extended the weighted average lease expiry (WALE) of SERT’s office portfolio to 5.3 years.

The renewal in the Netherlands pertains to Central Plaza in Rotterdam, where Coolblue BV—a prominent Dutch e-commerce company—has extended its lease for 9,599 square meters of office, storage, and parking space. The new lease will take effect in July 2025 and run for five and a half years. Central Plaza is a Grade A, BREEAM-certified office property located in Rotterdam’s central business district, opposite the city’s main train station.

In Poland, Motorola Solutions has renewed its lease at the Green Office complex in Kraków. The company, which has occupied the premises since 2011, will continue leasing 17,761 square meters of office space. The renewal will commence in August 2027 and will be valid for five years at market rent. The Green Office complex is a technologically focused, BREEAM-certified development with on-site data centre capacity and strong public transport links.

These agreements have contributed to portfolio stability, keeping occupancy near 90% and tenant retention at 85% as of 2024. The leases were renewed at rates consistent with current market values, contributing approximately €5.5 million in annual rental income. Independent market assessments indicate that SERT’s office properties are approximately 9% under-rented, suggesting potential for future rent growth.

Chief Executive Officer Simon Garing emphasized the strategic value of maintaining long-term relationships with key tenants and aligning development initiatives with tenant needs and market trends. He also noted that current market dynamics show a preference for well-located, high-quality office spaces, especially as businesses solidify their post-pandemic workplace strategies.

In Rotterdam, office rental rates remain lower than in Amsterdam, attracting a broad range of businesses. Although prime rents have risen by 34% since 2022, vacancy rates for top-tier properties remain modest at 7.8%. In Kraków, the office market has expanded due to the city’s strong IT and business services sectors. While vacancy rates remain high at 19%, demand has supported gradual rental growth, though prices remain well below those in Warsaw.