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David VanAssche
The Setup TrapUpdated 2026-03-173 min read

Dutch Commercial Real Estate Leasing for US Companies

Long terms, automatic CPI escalation, and reinstatement obligations that surprise American real estate teams

TL;DR
Standard Dutch office leases lock you in for 5+5 years with automatic uncapped CPI rent escalation and no easy break clause. Miss the 12-month termination notice deadline and you owe another 5 years. Reinstatement at lease end runs EUR 150K-400K for a 1,000 m2 Amsterdam office.
The American Assumption
Dutch commercial leases work like US ones -- negotiate terms, sign, and break if needed with reasonable notice.
The Dutch Reality
Standard Dutch office leases run 5+5 years with very limited break options, automatic uncapped CPI-linked rent escalation, and reinstatement obligations of EUR 150-400/m2 at lease end. Missing the 12-month termination notice deadline locks you in for another 5 years.
The Consequence
For a 1,000 m2 Amsterdam office, total cost of occupancy reaches approximately EUR 3.3 million over 5 years -- comparable to Boston or San Francisco when measured over the full lease term.
5+5 years
Standard lease structure
Very limited break options; missing the 12-month notice deadline extends by another 5 years
EUR 150K-400K
Reinstatement cost
Full strip-out and restoration to original condition for a 1,000 m2 Amsterdam office

The Netherlands uses standardized ROZ model contracts that are fundamentally different from US commercial leases and landlord-friendly by design. Standard office lease structure is 5+5 years with very limited break options. Rent increases are automatic and uncapped -- CPI-linked annual indexation compounds 16--22% over a 5-year period at 3--4% average inflation, with some landlords adding a surcharge of up to 3% on top. Missing the 12-month termination notice deadline locks the company in for another 5 years.

Dutch commercial tenants have statutory protection that does not exist in the US. For retail premises (Article 7:290 BW), landlords can only terminate on narrow statutory grounds and need court approval. For office space (Article 7:230a), tenants have eviction protection that can extend occupancy by up to approximately three years from the eviction notice date.

Reinstatement obligations at lease end can be punishingly expensive -- EUR 150--400/m2 for full strip-out and restoration to original condition. For a 1,000 m2 Amsterdam office, that is EUR 150,000--400,000.

Key Differences from US Leases

  • No standard TI allowance culture -- Dutch landlords offer rent-free periods (1--3 months per 5-year term) as the primary incentive
  • The listing broker represents the landlord -- tenants must engage their own broker
  • VAT on rent is exempt by default -- parties must jointly elect VAT-taxable rent (requires 90% threshold for tenant's VAT-taxable activities)
  • Energy label C minimum mandatory for office buildings larger than 100 m2 since January 1, 2023

Total Cost of Occupancy

For a 1,000 m2 Amsterdam Zuidas office on a 5+5 year lease at EUR 450/m2: approximately EUR 3,332,500 over 5 years, averaging EUR 666/m2 per year or USD 67/sqft -- comparable to Boston or San Francisco when measured over the full lease term including CPI escalation, service costs, reinstatement provisions, and limited exit flexibility.

Sources

Research compiled 2026-03-17. This briefing does not constitute legal or tax advice.

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