tenants. The legal conveyance will take place after approval has
been obtained from the local authority. The sale of the offices at
the Gildenkwartier means an incidental deviation from the policy,
hitherto outlined by us, of letting only. This policy has partly
been inspired by the technical intertwinement of the complex,
which makes unity of administration desirable. We are of the
opinion that a complexity like the Hoog Catharijne project
makes it preferable to offer only shop- and office space to let.
This makes it possible to keep operation and administration in
one hand, so that the interests of the various groups of tenants
can best be coordinated and served. That we have deviated from
this line of conduct does not detract from the unity of
administration; from a technical point of view the offices near the
Croeselaan are not or hardly connected with the other buildings
of the complex. The drawback attaching to the disruption of the
unity of administration by the sale of the above mentioned
30,000 sq.m, is amply compensated by the fact that for a major
part of the project, rather than many tenants, one user has now
been found, with whom strict arrangements could be made about
the administration. In the whole of the complex only an
insignificant number of shop- and office units are still untenanted.
A 15-year odd period of development, realisation and letting has
now reached its successful conclusion. We are looking forward
confidently to the next stage, that of full operation.
In the company in which the ownership and operation of the
Holiday Inn Hotel at Utrecht are incorporated the bv Hoog
Catharijne, in which we have a 50 interest, increased its share
holding from 63 to 100 Because for 1977 a degree of
occupation of 70 was reached, Holiday Inn for the first time
showed a substantial contribution to the profit. The operation of
the Hoog Brabant catering business, in which our interest is
50 approached the break-even point; starting in 1978, this
business is expected to contribute to the profit.
During 1977 movements in our holdings of real estate in operation were as follows:
excluding minority
participations
book value market value
Value at 1 st January 1977
Purchases and projects taken
in operation
Cost included in sales results
Depreciation
Change in market value as a
result of new valuation
Value at 31st December 1977
7208.246.000
106.944.000
7315.190.000
39.107.000
7 276.083.000
4.465.000
7 271.618.000
7 241.200.000
107.000.000
7 348.200.000
44.800.000
7 303.400.000
16.600.000
7 320.000.000
including
minority par
ticipations*
market value
7 446.400.000
110.000.000
7 556.400.000
88.200.000
7 468.200.000
26.700.000
7 494.900.000
Annualized rents, including minority participations, amounted
to 7 45,5 million at 31st December 1977.
19
in the proportion of our interests therein.
