In our mortgage bank business the amount of quotations accepted in
1979 amounted to 1.242 million. In 1978 it was 1.838 million.
The number of quotations accepted was 3.443 (in 1978: 6.600).
The net increase of the mortgage portfolio in 1979 was 693 million. This
increase is the resultant of mortgages advanced to an amount of 1.184
million and redemptions received to an amount of 491 million. As at
the end of 1979 the mortgage portfolio amounted to 5.833 million.
Although the net increase is clearly lower than it was in 1978, we are
not dissatisfied with this growth. In fact, related to national data for
mortgage production the volume result of 1979 means that in the total
of mortgages outstanding in the Netherlands we have almost
maintained our market share. We can also state that, despite the difficult
market situation as it presented itself in 1979, the growth was realised
while maintaining the quality of our portfolio. In 1980 we shall be able
to do so, partly by enlarging our package of services so that use will be
made to an increasing extent of our specialist knowledge of real estate
and howto finance it, notably by entrepreneurs, investors, builders and
developers.
Real estate
We already recalled above that economic prospects and bringing the total
deductibility of mortgage interest under discussion have had a negative
effect on the market for private dwellings. This situation has forced us
to exercise great caution in starting the construction of houses for resale.
During the year under review, therefore a start was made only with a few
smaller housing projects in the Netherlands.
From the operation portfolio dwelling units to an amount of 44,9
million were sold. Yield objects in, on the whole, the more expensive
hiring sector in The Hague and Amsterdam were bought, and further
more industrial objects at Lelystad and Ede.
We have a positive opinion on developments on the office market in the
Netherlands, although there are distinct, regional differences. During
the year under review the construction of a pre-let office building of
10.000 sq.m, was started at Lelystad, while preparations for the
building of the World Trade Centre at Amsterdam were continued
vigorously. After agreement has been reached with all parties involved
the construction can be started in the course of 1980. Its completion will
take three years.
In our co-operation with Vroom Dreesmann a first start was made with
the construction of a bungalow park in Horst for hiring purposes.
The 400 bungalows and the central provisions will be put into operation
in 1980; further projects are under study.
As regards the Hoog Catharijne project in Utrecht we can mention that
the offices have now almost all been let. The few changes in the number
of tenants of the stores are used to optimally strengthen the shopping-
pattern.
It is gratifying to note that the shopkeepers established in Hoog
Catharijne are increasingly acquiring their own circle of clients, which is
to the benefit of the whole centre.
The administration pays great attention to energy saving; remarkable
results were scored on this front (over the last two years more than 30%
saving, without impairing the quality).
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