Investing in business flats for expats in Belgium

Business flats are flats specially designed for business tenants, such as expats. They are often located in city centres and offer a range of facilities and services attractive to this target group.

Benefits of investing in business flats for expats in Belgium

There are a number of advantages to investing in business flats for expats in Belgium, including:

• Ever-growing demand

The demand for business flats in Belgium is constantly growing. This is due to the increasing immigration of expats, the growth of international companies and the trend of working from home. According to a study by the Business Administration Agency (ABVV), the number of expats in Belgium grew by 10% by 2023. This is due to increasing economic growth in Belgium, Belgium's attractiveness as a business location for international companies and the trend of working from home. As a result, demand for business flats has also risen sharply. By 2023, there was a shortage of 20,000 business flats in Belgium.

• High rental income

Expats are willing to pay higher rents than local tenants. This is because they often have higher incomes and are willing to pay more for comfort and convenience. According to a survey by real estate broker Immovlan, the average rent for a business flat in Brussels is €2,500 per month. This is about 50% higher than the average rent for a flat in Brussels.

• Limited risk

Business flats are often located in well-performing markets with strong economic fundamentals. This means property values are less prone to fluctuations.

Disadvantages of investing in business flats for expats in Belgium

There are also a number of drawbacks to investing in business flats for expats in Belgium, including:

• High purchase price

Business flats are often more expensive than residential or other types of property. This is because they are designed for a specific target group and often have luxury facilities and services. The average purchase price for a business flat in Brussels is €500,000. This is about 20% higher than the average purchase price for a flat in Brussels. Thanks to Immotokens' co-invest formula, however, you can already invest in Businessflats with a more limited budget.

• High cost

The running costs of business apartments can be high. This is because the flats are often rented out to expats who have short stays.

• Immigration policy risks

Immigration laws may affect demand for business flats. If immigration policies are tightened, this could lead to a drop in demand for expats and hence business flats.

Conclusion

Investing in business flats for expats in Belgium can be an interesting option for investors looking for a stable and profitable investment. However, it is important to weigh the pros and cons carefully before making an investment.

Specific tips for investors in business flats for expats in Belgium

If you are considering investing in business flats for expats in Belgium, here are some specific tips:

• Choose a good location

The location of your business flat is crucial to the success of your investment. Choose a location that is close to business districts, public transport and other amenities.

• Focus on quality

Invest in quality business apartments that meet the needs of your target audience. Make sure the flats are well maintained and have the right facilities and services.

• Be prepared to invest

Investing in business flats is a relatively expensive investment. Make sure you have sufficient funds to finance the purchase and operation of the flats.

• Do your research

Before making an investment, it is important to do proper research on the market and target market. Make sure you understand the demand for business flats and can assess the risks of the investment.

Providers of investment in business apartments for expats in Belgium

Immotokens is a platform that allows investors to invest in Belgian real estate projects, including business flats for expats. Click here for our supply of real estate investments. For example, we work together with Urbicoon which specialises in business flats with, among other things, its own rental service.