Rotterdam, and particularly Rotterdam Zuid, has many economically deprived districts characterised by high unemployment and a withdrawal of retail establishments.

The objectives of the Economic Opportunity Zones Project, that runs from 2005 through 2008, are to reinforce the climate for establishing businesses and to stimulate investments in commercial property in the areas indicated as Economic Opportunity Zones. Both the national government and the City of Rotterdam are providing these Economic Opportunity Zones with funding.

Eight districts in Rotterdam Zuid have been indicated as being “economic opportunity zones”, areas where businesses can appeal for investment support from the municipality.

Within the framework of the “Scheme to Aid Businesses in Economic Opportunity Zones”, businesses can receive an investment premium of 50% from the government. The premium applies to costs for investing in durable operating assets and for the costs of constructing or converting business premises.

Under certain conditions, the municipality makes its own property available to businesses by means of a favourable rental or purchasing scheme.

Businesses exercise control over the spending of property tax collected within their district. This property tax is a general municipal levy that usually goes to the municipal funds.

The Economic Opportunity Zones Project Team is actively approaching the target group by visiting companies and retail outlets and by personally informing entrepreneurs about the extra opportunities available from the project.

An improved climate for establishing businesses should be demonstrated by: 

These results are measured every year for the purpose of making adjustments in strategy and also for allocating new areas as economic opportunity zones.

The Economic Opportunity Zone Project is successful: by the end of November 2005, around 200 businesses submitted an application for the scheme to aid businesses. The requests for investment premiums ranged from € 4000 to € 100,000. The highest number of premium applications came from the submunicipality of Feijenoord. In total, businesses have already invested more than € 14 million in improving their retail premises, business premises and operating assets.

The incentives in the Economic Opportunity Zones are meant for businesses located in the area, businesses planning to establish themselves in the area, and owners of commercial property. Owners of housing located above or next to business premises are also eligible for the investment premium.

Together, the national government and the City of Rotterdam have made 48 million euros available for the project.

Rotterdam Development Corporation – Planning Office for Economic Opportunity Zones
Phone: +31 10 4893645
info@obr.rotterdam.nl

01/01/2005

case

Urban Policy > Economy knowledge & employment > Urban economy

Business support