Ghent, a historic yet dynamically evolving city in Flanders, Belgium, has emerged as a critical hub for real estate investment and urban development. This report synthesizes data on market demand, socio-demographic trends, economic drivers, and competitive dynamics to provide a granular understanding of the city’s apartment market.

Environment and Facilities

Ghent’s urban landscape balances medieval heritage with modern sustainability initiatives. The city prioritizes green spaces, exemplified by projects like the Living Streets (leefstraten) program, which transforms neighborhoods into pedestrian-friendly zones with communal gardens and reduced car traffic. The Nieuw Gent redevelopment aims to replace outdated high-rise social housing with low-rise blocks integrated into expanded park areas, enhancing livability. Cultural landmarks such as the Gravensteen Castle and Sint-Bavo’s Cathedral anchor tourism, while the Dampoort and Rabot districts focus on renovating substandard housing through initiatives like Gent Knapt Op, which provides €30,000 per household for upgrades.

Sustainability is a cornerstone of new developments. The Hof van Gent project merges urban and forest environments, using eco-friendly materials like recycled brick and energy-efficient designs. Over 35,000 homes require renovation to meet climate goals, creating opportunities for retrofitting.

Accessibility and Mobility

Ghent’s mobility infrastructure supports its growing population. The city center is car-free, with extensive cycling networks (e.g., Blue Bike stations) and tram lines connecting key areas like Gent-Sint-Pieters Station. The port of Ghent, a major economic engine, ensures accessibility for 100,000 commuters via highways (E40, E17) and waterways.

Recent projects emphasize shared mobility:

• Residence Loop 5 offers electric bikes and car-sharing via Battmobility.

• The Living Streets initiative reduces traffic in residential zones, prioritizing pedestrians.

Public transport links are robust, with Sint-Pieters Station providing national and international rail connections. Proximity to universities (e.g., Ghent University) and employment hubs (e.g., North Sea Port) makes central districts highly desirable.

Real Estate Investments and Economic Growth

Ghent’s real estate market is buoyed by economic diversification (tech, logistics, education) and population growth (8% by 2033). Key investment drivers include:

• Port of Ghent: Affordable entry prices (€315,000 for 3-bedroom homes) and high yields (€1,450–€3,600/month rent).

• VAT incentives: A 6% rate for demolition/reconstruction projects, reinstated in 2024 to stimulate rental housing.

• Price appreciation: Average apartment prices rose 14.63% over five years, reaching €3,338/m² in 2025.

The city’s GDP growth (3.2% annually) and low unemployment (5.2%) attract institutional investors, particularly in mixed-use developments like Artevelde Tower, which combines offices, retail, and a football stadium.

Socio-Demographic Profile

Population Dynamics

• Population: 268,000 (2023), projected to exceed 300,000 by 2040.

• Median age: 37, with 27.46% under 25 due to student influx.

• Foreigners: 150 nationalities; 50% of children aged 0–9 have migrant backgrounds.

Household Composition

• Average size: 2.2 persons; 44% single-person households.

• Ownership: 45% owners, 55% renters (23% spend >30% of income on rent).

Economic Indicators

• Median income: €56,580/year (taxable).

• Education: 75,000 students; 27% hold tertiary degrees.

• Employment: Dominated by tech (25%), logistics (20%), and healthcare (15%).

Competition Analysis

Unique Selling Propositions (USPs)

1. Sustainability: Projects like Hof van Gent emphasize green materials and energy efficiency.

2. Location: Proximity to transport hubs (e.g., Gent-Sint-Pieters) commands premium prices (€4,804/m² on Hooiaard Street).

3. Typologies: Mix of studios (19 m² for €160,000) and luxury units (104 m² for €695,000).

Pricing and Sales Rhythm

• Average price: €3,338/m² (apartments), €2,576/m² (houses).

• Prime areas: Vogelmarkt (€5,104/m²) vs. Desteldonkdorp (€2,031/m²).

• Absorption rate: 320 units listed in central Ghent; high demand for 1–2 bedrooms.

Developers leverage VAT incentives and mixed-use zoning to accelerate sales. For example, Bloei Fase II targets young professionals with compact units near transit.

Real Estate Supply and Demand

Supply Trends

• New constructions: 47 projects ongoing, including Academiestraat (132 units in restored monuments).

• Renovations: 35,000 substandard homes targeted for upgrades via public-private partnerships.

Demand Drivers

• Students: 75,000 students drive demand for shared housing (€700–€850/month).

• Expats: 20% of renters are expats; prefer furnished units in Binnenstad and Sint-Pieters.

• Aging population: 25% over 60; demand for ground-floor apartments in Merelbeke.

Target Groups and Price Levels

Rental Market and Regulations

• Occupancy rate: 79% for short-term rentals (Airbnb); €100/day average rate.

• Rules: Mandatory registration, 9-year leases, and safety certifications (fire, gas).

• Rent control: Median €920/month for 1-bedroom units; €3,600/month for luxury flats.

Construction Trends

1. Sustainable retrofits: Energy-efficient windows and solar panels in Nieuw Gent.

2. High-density mixed-use: Artevelde Tower integrates offices, retail, and stadiums.

3. Co-living spaces: Residence Loop 5 offers shared kitchens and mobility services.

Top Streets for Apartment Construction

1. Vogelmarkt (€5,104/m²) – Luxury units near canals.

2. Hooiaard (€4,804/m²) – Prime retail and cultural access.

3. Koestraat (€4,755/m²) – Historic center with tourism demand.

4. Desteldonkdorp (€2,031/m²) – Affordable family housing.

Strategic Recommendations

1. Leverage VAT incentives: Target 6% VAT projects in port areas and university zones.

2. Prioritize sustainability: Certify developments with BREEAM/LEED to attract ESG-focused investors.

3. Diversify typologies: Introduce micro-apartments (<30 m²) for students and co-living spaces.

4. Enhance public-private partnerships: Collaborate on Gent Knapt Op to renovate 35,000 homes.

Ghent’s apartment market is poised for sustained growth, driven by demographic shifts, economic vitality, and strategic urban planning. Investors and developers who align with sustainability goals and demographic needs will capitalize on this dynamic landscape.