Investment in Turkey
Turkey has one of the most promising real estate markets in Europe, and the location benefit is especially true for this country. Advantageously situated at a crossroad between Europe, the Middle East, and Central Asia, and home to a population of almost 81 million people, investment in Turkey offers a great deal of opportunities for real estate developers and investors.
Key Facts and Figures About the Turkish Real Estate Sector
- In the last ten years, the real estate sector accounted for roughly 8.4% of GDP in Turkey. On the investment side, FDI inflows stood at USD 10.8 billion, with real estate and construction garnering USD 4.6 billion (42.9 percent) of total FDI in 2017.
- Urban renewal and mega projects dominate the agenda for the foreseeable future, particularly in Istanbul. Some projects in the city include Marmaray, Canal Istanbul, Yavuz Sultan Selim Bridge, Eurasia Tunnel, 3-Storey Grand Istanbul Tunnel, and Istanbul’s 3rd airport
- The Urban Renewal and Development initiative will encompass 7.5 million housing units. The initiative has a budget of USD 400 billion, with a substantial contribution from Turkey’s private sector.
- Consumer Price Index CPI in Turkey increased to 409.63 Index Points in April from 402.81 Index Points in March of 2019. Consumer Price Index CPI in Turkey averaged 202.30 Index Points from 2003 until 2019, reaching an all-time high of 409.63 Index Points in April of 2019 and a record low of 94.77 Index Points in January of 2003.
- Housing Index in Turkey increased to 109.30 Index points in March from 108.80 Index points in February of 2019. Housing Index in Turkey averaged 74.10 Index points from 2010 until 2019, reaching an all-time high of 109.30 Index points in July of 2018.
- There are more than 1.2 million square meters of office supply under construction; by the end of 2020, it is expected to reach 7.1 million square meters of gross leasable area.
- Istanbul ranks as the 6thmost attractive market in Europe after London, Paris, Moscow, Milan, and Madrid, according to JLL’s Cross Border Retailer Attractiveness Index.
- Compared to the European average, Turkey is still below the average of total leasable area per person despite the growth in recent years, which indicates the further potential for retail growth in Turkey in the future.
Foreign Direct Investment in Turkey increased by 13200 USD Million in 2018. Foreign Direct Investment in Turkey averaged 12634.88 USD Million from 2003 until 2018.