Financial and professional services firm specialising in commercial real estate services and investment management, JLL released “Istanbul on the World Stage” report. According to the “Istanbul on the World Stage” report, Istanbul has been the most improved Emerging World City over the past five years on a range of performance indicators. Its economic fundamentals are stronger than many of its global peer cities.
Istanbul is 20th on JLL Global30, The World’s Most Powerful, Productive and Connected Cities list.
- “Istanbul on the World Stage” report states that, Istanbul now sits firmly among Europe’s ‘Big Four’ megacities – alongside London, Moscow and Paris, despite a background of rising geopolitical risk.
- JLL’s Index of Commercial Attraction sees Istanbul ranking among the world’s top 20 most important business hubs. Among its Emerging World City peers, Istanbul stands out for having improved as a trusted financial centre, a home to innovation and commerce, and for infrastructure improvements.
- A unique cultural identity and extraordinary vibrancy supports Istanbul’s position among the world’s top five visitor destinations, although it is vulnerable to security threats. Global connectivity is improving rapidly – and Istanbul is now the world’s fastest growing air passenger hub.
- Expansion of the city’s infrastructure is transforming Istanbul and is playing a key role in its economic dynamism.
- Istanbul is witnessing an impressive level of new construction. By the end of the current development cycle the city is likely to be home to:
- Over 5 million square metres of modern retail space, including several truly world-class shopping malls;
- Close to 7 million square metres of Grade A commercial office space, including new business districts such as the Istanbul International Financial Center;
- Around 9.5 million square metres of modern logistics space (across the Greater Istanbul Area);
- In excess of 56,000 hotel rooms in over 500 graded hotels.
• Real estate is a contributor to, rather than a consequence of a successful city. Istanbul must provide the infrastructure and environment for productive activity that facilitates creativity, innovation and entrepreneurship, while retaining the city’s cultural identity and fostering a sense of community. This will require an ever more flexible and collaborative real estate industry that:
- – Embraces transparent real estate practices. Improvements are needed in key areas of market tracking, performance measurement, regulatory oversight and transaction processes.
- – Is liquid and open to international capital. Given its economic size, status and maturity, Istanbul should be directly transacting US$3-4 billion in commercial property per year (rather than an average of US$500 million per year in each of the past five years).
- – Preserves Istanbul’s uniqueness. The city is facing a difficult balancing act of growing its role as an international business centre while preserving its unique natural and cultural identity. Owners and developers need to activate their physical real estate assets in ways that build on Istanbul’s strong sense of place, vibrancy and buzz.
- – Fosters innovation and sense of community. Istanbul must respond to the new spatial geography of innovation with more mixed-use, compact, well-connected neighbourhoods that promote connectivity, collaboration and innovation, while cultivating a sense of community and well-being for its citizens.
- – Responds to the need for a healthier and sustainable environment. The imperative for sustainability is mounting, and real estate must play a part in providing a new generation of efficient, sustainable and
- – Provides high-quality, affordable and accessible housing. To improve the city’s liveability, Istanbul must continue to regenerate and invest. Ongoing infrastructure projects and renewal projects are already reshaping residential submarkets and providing housing across a range of income groups. This is the hallmark
of cities that are successful, and that attract talent and business.
The Country Chairman of JLL Turkey, Avi Alkaş says, “Istanbul on the World Stage report sees, Istanbul is a dynamic and increasingly successful Emerging World City, despite a background of rising geopolitical risk. A combination of growing consumption, a strong demographic profile and an economy driven by the expansion of financial & business services and the technology sector have fuelled strong metropolitan growth.”
JLL has more than 58,000 people in 1,000 locations in 80 countries serve the local, regional and global real estate needs of those clients, growing our company in the process.
To download the full report click here.