Istanbul’s population set to soar to 15 million by 2023

by Charlotte Ashton Turkey

 

Turkey’s economic powerhouse, Istanbul, where a fifth of the population resides is one of the fastest growing megacities in the world. According to the latest data from TurkStat (Turkish Statistics Institute) pressure on existing housing stock within the city is set to increase further as the population rises to 15 million by 2023.
 
Overall Turkey’s population will soar to 83 million by 2023 and migration will be seen from eastern provinces towards the more prosperous western cities. The capital Ankara’s population will reach 5.5 million and Turkey’s third largest city, Izmir, will see an increase to 4.5 million.
 
The booming tourism industry is not only shaping the Turkish economy but also population distribution with the popular province of Antalya expecting to see its population increase by 27% from 1.9 million today to 2.6 million residents in 2023. Mugla province, located in south west Turkey and home to the well established tourist and second home destination of Bodrum, will see its population reach 1 million and Aydin, located on the Aegean coast, increase to 1.2 million.
 
Steven Worboys, MD of Experience International, the Turkish property experts, commented:
 
“Turkey is a country in the midst of a dynamic shift. The continued population expansion both naturally and through migration is putting further pressure on existing housing stock in western cities. The national housing deficit is well-documented with the Central Bank of the Republic of Turkey stating a requirement for 5.5 million additional homes in Turkey by 2015, of which 50% of these are needed in Istanbul in order to address the chronic shortage of accommodation.” 
 
The population of Istanbul, awarded Capital of Culture status this year, has seen the population increase by 341,322 in the last 2 years alone and with a growth rate of 1.7% per annum, the city is expanding faster than 118 countries.
 
New developments are springing up in Istanbul with developers selecting prime locations in the up and coming western suburbs. The district of Beylikduzu in particular is seeing luxury residential developments such as No1 Knightsbridge which is designed to meet the accommodation needs of the burgeoning Turkish middle class.
 
Designed by award winning, world renowned Turkish architect, Metin Hepgüler, No1Knightsbridge will incorporate cutting-edge architectural designand include studio, 1, 2 and 3 bedroom apartments with sea and city views. Savvy investors are purchasing pre-launch with as little as £12,300 with 70% finance available and enjoying a 2 year 7.5% protected rental guarantee.
 
Steven Worboys concludes:
 
“Istanbul remains one of the most exciting and attractive property markets in the world today. The enviable balance of supply and demand is in place with strong capital gains and high rental yields on offer. This truly is an investment hotspot.”
 
For more information about investing in Istanbul or buying property in southern Turkey please contact the experts at Experience International on + 44 (0) 207 321 5858 or visit www.experience-international.com.

Turkey’s Newest Marina Boosts Istanbul’s Western Suburbs

by Charlotte Ashton Turkey

 

Istanbul’s western suburbs are set to receive a further boost with the announcement of plans to build a new marina worth $16 million.
 
Dati Investment Holding, one of Turkey’s leading development consortiums which also owns the high end Galleria shopping mall, the Crown Plaza and Istanbul’s latest 5* hotel, the Sheraton Istanbul Ataköy Hotel, intends to build a new marina in the Ataköy district located on the European side of the Bosphorus.   
 
The new Park Marina project will cover some 15,000 square meters near the Ataturk International Airport, only 15 miles west of Istanbul’s financial centre, and will include restaurants, shops and a state-of-the-art marina. Park Marina is scheduled to open in mid-September.
 
Steven Worboys, MD of Experience International which is marketing a number of luxury residential developments in the western suburb of Beylikduzu, only 20 minutes from Ataköy district, comments:
 
“Such significant investment in the suburbs of Istanbul is extremely positive for the future. As the city has grown, pressure on available land in the financial centre has increased and now developers are looking to burgeoning districts in the west such as Ataköy and Beylikduzu which are seeing significant population increases and investment in infrastructure.”
 
Dati Investment Holdings echo this viewpoint, demonstrating a commitment to the future of districts such as Ataköy. They have been parised by the government for their investment of $60 million in the renovation of the Sheraton Ataköy Hotel and $20 million in the Galleria shopping centre, one of the most popular recreation areas in the city.
 
Gökhan Kıran, board member and head of executive board of Dati, recently commented:
“With ParkMarina life center and Dati’s new projects [in the pipeline], we believe Ataköy will again be an attractive district. We also plan to build a new hotel in Ataköy and our master investment plan for the region will be a mega yacht marina.”
 
The western suburbs of Istanbul are seeing significant international property investor interest with capital gains of up to 30% reported for Beylikduzu district. Demand for quality accommodation in this area remains high and exclusive pre-launch opportunities such as No1 Knightsbridge allow savvy investors to purchase luxury apartments at up to 50% below completed prices and enjoy a 2 year 7.5% protected rental guarantee.
 
For more information on the western suburbs of Istanbul or indeed investing in property then contact the experts at Experience International on +44 (0) 207 321 5858 or visit www.experience-international.com.
 
Editors Notes:
No1 Knightsbridge, Beylikduzu, Istanbul
No1 Knightsbridge comprises 338 studio, 1 and 2 bedroom luxury Istanbul apartments. The property has been designed by an award winning architect and these contemporary styled residences afford sea and city views.
 
All apartments come complete with all modern conveniences including fitted modern kitchens, designer shower rooms, laminated flooring, central heating and air con and underground parking. The complex has an indoor swimming pool, landscaped gardens, coffee shops & terraces and sauna, Turkish bath and fitness suite
 
Property available from just £41,000.  For more information please contact experience International on 0207 321 5858 or visit www.experience-international.com.

Detroit ranks No.1 US Housing Market in 2010

by Charlotte Ashton United States

 

Known as the “Renaissance City” the regeneration of Detroit is unequivocally underway with the latest Housing Predictor forecasts ranking the city number 1 housing market in the US with 21.5% growth forecast for 2010.
 
There remains a shortage of some 30,000 rental homes in the Metro Detroit area and savvy buy-to-let investors are purchasing refurbished family homes in the most sought after locations at prices as little as £32,000, up to 40% below market value.
 
Steven Worboys, MD of Experience International which is marketing properties in Detroit, comments:
 
“Since launching this unique investment opportunity in 2009 response has been overwhelming with over 250 units purchased and clients are already benefitting from rental income and yields of 21% per annum.”
 
 
US Auto Industry Back on Track

The US automobile industry, which plays a key role in the ‘Motor City’ of Detroit’s economic recovery, is also very much back on track with Ford Motor Co. posting a $2.1 billion profit for Q1 2010, continuing the run of four straight quarterly profits since 2005.
 
In a recent address US President Barack Obama remarked on the turnaround of the motor industry saying “the industry is recovering at a pace few thought possible”. In addition to Ford, Chrysler has announced an operating profit for Q1 2010 and it is reported that General Motors has created over 45,000 jobs with an additional 1,200 expected to be saved this year by the construction of a new vehicle in a factory just north of Detroit.
 

Employment Prospects Strong for Detroit

Detroit is very much a working city generating demand for affordable accommodation and prospects for future employment look strong as private and government investment flows in. The proposed construction of the $5.3 billion Detroit River International Crossing project which will connect Detroit to Windsor, Ontario on the Canadian side is forecast to create 10,000 construction jobs and more than 221,000 jobs in Michigan.
 
If you are considering investing in Detroit and capitalising on the demand for rental accommodation then 3 bedroom family homes are available from as little as £32,000 including buying costs and a complete refurbishment by The Home Depot, with ongoing tenant management and the first 2 years of maintenance costs paid making this a truly hands free property investment.
 
As Steven Worboys concludes:
 
“When purchasing in Detroit it is essential to select the right properties in the right locations. We work with expert local partners based on the ground in Detroit who are able to identify for our clients the premium roads and suburbs in which to buy and can gain access to the most desirable properties as soon as they become available.”
 
For more information on the properties available or a detailed Detroit Investment Report please contact Experience International on + 44 (0) 207 321 5858 or visit www.experience-international.com.

6% growth in dive tourism boosts demand for Red Sea property

by Charlotte Ashton Egypt

 

Egypt’s Red Sea coast is regarded as one of the world’s finest diving destinations and now with dive tourism identified by the World Tourism Organisation (UNWTO) as one of the fastest growing tourism sectors, demand for homes in this diving mecca is growing.
 
With crystal clear waters, sheltered bays, pristine coral reefs and protected areas such as Ras Mohammed National Park, 19 miles from Sharm El Sheikh, Egypt’s Red Sea coast draws millions of divers each year from all over the world many of whom go to complete their PADI (Professional Association of Diving Instructors) training. It is estimated that 600,000 new PADI divers are certified each year, representing annual growth of 6%.
 
Steven Worboys, diving enthusiast and MD of Experience International, which markets over 5000 premium properties along the Red Sea coast, comments,
 
“The superior diving available along the Red Sea coastline plays a key role in the success of resorts such as Hurghada, Sharm el Sheikh and Sahl Hasheesh. Due to the unique marine environment it is possible to step from the sandy shores straight into pristine coral reefs. It is for this reason that more and more people are looking for a permanent base in the area, a second property which they can use at their leisure to pursue their hobby but also rent out to other diving aficionados.”
 
This lifestyle appealed so greatly to Phil Cotton from Stoke-on-Trent who as a self-proclaimed “natural born diver and sun lover” fulfilled his lifetime dream of living and working by the sea when he purchased an apartment in the popular town of Hurghada.
 
Phil explains:
 
“My wife and I knew that Egypt was the right country for us having visited Sharm el Sheikh and Taba in the past. The year round sunshine, the first class diving – the Red Sea is the biggest and best fish tank in the world! – welcoming local people, an established expatriate community and being not too far from the UK were all important factors to us. Added to this, we have seen property values rise over the last couple of years which was a key consideration seeing as this property is our personal pension.”
 
Phil purchased a 2 bedroom luxury penthouse apartment in the superbly located Arabia Palace development with fantastic sea views from the balcony. As Phil says,
 
“The main appeal of this area is that it is as close to the coast as you can really get, other than in the beach-fronted hotels with fantastic, uninterrupted sea views of the islands off the coast and no buildings being built any higher than ours to spoil the views.“
 
The first phase is already complete with tenants in place but 1 bedroom apartments are still available from only £36,700; for more information please contact Experience International on + 44 (0) 207 321 5858 or visit www.experience-international.com.

New French Leaseback magazine launched – essential reading for property buyers

by Charlotte Ashton France

Responding to demand for more information about French leaseback property, Focus on France, the new 32 page magazine launches today.

Over 100,000 Britons already own homes in France and leaseback properties are highly sought after as they offer freehold ownership, guaranteed income and personal usage. But how does the model work? Where is the best place to buy? What returns can be expected?
Focus on France, published by French leaseback experts, Experience International, is your essential guide to French leaseback property and answers all the questions potential buyers may have.
“Focus on France is an indispensible guide for any looking to buy a leaseback property in France. It contains clear explanation of the sale-and-leaseback model, the latest news, independent expert advice and buying guide. Also featured are the most popular areas to buy and the hottest leaseback properties on the market”, comments Steven Worboys, Publisher and MD of Experience International.    
The new 32 page magazine is complimentary for potential French property buyers and features:
– Why are leasebacks such a safe bet? by the Editor of What House? Magazine
– The latest property market information
– Top 10 reasons to buy in France
– Where to buy? Location focus on Provence, the Alps and SW France
– Buying Guide
– Hot properties – guide to the best leasebacks available today
To receive your complimentary 32 page Focus on France magazine today visit http://www.frenchleaseback.org or call + 44 (0) 207 321 5858.

Canny investors choose Turkey

by Charlotte Ashton Turkey

With buy-to-let investors in the UK chastened by falling property prices and stricter lending criteria, is it possible to find a good rental property abroad? We look at two scenarios in Turkey, an exciting emerging market with excellent prospects that buck the national trend.

Spared the worst effects of the global financial crisis, the property market in the largest Turkish cities where economic activity is concentrated is buoyant due to a burgeoning urban population and rapid economic growth. With forecasts of 5-6% growth for 2010 and ratings agency Standard & Poor recently upgrading the country’s investment rating, prospects for the Turkish property market look very positive. The majority of Turkish households still rent their home and there is a well-documented shortage of quality housing in the country’s main centre Istanbul, which has over 12 million people. This is driving the growth of modern residential developments targeting the middle-classes in areas such as Beylikduzu, 30 km west of the city centre.
“With prices from £40,000 for a studio apartment and a buoyant rental market of young professionals and families, annual rental returns of 5-6% make this area an attractive proposition for foreign buyers,” says Dominic Whiting, editor of Buying in Turkey guide www.buyingin.co.uk.
The country’s rapidly developing tourist industry, which is set to attract over 26 million visitors to the country, provides another option for those looking to earn a rental return, but also to enjoy some time in their property.
Greatly improved air access from the UK, with new routes launched by package and low-cost airlines such as Easyjet and Thomas Cook, have boosted the rental market in the coastal tourist areas. However, Dominic Whiting, editor of Buying in Turkey guide, www.buyingin.co.uk, cautions:
“Buyer’s need to choose their area and property very carefully, but net returns of 5% are possible in the best locations, like Sarigerme, Kalkan or Ovacik and Hisaronu, close to the picture postcard Oludeniz lagoon.”
 
Example Rental Properties
 
Crystal Homes, Istanbul £40,000
1 and 2 bedroom apartments with a full property marketing and management service and a 2-year 7% per annum rental guarantee. 70% mortgage finance available. Contact Buying in Turkey, Tel: 0845 351 3551, www.buyingin.co.uk,
Laurel Apartment, Ovacik, Fethiye, £75,000
Spacious 2 bedroom split-level apartment on a small complex with pool. Fully furnished to a very high standard. Excellent rental history with confirmed bookings for the 2010 season. Contact Buying in Turkey, Tel: 0845 351 3551, www.buyingin.co.uk

6% Growth Ensures Turkey Real Estate Remains Top Choice

by Charlotte Ashton Turkey

 

Real estate in Turkey remains at the top of investors’ wish lists in 2010 as latest data from the Real Estate Investing Partners Association (GYODER) reveals a 6% growth in the sector in Q4 2009.
Despite concerns over the effects of the global economic slump in 2009, 186,992 construction licences were secured in Q4 2009, an increase of 111% on the previous quarter and building permits enjoyed an 11.86% rise in 2009.
As Turkish property expert, Steven Worboys, MD of Experience International, comments,
“Such positive growth figures only bolster investor confidence in the Turkish real estate market which is enjoying a remarkable boom in 2010. Much of the property sold over the last 12 months has been off-plan and it is pleasing to see that building permits are being issued and global economic issues have not stalled construction.”
One project currently under construction is the prestigious Crystal Heights development located in Turkey’s economic powerhouse and second city, Istanbul. Early stage investors are already seeing up to 37% capital growth and the 7% rental guarantee for 2 years on completion in 2011 is soon to be enjoyed.  
One key factor driving the 6% growth in the real estate sector is the availability of finance. Property buyers, both domestic and foreign nationals are finding banks willing to lend with mortgage interest rates as low as 4.8% (subject to status) making the already discounted property prices even more affordable.
Steven Worboys continues,
“The availability of finance has been a real stumbling block for many emerging markets in the past and it is encouraging to see that Turkey has recognised the importance of the availability of mortgages for domestic and foreign nationals alike in driving the real estate market forward.”
Due to the availability of up to 70% finance, The Hampton’s development, located on the European side of Istanbul is seeing significant investor demand. These luxury studio apartments with sea and city views offer an attractive 7.5% rental guarantee for 2 years and with finance are available with as little investment as £13,500.
For more information about Turkey’s booming real estate sector and how to invest, talk to the experts at Experience International on + 44 (0) 207 321 5858 or visit www.experience-international.com.

Egypt bucks global trend as 29% increase in tourism recorded

by Charlotte Ashton Egypt

 

The popular holiday destination of Egypt is bucking the declining global tourism trend by recording a 29% increase in tourist arrivals and 24% increase in tourism revenue in Q1 2010. 
 
In stark contrast to the overall state of the global tourism industry which is struggling to recover from “one of the most difficult years” (2009, WTO) and currently suffering another blow from the Icelandic volcano crisis, estimating to be costing airlines up to $400 million per day (International Air Transport Association), the north African nation appears to be going from strength to strength.  
 
It cannot be said that Egypt was totally unaffected by the economic slump of the last 12 months but with 3.46 million visitors arriving between January and March 2010 generating a revenue of $2.7 billion, the nation has “completely rebounded” according to Tourism Minister, Zoheir Garranah.
 
Tourism plays an increasingly important role in the Egyptian economy, currently growing at an impressive 5.1%, accounting for more than 12% of jobs and generating $10.76 billion in 2009 according to the Tourism Ministry. The traditional historical and cultural attractions such as the Pyramids of Giza and Luxor remain highly popular but increasingly the Red Sea coast is drawing millions each year to its clear warm waters, white sandy beaches and reliable sunshine.
 
Steven Worboys, MD of Egyptian property experts Experience International, with over 5000 properties along the Red Sea, commented:
 
“Egypt remains one of the most sought-after holiday and second home destinations in the world with over 1 millions Britons visiting annually. The combination of easy, cheap and direct access from the UK, affordable property prices and a reliable climate has made Egypt and the Red Sea coast in particular almost irresistible.”
 
One particular property development which is seeing increased interest not least due to its exclusive SIPP eligibility is the Samra Bay Marina & Spa Resort available through Experience International. Affording a true frontline location on the “Golden Mile” of Hurghada, these luxury studio and 1 bedroom apartments are available from as little as 59,300 Euros, offer a guaranteed income for a minimum of 8 years and are certainly worthy of consideration in 2010.
 
Forecasts for the remainder of 2010 are positive with a minimum 5% economic growth expected and a target of increasing tourism receipts to $11.5 billion. Acknowledging the importance of investment the government also plans to increase spending by 11.2 billion Egyptian pounds ($2 billion) to support the economy, with most of the money going into infrastructure projects.
 
For more information about buying in booming tourism hotspot of Egypt contact the experts at Experience International on + 44 (0) 207 321 5858 or visit www.experience-international.com.

Latest official tourism data boosts confidence in Turkish buy to let market

by Charlotte Ashton Turkey

The latest official tourism data, released by CompaniesandMarkets.com, has provided a further boost to Turkey’s booming buy to let market.

The Turkey Tourism Report Q2 2010 revealed an impressive 11% increase in foreign visitor arrivals for Q4 2009 compared to the same period in 2008. During 2009 as a whole the number of foreign arrivals rose by 3.7% year-on-year to just over 27 million with 2010 European Capital of Culture, Istanbul witnessing a favourable 6.5% year-on-year increase.
The majority of visitors to Turkey are from the UK, Germany, US, Italy and Russia generating a demand of 91.8 million tourist room nights in Q4 2009 however this period also saw a marked increase in the number of domestic tourist room nights, a 19% increase year-on-year.  
Steven Worboys, MD of Turkish buy to let experts, Experience International, comments,
“The rise in domestic tourism within Turkey over the last six months is notable. Economic prosperity and improvements in internal infrastructure have enabled more Turkish nationals to holiday within their country, not only visiting coastal resorts but also Turkey’s second city, Istanbul which is enjoying increased and deserved attention as European Capital of Culture 2010.”
The increased in arrivals has in turn applied pressure on existing accommodation supplies especially in cosmopolitan Istanbul. Construction of new developments such as Crystal Heights, located in the burgeoning suburb of Beylikduzu on the European side of the city, are underway with early stage investors already seeing capital growth of up to 37%.       
Steven Worboys further comments:
“Istanbul has a chronic undersupply of accommodation with 250,000 units required per annum to meet demand. This situation makes the buy to let investment model highly attractive to investors who can capitalise on the 400,000 migrants entering the city each year and requiring housing.”    
The outlook for Turkey’s tourism sector and subsequently the buy to let sector in 2010 is positive with further growth expected from euro zone nations including Germany, Italy and the UK as their respective economies recover. High quality, luxury apartments in city centre locations ideal for buy to let such as The Hamptons in Istanbul, can be secured outright from as little as £33,500 (fixed in sterling) with investors also able to enjoy a 7.5% p.a. rental guarantee for 2 years.    
For more information contact the Turkish property experts at Experience International on + 44 (0) 207 321 5858 or visit www.experience-international.co.uk.

Surge in demand for German solar energy investments as feed-in tariff cut approaches

by Charlotte Ashton Germany

The world leader in solar energy (as featured on the BBC), Germany, is currently seeing a surge in demand for solar energy investments as the deadline by which to ´plug in´ before the cut in the feed-in tariff (FIT) looms.

As reported in Reuters (citing a parliamentary source), a cut of up to 16% is expected for most solar photovoltaic installations from 1st July 2010, significantly reducing the incentive for investment.
Solar photovoltaic (PV) panel manufacturers have been inundated with orders not only from domestic homeowners but also from businesses and investment groups with larger roofspaces and qualified installers have been working around the clock to fit the panels in time. 
Steven Worboys, MD of Experience International who is marketing exclusively, for the first time in the UK, solar energy investments in Germany, comments:
“With the 1st July deadline fast approaching we are sourcing additional roofspace in order to meet the serious demand for solar energy investments in Germany. UK investors know that ´plugging in´ by this date will maximise their returns over the next 20 years.”
The FIT was first introduced into Germany in 1990 and required utilities to connect renewable energy generators to the grid and buy the electricity produced at a rate of 65-90% of the average tariff charged per unit to end-users. The model has been so successful in supporting the development of the renewable energy industry that is has been replicated all over the world, including the UK.
However, some 20 years later, the German government has decided that the feed-in tariff, currently at 32 – 43 eurocents/kWh, is over-subsidizing the renewable energy industry and costing the consumer too much (8.95 billion euros in 2008) and so the FIT rate is to be reduced. The fall of up to a third in the production of solar panels and growth in cheaper imports, especially from China, also influenced the decision.
By their very design FITs are intended to reduce over time and the cut is not unexpected, even if the double-digit nature is deemed somewhat severe by some. But as Steven Worboys concludes:
“The feed-in tariff has been integral in turning Germany into the largest and most successful solar energy producer in the world. It has installed 9 GW of PV capacity with government targets for 66 GW by 2030. The industry has a turnover of some €1.7 billion per annum, employs 20,000 people and analysts predict that solar energy can provide 25% of the nation´s electricity by 2050.”
With such marked progress to date and new government targets for renewable energy production being made, the imminent cut in FITs is certainly not the end of Germany´s solar success story. There remains a window of opportunity for investors to see returns of €21.501 net income in Year 1 and 17% net ROI for years 1 – 20. Investment is from €50,000 and 90% non-recourse finance is available.
For more information about ´plugging in´ before 1st July 2010 contact Experience International on +44 (0) 207 321 5858 or visit www.experience-international.co.uk.