In line with the growth rate recorded at 4.4% as of Q3 2013, the government projection points to continuously strong growth at 4%, although global institutions have not reviewed their projections for Turkey considering the current climate yet.

Jones Lang LaSalle Turkey presenting its Real Estate Overview of Turkey!

In line with the growth rate recorded at 4.4% as of Q3 2013, the government projection points to continuously strong growth at 4%, although global institutions have not reviewed their projections for Turkey considering the current climate yet.

The political uncertainty started on 17th December 2013 with the corruption investigations targeting the government has impacted financial markets. The TL has depreciated by approximately 14% against EUR/USD since then.

It is expected that FX volatility will set the real estate market to a new balance in 2014 in terms of pricing.

Tenants in office and retail markets ask for rent incentives. These have been in the form of exchange rate fixation.

We see investment activity slowing down amidst political uncertainty. However, we believe this will be temporary until the election in March 2014 and may create some acquisition opportunities if the local vendors are more motivated to sell this year. Consolidation has been a growing trend affecting the logistics market and it is expected to shape the sector in 2014.

Despite of the slowdown of ADR, hotel investment clock still maintains a position of investor interest drawn to this market.

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