The volume of vacant space in the office segment of real estate in the largest Turkish metropolis is gradually decreasing, and rents are gradually increasing, writes Emlakkulisi with reference to statistics from analysts.
According to the Turkish real estate sector report for the 3rd quarter of 2022, the supply of Class A offices in key business districts of Istanbul is fixed at the level of 5.27 million square meters. During the third quarter, new lease deals were concluded for 19,939 sq.m, of which 33% were in the Maslak district, 29% in Kyatkhan, and 10% in Kozyatagi-Atashehir.
In general, the average rental rates in the Istanbul Class A office market have increased significantly compared to the previous quarter.
The vacancy rate decreased from 20.8% to 20.5% on the European side and from 25.0% to 24.8% on the Asian side of the metropolis, resulting in a total vacancy rate of 22%. If we track the indicators for individual districts, the vacancy is observed at the level of 28.3% in Umranie, 24.1% in Maslak, 22.9% in Shishli-Zinjirlikuyu-Besiktas, 22.1% in Kozyatagi and 13.5% in Levent-Ethiler.
The average rental rate has risen from 350 to 450 Turkish lira (TL) per month in Levent-Etiler district alone.
Recall that the authorities decided to postpone the conversion of empty offices into apartments planned in 2022 to cover the needs of the rental market.
In Ankara, in mid-November, the Nev201 business complex, a landmark for the capital and for the whole country, opened.