As two giant cities are planned to be built on two sides of the canal by 2023, Canal Istanbul is a very important project that has been closely followed by not only the Istanbul real estate market but the world real estate industry as well.
The Crazy Project Kanal Istanbul Is On International Tender For Completion
The Kanal Istanbul project which is known among Turkish public as the crazy project, has been on the Turkish news and media agenda from period to period since 2012. This huge world event 45 kilometer project is soon to under go a tender process by the Republic of Turkey Ministry of Transportation for the development stage and means 1.5 billion cubic meters of Earth will be moved to open the new channel right through.
The EIA process of the Kanal Istanbul project, which is projected by the Ministry of transport and infrastructure, is carried out by the Ministry of Environment and Urban Planning. A protocol was signed between the Ministry of Environment and Urban Planning and the Ministry of Transport and infrastructure in 2018 to plan the new city to be built around the Canal Istanbul.
World Map Will Witness 2 World Famous Bosphorus Straits Into The Black Sea
The project on solicitation be implemented to be complete in 5 years duration with Build-Operate-Transfer model. But still some oppose about the risk of landslides, fault lines, unsafe island formation. So what impact will the project have on Istanbul and the public real estate?
The Association of the Chamber of Engineers and architects of Turkey (TMMOB) Istanbul Provincial Coordination Board announced one of the most important water resources of Istanbul, Sazlıdere will also be in danger and maybe be destroyed that is against Turkish Laws
According to the protocol, IBB and Iski’s land along the canal route will be transferred to Toki. Revenue from all areas transferred to Toki will also be used to finance the canal. The project will start at Küçükçekmece Lake on the European side of Istanbul and continue through Sazlıdere Dam Basin through Şahintepe District, reaching the Black Sea from the east of Terkos Lake.
The Istanbul Straight Will Be 45 Kilometers Long
The conceptual displacement works of the existing infrastructure of other institutions and organizations on the project route, which will be 45 kilometers in length, were prepared in agreement with the related institutions. Kanal Istanbul, whose project cost is 75 billion liras, is planned to be implemented with a model of Public Private Cooperation.
The Impact of Canal Istanbul on Real Estate
Kanal Istanbul will increase real estate prices in four districts
Technology-oriented real estate valuation Platform Index. COM’s founding partner and CEO, Görkem Öğüt, the route, especially in terms of real estate values of the channel Istanbul Avcılar, Kucukcekmece, Başakşehir and Arnavutköy will be effective and shared the developments seen in the region.
Using the advanced possibilities of digital technologies in real estate valuation, canal istanbul will be alternative to the Bosphorus Strait and the route of the Channel Istanbul Project Avcilar, Küçükçekmece, Başakşehir and Arnavutköy, the real estate prices will increase considerably, he said. Öğüt, since the project began to take place in the region, the real estate prices have seen an increase in the area, the route will be determined with the demand increase, he noted.
Average price in Avcılar 2,500 tl/m2, 2,900 tl/m2 in küçükçekmece
According to data, Avcılar has been featured in real estate investment in Istanbul in recent years. The last 5-year value increase is at 40% levels. The region, which is prominent with housing projects, is expected to gain more value with the finalisation of the channel Istanbul route. According to Endeksa.com data, the average residential square meter sales price is 2,500 tl, the average house price is 296,000 tl, the average rent is 1,285 TL and the return period of the housing investment is 20 years. Housing prices ranging from 1 + 1 to 5 + 2 with different housing types vary between TL 220,000 and 560,000 TL.
Küçükçekmece is the second region in the last 5 years which has seen the most increase in real estate value within the regions mentioned under the project. According to the data 2017 the average residential square meter sales price in küçükçekmece at the end of November is 2,900 TL, the average house price is 310,000 tl, the average rent is 1,400 tl, the return time of the housing investment is 19 years. Housing prices from 1 + 1 to 6 + 2 with different housing types in küçükçekmece are between TL 220,000 and 560,000 TL.
Average price in Arnavutkoy district is 2,225 tl/m2, 3,300 tl/m2 in Başakşehir
On the agenda of the channel Istanbul Project, Arnavutkoy, the land square meter prices are yet lower levels compared to other regions, and because of the high supply of land, the potential for real estate development is the highest region. According to the data, the average residential square meter sales price in Arnavutköy is 2,225 tl, the average house price is 250,000 tl, the average rent is 800 tl, the return time of the housing investment is 25 years.
Although it is far from the central business areas of Istanbul as a location, the commercial areas of the region, the Olympic Stadium and the health campus for some time on the agenda with major investments and transportation projects Başaksehir, the route of the Channel Istanbul Project More prominent. Channel Istanbul Project due to the most significant increase in the district of the districts Pigeon, Shahintepe, Kayabaşı and Altinsehir neighborhoods. According to the Endeksa data, the average housing price of Basakşehir is 3,300 tl/m2, the average rent is 1,525 tl, and the return time of the housing investment is 24 years. So defenetly Başakşehir’s development speed will increase in the coming period.
Resource: turkishclassified / endeksa / invest.gov.tr
