NEWS Tourism Driving Growth in Turkish Real Estate

 Turkey is the sixth most popular tourist destination in the world, welcoming nearly 37 million international visitors in 2014, with the sector contributing €26bn to GDP.

In 2014, tourism in Turkey surged 5.5% year-on-year, boosting employment, the hospitality sector and real estate across the nation.

Turkey's biggest tourist markets are Germany, UK and Russia with a growing number of visitors from the US. During 2014 800,000 Americans travelled to the country.

Recognising the economic importance of tourism to Turkey, the government have set a target of 60 million visitors by 2023, contributing a projected €70bn to the economy. The country is set to host the G20 Leaders' Summit in Antalya which is expected to boost not only visitor numbers, but prestige also.

The hotel sector of Turkey's real estate market is thriving, with new hotels opening frequently and expanding the country's inventory into new destinations, as well as into the suburbs of Istanbul.

Istanbul remains one of the world's great tourist destinations

Most notably, Hilton Worldwide added to its extensive presence in Turkey with the opening of their 320-room Hilton Istanbul Kozyatagi on the Asian side of Istanbul.

Simon Vincent, President for Hilton Worldwide said: "Istanbul remains one of the world's great tourist destinations, attracting more than 10 million travellers last year alone. Having opened a wide array of hotels across the city in recent years, we're delighted to be offering guests yet more choice on the Asian side, which now benefits from even great accessibility to this bustling part of Istanbul".

The positive outlook for Turkey's tourism in 2015 is great news for property investors. With the government showing a commitment to increasing visitor numbers, and major infrastructure developments in progress or in the pipeline, it's not hard to see the potential for considerable growth.

As growth in tourism impacts Turkey's domestic labour market and prosperity improves, demand for rental properties close to commercial districts will increase. Property investors are no longer limited to buying in resort areas, with consistent rental yields increasingly available in Istanbul's up-and-coming suburbs.


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