The Neighbourhood Watch – Galata

Galata is one of the magical neighborhoods of Istanbul that conjures up a mystical past. The Galata Tower, in fact, is arguably the most iconic of symbols in this city that is resplendent with them. Its stocky, tough yet elegant stature gives testament to the city’s durable character. Built by the Genoese in 1348, it has withstood numerous earthquakes, fires and so forth. Although little of what remains from the Constantinople area still stands today, Galata has managed to retain an oddly gothic feel, with narrow winding streets and plenty of lung-busting hills.

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Those medieval streets

Those medieval streets

It has also become a center for fashion, architecture and design with many smart and sleek offices peppered throughout.   It pushes the boundaries with some of the highest real estate prices with inimitable names such as Dogan apartment, the I-Pera projects, Kamondo Han, and Galata A.S. to mention only a few. An area that 10 years ago was plagued by wandering groups of glue sniffers (tinerci) and plenty of trash, has now almost completely transformed into a very frequented tourist area and an address of the fashionista and legions of Istanbul hipsters, artists, and musicians. Galata is home to many famous actors, designers and alternative artists. Increasingly, it has become a place where the Istanbulu elite have weekend pads.

Perched at the corner of the Golden Horn and the Bosphorous, it is not hard to see why the Genovese booked this spot for their famous lookout tower. In many ways, it is the gateway both geographically and culturally to the city, both then and now. It also retains its commercial feel, as a place where lots of to and fro on prices is exchanged in the music shops on Galipdede St.

Just a few years ago, it was a struggle to find a decent restaurant, whereas nowadays there is a chic café on every corner and many good restaurants, including the Kiva and Enginar restaurants, which specialize in Turkish food.  Try the Nardis Jazz  Club for a chilled out night.

Galata is now superbly connected with the rest of the city in terms of transport. Utilizing the new Sishane line, you can go all the way out to Sariyer at the north of the Bosphorous and in future it will be extended South with a connecting link to the airport. The Tunel line connects you to the Galata Bridge, where you can carry on with the tram until the airport. It also has easy walking access to the old town and evening walks over the Golden Horn mingling with the fishermen on the Galata Bridge are a very cool past time.

The Location

The Location

The Galataport project, which is still a few years away, promises to add further shine and star power to the area, with its plan to offer the multitude of services and attractions necessary to keep the mega-liner crews and passengers entertained.

Although many of the buildings of Galata still require refurbishment, when one considers that this neighborhood was practically untouched by this trend all but 10 years ago, the pace of change is frankly staggering and shows little signs of abating. It leaves little doubt that this will become one of the most well-known tourist areas within the next 10 years and will become an almost household name such as Montmartre, Soho, or Las Ramblas.

Kiva Restaurant

Kiva Restaurant

Given this trajectory it is quite predictable that real estate prices have risen dramatically in the past years and seem set to move upwards, albeit at probably a more subdued speed. As there’s not much scope to create more building stock in these areas we expect to see a similar capital growth progression as Cihangir with possibly a 5-7% per annum property price inflation. Rental returns are good but not eyepopping coming in at approx 6-8%, though short term holiday lets can be much better if done well.

One of Lilimonts slick offerings!

One of Lilimonts offers!

Currently, for the in-demand properties, one could expect to pay a minimum of 2000 Euro/ sqm and go well upwards of that for anything with a view. The highest square meter price I have on record is about 8000 Euro/ sqm for a property with a lift, stunning views and an inspired architect’s interior finish.

The rents follow suit, with nicely finished properties of between 60-80 sqm costing a minimum of 1000 Euros monthly with peak prices for a very high end Bosphorous View Penthouse reaching 5000 Euros. Expect a good average sized 2/3 bed apartment to cost 1500 – 1800 euros per month.

If you fancy a Galata pad, get in touch with me – www.lilimont-istanbul-realestate.com

The Neighbourhood Watch – Cihangir

One of the must-see sights in Cihangir is the mosque that gives its name to the area. Sultan Suleiman commissioned the building of this mosque with the great architect Mimar Sinan. Legend has it that he built it for his son, Cihangir, who was often bed-ridden, so he could watch the ships pass by on the Bosphorous. The view is nothing short of stunning, if you have 30 minutes on a quiet day just go and sit there, you don’t have to do anything else. In fact, one of the very reasons for Cihangir’s rise to real estate prominence is the fact that the views are amongst the best in the city.

The location

The location

Cihangir is now one of the prime neighborhoods that have undergone dramatic change over the past 15 years. Once a rough and ready home to alternative artists and long-dwelling locals, it has been propelled into a well-known domicile for famous Turks and expats of all kinds, yet has managed to retain its essentially artistic core. Turkish soap opera stars and film directors are in evidence on every street corner cafe. The Firuzaga Tea Garden in the centre is all bustle but on the coldest of days. New cafes, yoga centers, pilates studios, and bakeries are now a familiar part of the urban landscape.

In the same vein as London’s Notting Hill and New York’s Greenwich Village, its property regeneration progressed slowly over a number of years. The government did not have money for extensive regeneration projects 15 years ago as they do now, and Cihangir has been alone in finding its feet. This organic process has been a positive as it has not attempted to direct it on any pre-determined route which can often leave a neighbourhood without its sense of community and history. In contrast, Cihangir is all about these values.

The Mosque with it's view

The Mosque with it’s view

The buildings, many of which are being restored or have already been so, offer flavours of Greek, Italian and French architecture, with high ceilings, bay windows, hand-made Turkish tiling, with the odd marble staircase. They tend to be reasonably sized and look quite elegant. As with a lot of Beyoglu and central Istanbul, Cihangir was mainly populated by well-to-do Europeans and Turks in the early 20th century who were often owners of the many trading businesses or worked in shipping, thus having the resources to create and decorate these handsome properties. The area fell into a 60-70 year decline through a myriad of political and economic problems, and only in the past 15 years has it rediscovered an admiring wealthy audience once again.

Wouldn't you want to live here?

Wouldn’t you want to live here?

Fancy

Fancy living

The café, bar and restaurant scene is possibly the best in Istanbul. An evening can start with cocktails in one of the hip bars or cafes such as Zenka with its cool ambiance, moving on to the White Mill Lodge and its great hidden garden and finally ending by getting down and dirty with the underground night crawlers at the infamous Mini-Music Hall!

So what of Cihangirs future? My view is that we will see a steady progression in property value combined with a slickness that normally wouldn’t be associated with Central Istanbul outside of Nisantasi. It is evident on view of local municipality works such as pavements and curbs as these tend to be of a better level and finish than neighbouring wards. Now that the community is moving back once again to its wealthy European roots and additionally with the influx of the Turkish media crowd the pressure is on to raise the local living standards. I have found properties for senior International execs both for purchase and rental in Cihangir, when at one time these guys would have been safely ensconced in Bebek or Etiler never to be seen downtown. The amount of large scale regeneration and infrastructure projects, such as Taksim Square redevelopment in the immediate vicinity raises the International bar considerably. My view is that prices will rise but without the aggressive energy witnessed over the past 10 years. Maybe we’ll see 5-10% year on year capital growth of property with a possible rental return range of 5-7%… not bad in a developed low-risk neighbourhood,  especially now that money can be well levered with a mortgage . Cihangir is here and is not going anywhere South for the foreseeable future!

If you like the sound of the above and you want to own property in Istanbul within a five-minute walk from the very centre, then you are probably not too startled to hear that prices start out at around 2000 euro/ square meter. Majestic Bosphorous view properties in prime location and well-restored buildings have been known to eclipse 6000 Euro/ square meter. The average price would be about 3000 Euro/ square meter at time of writing.

The rents start out at around 1000 Euro/ month for something smart, but not too large, whilst properties commanding the coveted view, of large size (140 sqm and above), and in fine condition can be upwards of 4000 Euro/ month.

www.lilimont-istanbul-realestate.com

The advantages of working with one real estate agent

Istanbul is a massive and sprawling mega-city that can be very hard to grasp for first time visitors. It can also be quite challenging to get from one end to another, if there ever really is one end or another.
If you are considering purchasing property here, the logical first step is to research and find an agent that shares a common language with you. As you probably have a finite time, be it a week or two, to find the property you want, it is best to start out with one agent that you have created a long distance relationship with and see where that gets you.

Try to find an agent that has a grasp of your needs, but be under no illusions as it’s up to you to outline your wants pretty clearly, agents are not clairvoyant . For non-resident clients, as an agent I like to have a pretty firm budget in my hands and at least a general idea of location (city center, outskirts, European side, etc). Also, any information on physical characteristics of the property is useful; is a view a necessity? Historical building or new? Also, before putting in a lot of research, an agent dealing with offshore clients would usually like to know how the property purchase will be funded. These are not meant to be invasive questions, but rather serve to limit everyone’s loss of time.

So, you have fulfilled your part, now what should you expect from the agent? If you have arranged a travel date, they should state clearly that they will indeed take you to view some of the properties that you have selected from their website and give you some idea of how long it will take to complete the viewings. A good agent will help you wade through the bureaucracy of the actual sale and contract and then help with after sale issues, it then becomes apparent that you are getting good value with the commission. It’s worth noting that a good Istanbul based agent will most probably run rings around a generic agent from London.

Maybe steer clear of this guy

Maybe steer clear of this guy

It is also important to be clear and discuss up front the associated fees of a completed transaction (be aware of anyone who is not transparent in this regard).
The agent should also disclose all potential problems there may be in a particular property…is it in a zone where foreigners can buy? Is it residential or commercial? What are the issues, if any, with tenants? Property problems come in all shapes and sizes but do not dispare as these are not likely to be dissimilar to issues seen in the Western world.

If you feel the agent is showing you properties that are close to fitting the bill, but you haven’t found exactly what you are looking for, don’t be shy about asking the agent to contact another agency for alternatives. If you try to do all this by yourself, it can lead to a great loss of time and can be very unproductive, as someone who you have not been working closely with will likely just try to sell you what they have on the books and not necessarily what you want. They may drag you half way across the city to show you a 2 bedroom, when you specifically asked for a three bedroom.

If your agent feels you are a serious client, they will likely go the extra mile for you, and you will have seen more properties that are to your liking in a more efficient manner. Ultimately, it helps to do a fair bit of research prior to arriving in the city and to have at least one person you feel that you can begin to work with.

My kind of agent!

My kind of agent!

Even though I mainly work in Beyoglu, if I feel good about the client, I’ll gladly extend my search to other areas.

www.lilimont-istanbul-realestate.com

A tale of two cities: real estate prices in central Istanbul and Budapest

Over the summer, I had the opportunity to explore the real estate scene in Budapest. To be frank, I was quite surprised at how cheap it was (now don’t drop reading and rush off to Budapest just yet…or at least not without calling me first!!!). It really got me thinking. I was looking at quality, un-renovated historical properties in reasonably good locations that were going for under 1000 euro per sqm. I have been in a lot of European capitals over the years, yet I have not found prices like that anywhere, even in raunchy Bucharest or relative backwater places such as Sofia.
The prices are less than half that of equivalent properties in Istanbul, which is not even part of Europe, a.k.a ‘the bubble belt’.
I reflected on this at length and I came up with a few pseudo-theories that I think stack up.
Apart from the obvious economic facts which any economist could rap off in their sleep… such as Istanbul’s being one of the fastest growing dynamic mega-cities  or its geopolitical importance in the 21st century, bridging Europe and Asia, etc…are the other, less tangible reasons why I feel real estate prices are higher in Istanbul and will likely surge higher. Much like Moscow, New York, and the undisputed king, London.

In Istanbul, you can buy anything and at ANY TIME. It defines the insomniac modern city. And everybody is selling something. It is deeply immersed in the culture, so much so that I am appalled at how concerned I have become about the price of trivial items, of one kind or another, I have been indoctrinated. When my friend buys a new pair of socks, I cant resist…’how much?’ In Istanbul, dinner parties often deteriorate into a game of monopoly, where people call out street names and prices of property. In Budapest, I suspect doing so at a dinner party would be met with, ‘go directly to jail. Do not pass go.’ a major social faux pas.
By contrast, In Budapest, nothing is open on Sundays and it felt perpetually as if it were a Sunday afternoon, even on Friday night. It lacked bustle, not to mention hustle. Lovely for relaxing, not so great if you want to make real estate skyrocket (not that I do).

Estate agents looked at me with suspicion, whereas in Istanbul they salivate; often sleeping, drinking and chatting in their offices until all hours. In Europe, the baseline for all commercial activity seems to peak at about 35 hours a week. That would be a good weekend for our unshaven, slightly dishevelled Istanbul hack property agent.
On a more technical note, the big difference in city center prices between the two capitals is the transportation reality.
In Budapest, an area that takes 15 minutes to get to by public transportation is considered a bit out of the way, and by no means central.
15 minutes in Istanbul can be chewed up just walking to the nearest metro stop, or getting through a set or two of lights while on the bus.
Obviously, if you work downtown in Istanbul, you lose an enormous amount of time if you live outside the city center. Throw in high gas prices and it becomes  a bit more apparent the factors that drive up prices in central areas. It can be a false economy to rent or buy on the outskirts of the city.

Budapest street scene

Population is a big factor, though so obvious as hardly worth mentioning. Istanbul belongs with Asian giants at an estimated 20 million.

Istanbul street scene

On a psychological level, our Magyar (Hungarian) brothers, seem to have a bit of a grudge, as if history had been unkind to them, which it often, indeed, was.
Contrast that with the Turks, who are walking with more of a swagger these days and harking back to their Imperial past and Ottoman glory. How does this reflect real estate prices, you ask?  Perhaps the sense of belonging at the top of the heap gives a bit of confidence, dare I say arrogance, to its possessors.

One of the final points I would like to make concerns the demand and supply side.
Istanbul, though a large and sprawling city, has an undersupply of well-established and beautiful neighborhoods, so the ones that fit this bill, command very high prices. Most of the neighborhoods and building stock are pretty drab and unattractive. Therefore, areas like Bebek, Nisantisi, and parts of Beyoglu are in demand due to their attracive old buildings or sea views.

In Budapest, lovely old historical buildings are a dime a dozen. The architecture is cohesive and the neighborhoods often blend imperceptibly into one another.  People will pay more to live in the popular second district than they will to live in the grittier eighth district, but the divide is not as great as that between Nisantisi (4000 euro per sqm)and some barrio on the Asian Side of Istanbul (400 euro).

And comparing the Bosphorous with the Danube? Like comparing Pele and Ronaldhino, my friend…

Bosphorous

Danube

In my entry next week, I would like to continue with some future predictions on real estate prices for both cities. I hope you will be interested in what I have to say on this. By the way, it hit 30 degrees today, the middle of October. Add that to your reasons to come to Istanbul!!!

What’s going on in Istanbul this fall?

Wondering what you can do in Istanbul during the last warm days of an Indian summer? Well, if the hundreds of trendy new cafes and restaurants that have sprouted up throughout the city don’t keep you busy enough, why not take in one of the many festivals that enrich the city’s cultural life so much?

In October there is a jazz festival, it’s not huge with little commercialism, but very low key and delivering great jazz. Archie Shepp and Cecil Taylor have turned out in the past so dont miss it as they’ll be some laid back legends jamming around. For more info: 0212 334 010. http://www.pozitif.info/tr/festival/2012/akbank-22-caz-festivali/228/

Social Inclusion Band

If you are one of the growing legions who enjoy documentary films check out this festival which runs in November. Most of the venues are located around Beyoglu, so you can just give me a ring when the film is finished! http://www.1001belgesel.net/en/Default.aspx  Admission is free.

Also in November is the popular Istanbul International Short Film Festival (Uluslararası Istanbul Kısa Film Festivali), which has showings in Beyoglu and at the wonderful Istanbul Modern (which is a venue worth whiling away a half day or so in its own right). Admission is free. Who said you need to have millions to enjoy Istanbul?
0212 252 5700  http://www.istanbulfilmfestival.com/

Istanbul Modern

Drop me a line if you know of any other great events coming up and I will be sure to add it to our space. Enjoy, folks!

The Renovation Trap

I often walk into a property that a client or friend has recently renovated with a slight degree of trepidation. I have many things to consider, is it worth telling the truth and alienating a friend…or a client? Have they done what is logical in relation to the market and should I tone down any subjective reaction I may have to what they have done with the property? I rarely enter into detail about what they have spent. That is of less concern. I worry about the final product.

At times, I have had good reason for this fear, as I have seen many a fine property degraded by a poor or personalized renovation. But, happily to say, in Beyoglu particularly in the past few years, I have mostly been happily surprised with property renovations rather than disappointed. There are a lot of creative and bright people around and they invariably come up with something great, at times even jaw dropping and inspirational.

Here’s an example – 

This property is simple with easy clean design, without getting to engrossed in high design. Please see the full listing and photos on http://www.lilimont-istanbul-realestate.com/for-sell/residential-apartment-cihangir-3/

The problem with a poor renovation is that in addition to the expense, it often actually decreases the value or salability of a property. Quite often, it would have been better to leave the property un-renovated and to sell it as is. The paradox, too, is that the same people who implement a poor renovation are the ones who also expect a high premium for their dubious efforts. Of course, there exists a fine line between having a renovation budget and cutting corners. It is also a combination of the quality of materials and the workmanship involved. As finishing and design standards can be a bit low, it is imperative to ensure that the these are in line with the value and location of the property and that the materials used are neither too far above the market norm, nor too far below. Unless the owner has zero need for a future resale it is imperative to assess the salability of a property before embarking on a costly renovation.

Here’s another good one – 

This apartment utilizes a lot of the Turk Ottoman influence invoking an Agatha Christie era without getting too fussy. http://www.lilimont-istanbul-realestate.com/for-sell/residential-apartment-aynali-cesme-3/

I work with a group of International developers who have developed properties throughout Europe and their view is that in an area experiencing redevelopment, such as central Istanbul, an influx of owners from different countries tend to raise the stakes regarding renovation and quality finish. For example, an owner from Berlin may insist on a very high finish level and a Roman owner will quite possibly want to utilize a higher degree of design. This has happened in central Istanbul over the past 10 years and it’s readily evident that local tradesmen and architects are upping their game to meet these requirements. An International influence will also help direct the design trend in-line with the current ‘zeitgeist’ as opposed to lagging behind, which in itself will attract buyers. It is a combination of current International design with a Turkish cultural foundation that provides the most salable properties.

To undertake a renovation project without paying heed to current trends is to invite potential disaster. It is a bit like a surgeon performing surgery without being updated on current research in his or her field.

As a team, my partners and I have now renovated countless properties over the past 15 years, we can confidently say we know how to refurbish an apartment economically and to a degree that allows an easy onward sale. http://www.lilimont-istanbul-realestate.com/

Turkish V Foreigners Part 1 + spot Johnny Foreigner

As a 2 part study over the next 2 weeks I will assess the differences between Turkish and foreign buyers, with a liittle game at the end!

While selling real estate in İstanbul,  it can be quite interesting to observe the differences in how Turkish and foreign clients arrive at their decisions to buy a piece of Istanbul real estate. No doubt it is a bricks and mortar world, but the psychology of the buyer is much more liminal and indeterminate than we may often imagine.

Firstly, after much experience, when I meet for the first time with a Turkish client, I do not go out of my way to demonstrate any particular knowledge on property in Istanbul, which is quite odd when you think of it. But one must understand the cultural context of the encounter. As a Real Estate Agent, the bestowed social status in Turkey is quite low, with probably about the same status given as to any tradesman (or lady). Many of my clients are newly minted rich and on the rise fast, and they have a few ideas of their own. Realty and property, as a profession, used to be to a large extent the domain of early-retired government workers, or in many cases the Kapici (bldg superintendent), who get their start by doing side deals with the properties under their management.

Needless to say, the profession as a whole is very much in its infancy. There are wide, sweeping reforms being discussed that would probably make it the playground of smartly dressed, multi-lingual young college grads. But for now, it is certainly not that. Think playground, Congo-style.

So with the Turkish “musteri” ( client, pronounced mooshteri) I opt for a low key profile and a certain humility (veiled, anyway) in front of my chirpy Turkish buyers. They usually assume that as a foreigner that your knowledge is very incomprehensive and incomplete. They also frequently come armed with a an extended crowd of relatives and it is not uncommon to have three generations being towed along on the tour. Now, I am hardly going to dive into a headlong debate on the merits or demerits of a particular property, being outnumbered as it were.

And the clients seem to play along well with this game, hardly deigning to ask me a question throughout, while they squabble and generally offer plenty of rich commentary amongst themselves during the process.

The really peculiar part of it all is… and I will contrast this with your typical foreign property buyer later…that Turkish buyers seem strangely oblivious to most of the normal metrics on real estate; rental yields, types of mortgages, property appraisals, square meter prices, interest rates, and so on. And this happens to be where I shine.

That is not to say they make poor decisions. They do not, they just arrive at them a different way. They are more intuitive and quite perceptive. They don’t use data to make their decisions (these are of course all generalizations). They seem to have a natural ‘feel’ about the location and price dynamic for a property.

And they do not seem to take well to the hard sell or the used car seller’s methods. They seem to like to be left alone to make their decisions whether they be with clan or solo for the day. And I respect that; in some ways even like it, though it does leave me feeling like the Maytag repairman at times.

So while Kemal, his wife and her brother and father enter the penthouse flat on the Bosphorous, I stand obsequiously in the backdrop somewhere, getting a positive jab in every now and then, “My, lovely original flooring, isn’t it?”

To be continued next week.

As a little light relief after that “highly” informative blog I’ve devised a game. I’m now exceptionally adept at spotting where a potential client hails from at 100 paces, feel free to have a go yourself and see if you can spot their great nation:

Renting in this big beautiful City

People who are familiar with the Istanbul real estate scene know that the rents in the city center are pretty high and the market is reasonably dynamic, producing a good yield if the property is purchased at the right price.

Not all of our clients are purchasers of Istanbul property, however.  Many come to us seeking long term rental properties in Istanbul city center, normally because they have been relocated by their company or a new job beckons. Luckily, we have lots of expertise in this area and we do our best to help clients find the best value, whether it be for a budget studio or a glamorous penthouse apartment in a luxurious compound.

High end luxury in a signature development

with a view to die for

It is hard to nail down per sqm prices in the neighborhoods because they really vary greatly from street to street and can also be based on the quality of the building.

In general, however, a furnished 1 bedroom apartment in a decent neighborhood with quality construction, starts from around 1800 TL or approx. 1000 USD and 2 bedroom apartments are on average about 20% more. Naturally, the price jumps up significantly with a sea view.

Great value with a superb terrace

http://www.lilimont-istanbul-realestate.com/rent/ 

Contracts are typically one year. If you plan to stay longer than a year, make sure you are aware of any rental increases prior to signing a contract. If you are not familiar with the language, have somebody along to help you with the contract process who is familiar. Mostly, the contracts are standard, but they should be read and understood prior to signing.

A note on the landlords. Unfortunately, in Turkey, the landlords are quite hands off, except when it comes time to collect the rent! You are assumed to take care of small items that need repair by yourself. Larger issues should be brought to their attention and should be handled by them. In our experience, if you pay the rent on time and keep the place in reasonable condition, the tenant/landlord relationship should be amicable.

Have a look at a few of our stunning rental offers this season…. http://www.lilimont-istanbul-realestate.com/rent/ . If there’s nothing to your fancy on my site then give me your needs, we’ll put the feelers out and I’ll don my detective mac…. our team enjoy a task and a city search.

The Tarlabasi File (Part 2)

In this weeks blog I will follow on from my last blog/report and try and breakdown the micro zones of Tarlabasi and offer my view of their future potential.

Currently, the Tarlabasi neighbourhood consists of three distinct small zones: the section that is closest to Taksim square (see map below A), where much organic property regeneration has already occurred, the Municipality backed regeneration zone (see map below B) in the centre where the demolition and construction of the real estate is underway and the last part being the lower area that lies closest to Galatasaray and the Golden Horn (see map below C).

The areas all have a markedly different feel and will all no doubt be influenced by the project.

First of all, perhaps the easiest to predict will be the outcome in the project area (marked B on map). The project company has already set up a sales office on Tarlabasi Blvd and the prices they are quoting for the end product are $5000 per square meter, plus VAT. The brochures are full of glossy pictures of pristine buildings, with plenty of glass and steel and resembling the old style buildings with their signature bay windows ( http://www.tarlabasiyenileniyor.com/)

Currently being flattened and…….

….this is what’s going in

The project is mixed-use, with offices, hotels, commercial, and residential. At these prices, their target market is likely to be wealthy Turks, Western investors and wealthy Arabs. Rumour has it that the marketing is being heavily directed towards the Middle East. We have been buying a few properties on the outskirts of the regeneration for a few years and expect to make an exceptional return. We believe that there are still opportunities especially if you, like us, do believe in an extended price hike once the project is finished.

One of ours bordering the regeneration project

İn the area next to Taksim (marked A on map), there has been a small explosion of property restorations over the past 5 years. Walking through this neighborhood, you can already see the presence of at least twenty apartment style hotels, as well as various short-term residences. Side by side with relatively run-down buildings, these stand out with their newly plastered and painted exteriors. There is also a vibrant rental market here. İt is looking less and less like the old Tarlabasi and fast becoming more like a mini Cihangir everyday.

İn the final area (marked C on map), extending from main artery of Kalyoncu Street to Omer Hayyam the regeneration has been less rapid, but now with a couple of hotel projects underway, as well as the regeneration project itself, it seems set to take off. The prices here are about 20 percent cheaper than non-project Tarlabasi, so we feel it is the target for investment. İn addition, it is within a few yards of İstiklal Street and the highly trendy neighborhoods of Tunel, Galata, and Asmali Mescit.

Bargains to be had here

Needless to say, the mega project will bring much needed infrastructure to the whole Tarlabasi area which will enhance Tarlabasi greatly. Whichever way you look at it, it seems very likely that the area as a whole will smash through the current property price levels of $1250- $1500per square metre very soon and will head Northwards on a steep price trajectory for a good 5-10 years hence.

A new day and a new client

It’s another cloudless day with thermometers topping 30 degrees here in Istanbul and I have a full line-up for the day. At 1030 am I am meeting with my client Patrick, a UK national with an eye for a good property investment (read more below). After that I will meet with a few Turkish clients who are looking to snap up some property before they head off for the coastal regions (Bodrum, Antalya, Fethiye) for a good part of the summer. Turks love their extended summer holidays and many who can afford it, have a yazlik (summer home) on the Aegean. The plus side of this is that it seems to ease the traffic in Istanbul, as these motorists are replaced by peripatetic tourists.

  

To finish off, I will be dining in the chic 360 restaurant with a few squash buddies (life isn’t all toil, after all!!). http://360istanbul.com/eng/index1.html

  

Patrick has agreed to a quick interview allowing us to probe the mind set of an International buyer-

First Patrick, would you mind telling us a bit about yourself and what brings you to Istanbul and why you are planning to buy property in Beyoglu? I came to Istanbul to expand my business in an area that has until now bucked the European recession trend. It also interests me because it is such a vibrant place and has become increasingly important as a regional power…. and of course, the cost, a room with a view in Paris or Rome would be five times more expensive.

What type of property are you interested in? I have a strong preference for a historical property in a very central location.

What is your expectation in terms of the investment? I plan to purchase, renovate and rent for at least 5 years, after which time I will assess whether to sell or not. I guess I am more of a long term investor.

What is a property turn off? Complex ownership titles, impractical layouts with little space for alteration, generic apartment developments.

What attracts you to a property? Proximity to lively neighbourhoods, well designed internal aspect that maximises space and utilises natural light, terrace and views always a bonus but can’t be expected.

What do you feel is the biggest obstacle a foreigner faces when hunting for property in Istanbul? Finding information and language barrier.

What has been your coolest experience in Istanbul? Rooftop party with Bosphorous view.

Which local footie team do you support? (laughs, apart from “Where are you from” this is the second most asked question in Turkey) Arsenal…then Galatasaray.

Favourite place for a drink and/or a meal in Istanbul? Midpoint on Istiklal for a drink and  Datli lokanti for a meal in Cihangir. http://www.midpoint.com.tr/

Here’s a sneak shot of a potential property for Patrick –