Istanbul Canal Project and Its Effect on Properties in Istanbul
What are the expectations for the properties future in Istanbul?
The price of properties vary according to many factors and determinants, including the region where they are located, as there are areas having stable prices over the years due to area poorness and the absence of paradigm shifts, and there are other areas that would become an attractive investment destination, due to the growing indicators and expectations of price booms. We are following the developing news of the canal of Istanbul , and it all indicates growth at many levels.
An overview of Istanbul new canal
Istanbul’s new canal is a hydro-industrial canal linking the Black Sea, and The Marmara Sea. The length of the canal will be approximately 45 km. The project is expected to be finalized by 2023, and the initial value of the project is estimated at around 65 billion Turkish Lira. After the initial estimation, the government found that the cost was significant; so the canal width was reduced to become 275 meters instead of 400 meters, and the new cost was set at approximately 30 billion Turkish Lira.
What is the route of Istanbul new canal?
The canal route starts from the boundary of the Kucukcekmece Lake, through the Sahinbey and Altensehir areas, and then the Sazilidbury Dam, to the Dorosu and Tebrkus area on the Black Sea Coast.
The area related to the project, in general, will be within the boundaries of the regions of Avcilar with a distance of 3 km, Basaksehir with a distance of 6.5 km, Kucukcekmece with a distance of 7 km, and Arnaout Koy with a distance of 29 km, and surely these areas will have a significant future increases in properties prices than other regions.
This canal is scheduled to allow 160 vessels every day, with more than 55,000 vessels each year.
The importance of the new canal of Istanbul
There are many important aspects of Istanbul canal project, and we will address this in the following paragraphs:
Oil tanker service
There are many oil tankers that cross the Bosphorus strait every year, and this strait is the hardest one in terms of traffic due to its significant tightness, but the Istanbul Canal project will reduce the pressure on the Bosphorus and increasing the number of the crossing tankers at the same time.
Commercial Ships Service
The Istanbul Canal project will promote commercial trips from Turkey to Ukraine, Russia, Georgia, Bulgaria, Romania, and by extension Central Europe countries and the Asian side which increases Turkey’s national investment and income.
The high rate of tourist visits
One of the significant aspects of Istanbul’s new canal project is the increase of tourist visits rates to Turkey, both from the countries of the Black Sea region, or the rest of Central and Western Europe, and it is known that tourism is one of the most prominent Turkish investment activities.
What is the impact of the Istanbul Canal project on investors from outside Turkey?
Chinese investors are interested in the project, and many of them started to head for this area to identify their investment, and among the projects to be implemented are logistical support services for the passing ships through the canal.
Some Arab investors started to identify that area than others seeking investment opportunities, with increasing interest in properties in Istanbul.
South Korean investors
There are various orientations of the South Korean investors, who played a significant role in building many properties projects in Turkey at a previous stage.
Investors from other countries
Along the same lines, many investors from different countries of the world started to exploit this critical area in their projects of various kinds.