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"The Ağaoğlu Group, has bought a 241,954-square-meter parcel in the Maslak district of Istanbul, a main financial center in the city. The group, which is one of the largest investors in Turkish housing and wind energy bought the land from Emlak Real Estate Investment Trust for 1.153 billion Turkish lira.
“A residential project [on the newly bought land] will be distinct and admired by the world’s top investors,” said Ali Ağaoğlu, speaking at a ceremony to announce the agreement.
Ağaoğlu said the investment was the biggest real estate project in Turkey’s history.
The purchase was partly funded by a 174 million lira loan from Vakifbank, and the rest with a 165 million lira letter of guarantee. The money is to be raised from sales of residential property in the development built on the land, which breaks ground in the beginning of 2011, Emlak REIT is to receive 35.5% of the proceeds from sales on the development, which will raise a total of 3.25 billion liras in sales.
“I expect that the total amount of the sales will exceed expectations and rise to 4.5 billion liras,” Ağaoğlu said.
The land, which is the largest single parcel of land in Istanbul went up for auction in September. It was widely expected that Emlak REIT would accept the 1.203 billion lira bid of Metal Yapı, Özüm Petrol, Yeşil İnşaat, Nasa İnşaat, K Yapı and Taşçılar Madencilik. However, Emlak REIT officials said that the venture was unable to fulfil the requirements.
News like this is continuing to position Istanbul property as one of the top investments in the world.
