5 th ERES EDUCATION SEMINAR — Vienna University

5 th ERES EDUCATION SEMINAR - Vienna University of Technology, December 4 -5 2009 Real Estate & RE Education Sector in Turkey Kerem Yavuz ARSLANLI Istanbul Technical University Real Estate Development Msc Program arslanli@itu. edu. tr

Outline l Turkey Country Profile Where we came from? l Where do we go from here? l l General Indexes l İstanbul Profile l l l Office Market Retail Market Housing Market Real Estate Sector Demand Side l Real Estate Education Supply Side l Latest Economic Crises Pros/Cons!? l l Conclusion

5 th ERES EDUCATION SEMINAR - Vienna University of Technology, December 4 -5 2009 TURKEY

TURKEY REAL ESTATE MARKET l In the last quarter of 2008, after 27 quarters of continuous growth period, a slowdown trend has started to be observed in Turkish economy with the prevailing effects of the global financial turbulence. GDP reached to USD 742 billion with 0. 9% annual growth in 2008. As end of the second quarter of 2009, GDP growth decreased 10. 6%.

l Since 2002, labour market trends remained remarkably stable and the unemployment rate has fluctuated around 10%. However, it has started to increase with economic slowdown and reached to 12. 8% as end of July 2009.

5 th ERES EDUCATION SEMINAR - Vienna University of Technology, December 4 -5 2009 Kerem Y. ARSLANLI Istanbul Technical University arslanli@itu. edu. tr

Shopping Centers

4 th European Real Estate Society Education Seminar The Bucharest Academy of Economic Studies ROMANIA 5 -6 December 2008 Kerem Y. ARSLANLI Istanbul Technical University arslanli@itu. edu. tr

5 th ERES EDUCATION SEMINAR - Vienna University of Technology, December 4 -5 2009 Kerem Y. ARSLANLI Istanbul Technical University arslanli@itu. edu. tr

Historical Evolution of Istanbul Urban Footprint

Real Estate Education 4 Universities Real Estate Education Masters Programs (2 years with thesis) (ITU/IU/Kultur/Yildiz) l 3 Universities Certificate Programs 2 -3 months (Bogazici-Bilgi) l 1 Undergraduate Program at IU l 10 -15 students graduate annually l >500 total graduates since 2001 l

Real Estate Education Certificate Programs

Real Estate Education Msc

Real Estate Education Undergraduate

Real Estate Education ITU first Masters Program in Real Estate Development in Istanbul/Turkey in 2001 l First Graduates in 2003 l Followed in 2005 by other Universities l Mortgage Regulations 2007 expand RE market and Education Sector l

Real Estate Education l 2007 Mortgage Regulations lead to Education Sector to short term Certificate base programs rather than 2 or 4 years Bsc or Msc

Real Estate Education Demand Side Real Estate Sector demand on internationally standartized Regulations (Valuation and Forclousure Issues) l Finance and Construction Sector dominetes as an market player and on many cases they interfier with each other… l Demand for 1 year executive masters international joint programmes l

Real Estate Education Supply Side Real Estate Education seperated into different departments l Regulations and Laws tightens Cirriculums Few departments run on international standarts l International Crisis on Real Estate Pro/Cons l Sectors volume shrink / High Qualified Human Resourses on demand l Time to loose the old habits l Way of making bussiness in real estate will l

Real Estate Education Istanbul Need for Joint International Programs l Regulations to be in International Standarts l Highly Qualified but disconnected human resourses l Demand on interdisciplineer Finance Departments oriented programs l

l Thank You…