CBRE Group, Inc. (NYSE:CBG) has announced that it has acquired its affiliate company in Turkey, responding to increased demand from clients targeting new commercial real estate opportunities in that country.
The affiliate has offered valuation, leasing, investment, research and consultancy expertise in Turkey for more than 20 years and its client base includes local and regional property companies as well as multi-nationals operating and/or investing in that country.
Anthony Labadie has been appointed as Managing Director of CBRE's Turkey operations. Mr. Labadie joined CBRE's Spanish business in 2004 and established the company's Casablanca office in late 2005. In 2008, he returned to Spain and has led its successful Global Corporate Services offering since then. Feroze Bundhun, the affiliate's Managing Director, remains with the business as a consultant to CBRE in Turkey.
Mike Strong, Chairman & CEO of Europe, Middle East and Africa (EMEA), CBRE, said:
"This acquisition consolidates our presence in an increasingly important market where both investors and corporate occupiers are converging. Our affiliate has strong existing capabilities in Turkey and formally combining our firms will allow us to enhance the services we provide to local and international clients, many of whom are targeting Turkey for its growth potential."
Anthony Labadie, Managing Director, CBRE, Turkey, commented: "Turkey's position as a strategically important country, which provides a link between Europe, the Middle East and Asia has been enhanced by its recent strong economic performance, stability and demographic trends. The real estate market's performance has been particularly robust. The country's prospects in 2012 and beyond are exciting and I'm delighted to be leading this experienced team in its next phase of growth."
Feroze Bundhun, added: "I am thrilled that we are officially joining CBRE. Our original partnership afforded us access to the group's substantial global platform, formidable client base and strength across all property sectors. This move will reinforce and increase our clients' access to this unique network as well as enable the team to enhance the services we offer. I look forward to working with Anthony and the wider CBRE teams across EMEA to further build on the successes of the past few years."
Turkey, which has a population of 80 million, has built up a strong record of economic and political stability. It recorded the biggest GDP growth of any European country in 2011 (8%). Its economic performance, and the emergence of an increasingly young and prosperous middle class, has resulted in increased confidence among retailers, developers and investors in the country. Major international retailer brands are expanding aggressively in this market and Turkey also currently has the highest shopping centre development pipeline in Europe.
Istanbul is ranked highest in Europe for both investment opportunities and for city development prospects, according to a recent Urban Land Institute analysis. The hotel and retail markets are experiencing particularly strong growth and the office market in Istanbul remains active with sustained rental growth and low vacancy rates. The office market is focused on Istanbul with 2 million m² of institutional quality stock. The occupier market is active with low vacancy rates and many multinationals completing lease transactions in 2011.