Colliers International wins huge investment for Turkey (TR)

Acting as an exclusive real estate representative of Cummins, a global power leader that designs, manufactures, sells and services diesel engines and related technology around the world, Colliers International has been involved in the selection process involving more than 20 locations in Northern Africa, Europe and Asia. After this extensive search, Cummins has decided to establish a manufacturing operation for two of its business units (Cummins Filtration and Cummins Generator Technologies) in the Aegean Free Zone in Izmir.

On behalf of Cummins, Colliers International performed research concerning all suitable free trade zones in Turkey that could provide enough space for their expansion. Colliers also carried out an in-depth qualitative and quantitative analysis of the shortlisted sites, assisted Cummins when visiting the sites and supported the company in the selection of the Aegean Free Trade Zone in Izmir for their investment.

Colliers, being a global real estate advisor for Cummins, took part in all stages of the negotiations, allowing for Cummins to be provided with the best possible financial terms.

According to Cummins, the production is planned to be launched in early 2012 and around 800 people are planned to be employed within five years.

Cummins is investing US $70 million in the facility and related production equipment, with 85% of the products made in Turkey to be exported to Cummins' customers across Europe, the Middle East, Asia and Africa.

"The city of Izmir, with its business community, developed transportation infrastructure (road, sea and air) and its skilled and flexible local workforce, makes an excellent location for Cummins to extend its global manufacturing footprint. We believe that the development of the site in Izmir for the manufacture of products for our Cummins Filtration and Cummins Generator Technologies Businesses will establish a firm foundation for Cummins to grow within Turkey for both these and other products from the Cummins portfolio.

"In addition to this manufacturing site, we are beginning to work with a number of local companies with the goal of their becoming suppliers to our manufacturing locations in the near future, thus creating additional jobs and investment in Turkey," underlined Ignacio Garcia, VP and Chief Manufacturing Officer of Cummins Inc.

"Our initial studies began in 2009 with 25 countries being considered for a future manufacturing site to support our future growth expectations. Detailed assessments across a broad range of business needs were completed to determine the country we would eventually expand into. Upon the selection of Turkey, we refined our search to determine the exact location, utilizing the support of our Global Real Estate Partner, Colliers, and ISPAT to understand the types of industrial zones and locations available within Turkey."

Source: Colliers International

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