The secondary public offering for Turkey’s state real estate development company has proved every bit as attractive to investors as had been predicted when it was first announced back in February.
It’s a result that apparently justifies both the plan to sell a further 25.86 per cent of the company, and the subsequent decision to postpone the sale taken in June in the wake of widespread civil unrest and calls for the resignation of Turkish Prime Minister Recep Tayyip Erdogan. Continue reading »
It doesn’t take much familiarity with global property markets to work out that the concept of risk-free real estate development is, well, pure fantasy. Investment risk is like death and taxes: unavoidable, isn’t it?
Perhaps not if the interest in a planned secondary offering and capital expansion by Turkey’s Emlak Konut is anything to go by. The sale is worth noting given that Emalk’s’s unusual business model has to a large extent done the seemingly impossible – eliminated most the risk associated with the development of the mega housing projects required to meet the needs of Turkey’s growing population and booming economy, but not at the expense of profitability. Continue reading »