Rising to 8th place in the EMEA region, Türkiye’s retail real estate is witnessing a historic influx of global capital and international brand entries.
The Turkish retail market has officially entered a “hyper-growth” phase, defying the global “retail apocalypse” narrative seen in many Western markets. According to the comprehensive 2024-2025 Year-End Retail Report by Cushman & Wakefield, retail investment volumes in Türkiye recorded a staggering 919% year-over-year increase. This explosive surge has catapulted the country to the 8th position in the EMEA (Europe, Middle East, and Africa) region for retail asset transactions, reaching a total investment volume of approximately €1.070 billion.
This momentum is sustained by two main pillars: a resilient, high-velocity domestic market and a record-breaking year for physical infrastructure. In 2024 alone, 12 new shopping centers were opened across the country—the highest figure recorded in the last three years—bringing the total modern retail supply to a record 14.3 million square meters. This expansion is driven by Türkiye’s unique demographic advantage. With nearly one-third of its 86 million-strong population under the age of 21, the consumer base is young, tech-savvy, and increasingly focused on “experiential retail”—shopping environments that integrate social spaces, entertainment, and digital connectivity.
International retailers have taken notice of this “demographic dividend.” Global brands from the Middle East, Europe, and Asia are making record entries into prime destinations like Istanbul’s Istiklal Avenue, Nişantaşı, and Ankara’s Çankaya districts, where occupancy rates have hit near-full capacity (96%+). The lack of available prime space has pushed rental growth into double digits, making Turkish retail assets some of the highest-yielding in Europe.
Moreover, the market is successfully expanding beyond the “Big Two” cities (Istanbul and Ankara). Secondary cities like Bursa, Izmir, and Gaziantep are emerging as opportunistic targets for institutional investors. Interestingly, research indicates that 14 major cities in Türkiye still lack a modern shopping center, offering a massive “first-mover advantage” for developers and international chains looking to tap into provincial purchasing power. For sourcing firms, this retail boom is also a signal of manufacturing demand; as domestic retail grows, the need for localized supply chains and “just-in-time” logistics within Türkiye has never been higher. The integration of e-commerce warehouses within or near these retail hubs is also creating a new asset class: the “Omni-channel Fulfillment Center.”
Citations & Sources:
- Industry Analysis: Cushman & Wakefield – MarketBeat Türkiye Retail
- Retail Association: AYD – Council of Shopping Centers – Türkiye
- Economic Forecast: IMF – World Economic Outlook Database
