Sonae Sierra, the international shopping centre specialist, has just entered the Turkish market with the creation of Sierra Reval, the shopping centre specialist in Turkey, a service provider company in the shopping centre area, including development, management and letting activities.
Sierra Reval gathers the best of international Shopping centre know-how of Sonae Sierra with local market knowledge of Reval team, which has been providing services for over 20 years in Turkey and covers the country as a whole. With ten service contracts country wide - from Development to Property Management and Leasing services – Sierra Reval is responsible for a portfolio with a GLA of over 215.000 M2. These include Shopping Centres between 12.500 to 66.000 M2 GLA to which Sierra Reval will present services solutions aiming to create continued value to its clients, by minimizing cost and risk while offering income growth potential and capital value.
For Fernando Guedes de Oliveira, Sonae Sierra's CEO, the "entry in the Turkish market is a significant step that consolidates our geographical diversification while expanding our service provision business with a solid portfolio. Moreover, with our joint-venture with Reval we are able to offer local and international recognized expertise and know-how in Turkey. We are confident that this step will bring continuous growth of successful clients’ services over the next years.”
Sierra Reval will provide an integrated solution to its clients, from Pre-Development to Development, Leasing and Property management, guaranteeing the successful launch and ongoing improvement of new projects as well as of existing Shopping Centres.
A MARKET WITH POTENTIAL TO GROW
Presently, the Turkish shopping centre market continues to grow at sustainable path, together with increasing purchasing power from the population. The country has an age structure of 43% of the population under 24 and another 43% between 25 and 54, making it one of the most popular destinations for international retailers and investors – including private equity firms – in EMEA.
On 2013, the total GLA across Turkey stood at 110 M2/1.000 inhabitants, when compared to the European average of 260 M2/1.000 inhabitants. Turkey also presents a pipeline of around 1,5 million M2 GLA for the next two years.