The geographical location and waterways of countries have always had significant political and investment importance. Istanbul, with its Bosphorus Strait, is considered one of the most important maritime cities in the world. However, Turkey has set its sights on an industrial project aimed at alleviating congestion in the Bosphorus Strait, thus boosting revenues from traffic through the new canal.
The Istanbul Canal Project has changed the geography of the city. The new canal is located in the European part of Istanbul, and it is a pioneering project that will not only enhance Turkey’s economic and commercial position but will also represent a significant shift in maritime trade movement. One of the main investment advantages of the canal is the reduction of congestion in the Bosphorus Strait. The map of the new Istanbul Canal shows that it passes through several vital areas of Turkey, opening vast horizons for limitless investment.
The Istanbul Canal Project has transformed the geography of the city.
The construction of the new Istanbul Canal is not a recent idea; it dates back to the Ottoman era, but its execution began during the presidency of Recep Tayyip Erdoğan. The Istanbul Canal is truly a “project of the century” due to the tremendous benefits it offers to Turkey, and it will increase the country’s economic and commercial importance in the region.
The Istanbul Canal Project can be seen as a transformative force in the city’s geography as this waterway runs through the European section of Istanbul, dividing the city into two parts. It will be built parallel to the Bosphorus Strait, stretching over 45 kilometers. As a result, it will have a profound impact on trade movement, turning the city into a distinguished global hub. Many buildings and properties will be constructed around it, and there is land for sale near the canal with numerous advantages and attractive prices. It is expected that the value of land and property prices will rise in this area.
This is a wonderful opportunity for investment, particularly with the potential to acquire Turkish citizenship by purchasing property around Kanal Istanbul. For more details, you can seek the expertise of our legal and consulting team. Contact us now for free via WhatsApp at +90 536 777 9442 to learn everything about real estate investment in Turkey.
What is the New Istanbul Canal Project?
The new Istanbul Canal Project for 2024 is a groundbreaking venture that was announced in 2011 by then-Prime Minister, now President, Recep Tayyip Erdoğan. This waterway will connect the Sea of Marmara to the Black Sea, while also linking the Aegean Sea and the Mediterranean. The canal begins at Lake Küçükçekmece and passes through the Başakşehir and Arnavutköy areas.
When did work begin on the Istanbul Canal, and when is it expected to be completed?
Work on the Istanbul Canal began in 2019, with several bridges being constructed to connect it to various parts of the city. It is expected to be completed by 2027, after initial plans to finish it in 2023, coinciding with the centenary of the Turkish Republic. The canal is expected to accommodate the passage of up to 160 ships per day.
What Benefits Can Istanbul Gain from the New Istanbul Canal Project?
The Istanbul Canal project has transformed the city’s geography due to the following key advantages:
- Ensuring maritime security.
- Increasing ship traffic in the Black Sea.
- Implementing Turkey’s vision to be among the world’s top 10 economies.
- Reducing congestion in the Bosphorus Strait and minimizing the waiting time for ships.
- Preventing pollution and risks associated with oil tankers passing through the Bosphorus.
- Establishing large-scale investment and agricultural projects.
- Rising land prices and property values along the canal.
- Boosting tourism activity.
- Increasing national income.
- Eradicating slums surrounding the canal area.
Graph Table Showing the Size Differences of Ships Passing Through the New Istanbul Canal
What is the Economic Importance of the Istanbul Canal?
The impact of the new Istanbul Canal on Turkey’s economy can be summarized in several benefits, including:
- Creation of many ports along the Black Sea coast.
- Establishment of large logistics centers.
- The Turkish government will collect taxes from ships passing through the waterway, which is not subject to the Montreux Convention.
- Development of large residential complexes and luxury shopping malls along the canal.
- Establishment of large-scale tourism projects that will enhance Istanbul’s commercial activity.
- Increase in agricultural yields around the canal area.
- Improvement in the standard of living for local residents and the creation of job opportunities in engineering, construction, and other sectors.
What are the Real Estate Benefits of the Istanbul Canal?
The Istanbul Canal is a unique opportunity for real estate investment in Turkey. Its construction has led to the establishment of major projects in the area, including health facilities, shopping centers, sports fields, and entertainment zones. Additionally, the project aims to improve the quality of life for the people in the area. Real estate prices, particularly in the Küçükçekmece region, have significantly increased, both for purchase and rental. The price per square meter in some areas along the canal has reached 2,900 Turkish Lira.
It is well-known that waterfront properties in Istanbul are among the most lucrative, both in terms of investment and real estate value.
What are the Key Investment Advantages the Istanbul Canal Offers to Local and Foreign Investors?
The new Istanbul Canal plays a major role in Turkey’s investment sector. It is an engineering achievement offering fantastic investment opportunities. Key investment benefits include:
- Easing traffic congestion in the Bosphorus, attracting new investments to the area.
- Easy access to European and Asian markets, improving transportation and logistics sectors.
- Attracting significant real estate investments thanks to the availability of luxury residential and commercial units.
- Increased demand for properties in the area.
- Boosting the tourism sector with the growing number of cruise ships, leading to the development of luxury hotels and resorts.
- Growth in service sectors, including banking services and legal consulting.
- Construction of three artificial islands from the canal’s debris, including an opera house.
What are the Environmental and Sustainable Development Benefits of the Istanbul Canal Project?
One of the main environmental benefits of the Istanbul Canal is the reduction of maritime traffic in the Bosphorus, thus minimizing its negative environmental impact. The Bosphorus had been used by large oil tankers, which posed a threat to marine life. The new canal allows for a greater number of ships to pass through, thanks to its wide space and deep waters, without negatively impacting the environment.
What is the Cost of the New Istanbul Canal Project and Expected Investments?
The cost of the Istanbul Canal will be high due to the scope of the work, equipment, and technologies involved. While it is difficult to predict the total cost amid current economic fluctuations, it is expected to reach around $25 billion USD. This cost is divided between digging the canal and developing the surrounding areas. Despite the high cost, the annual profits from the canal are expected to reach $8 billion.
The Istanbul Canal Project is transforming the city’s geographical layout and has a significant economic impact on Turkey. It is a safe passage for ships, reduces congestion in the Bosphorus, and enhances Turkey’s position as a global shipping hub.
Frequently Asked Questions About the New Istanbul Canal Project
What is the Montreux Convention?
The Montreux Convention, signed in 1936, obliges Turkey to regulate the movement of ships passing through the Black Sea, both military and commercial, to protect the environment from ships carrying oil. Turkey, under this convention, specifies the type, capacity, and duration of stay of any ship passing through.
How has the New Istanbul Canal Affected Property Prices in Istanbul?
Property prices in areas surrounding the canal have risen significantly, making it an excellent opportunity for investors, especially as prices are expected to continue increasing.
Where is the New Istanbul Canal Located?
The canal stretches along the European part of Istanbul, serving as a link between the Sea of Marmara and the Black Sea.
When Will the Istanbul Canal Be Opened?
The canal is scheduled to officially open for ships to navigate in 2027.
How Long is the Istanbul Canal?
The canal is approximately 45 kilometers long, with a width ranging from 400 to 1,000 meters and a depth of 25 meters.
