ISTANBUL-Office investment in the Turkish metropolis Istanbul accelerated in second quarter 2010 after many international firms that had suspended a search for assets in the global crisis re-entered the marketplace, says realtor Propin Property Investment Consultancy.

Its 2010 Second Quarter Istanbul Office Market Report said the general vacancy rate in Class A office buildings in the Central Business District was 11.7%, while Class B Office Buildings was at 12%. Class A office vacancy fell in all districts. In Levent, where demand is always high, it slid to 3.3% from 4.4% in Q1 2010, though Class B office saw small rises.

The historical rent in Class A CBD office rose to $26.5 per square meter per month, and outside this area to $17.7. Besiktas-Balmumcu district followed Levent, which had the historical prime rent in Class A at an average $33.9. It was remarkable that the average requested prime rent fell to $44 from $54, mainly due to the rapid slide in the euro exchange rate. Many landlords, who had demanded rents in euros then moved to denominating in dollars. In 2Q10 a noteworthy increase was observed both in stand-alone office letting demand and in leasing and buying. Demand was concentrated in the range of 40,000 square feet to -54,000 square feet.