Antalya lures not only holidaymakers but also foreign businesses

Antalya, one of Türkiye’s most popular holiday spots where foreigners heavily buy residential properties, has also become a magnet for international investments.

The number of businesses launched in the city on the Mediterranean coast by foreign nationals has soared especially after the war broke out between Russia and Ukraine.

There are more than 6,000 companies in Antalya owned by foreigners, and most of them belong to Russians.

Official data show that Russians own 1,224 companies in Antalya, accounting for around 20 percent of all international investments.

Russians are followed by Germans at 751 companies and Iranians at 676. Azeri and Ukrainians also own 302 and 270 businesses in the city.

Most of the foreign investments are concentrated in the wholesale and retail food business. Foreigners operate 495 companies in this sector.

The real estate comes second with 478 firms. Foreigners also operate more than 450 construction companies and 410 travel agencies and tour operators.

Antalya each year hosts around 10 million international holidaymakers.

Thousands of people from Russia and Ukraine have relocated to Antalya after the war broke out, which gives a strong boost to demand for housing in the city, pushing up rents and residential property prices. This explains why foreign nationals launch businesses in the real estate market.

From January to September, foreign nationals bought a total of 10,372 houses in the city, down from nearly 15,000 residential properties were sold to foreigners. In September alone, foreign nationals bought 1,007 homes in the city.

Home prices in Antalya leaped 100 percent in the third quarter of 2023 from a year ago to 32,258 Turkish Liras ($1,147) per square meter, according to the latest numbers from Endeksa, which collects data on the Turkish real estate market. The average rent price in the city was 16,574 liras ($589) as of the third quarter.

In the city, which also has a well-developed agriculture industry, there are 355 foreign-owned companies, which engage in the trade of agricultural products.

From January to September, foreigners launched a total of 666 companies in Antalya, with Russians taking the lead with 238. Germans and Iranians 59 and 57 businesses over the same period. Ukrainians and Azeris set up 44 and 36 companies, respectively.