The effect of the pedestrianization of İstiklal caddesi on land values and the transformation of urban land use

This study is focused on the effects of the pedestrianization of İstiklal Caddesi (Beyoğlu) on the land prices and the transformation of urban land use. Beyoğlu represents the modern culture and way of life that arose from Istanbul’s relationship with European countries; first, it began as a respectable neighborhood and from there modernization spread to the rest of the city. After the 1970s, the construction of the Bosphorus Bridge and the city’s ring roads, the multi-center development of the city and the abandonment of the old city center by higher and middle income people have caused the decline of the old city center. In 1986, the pedestrianization of İstiklal Caddesi was proposed as a means to revitalize the neighborhood. After the implementation of the project, there was a rapid increase in land values, which is still continuing. As a result of this, the restoration of historic buildings has accelerated and the area has become a focal point of domestic and foreign investment. The manufacturing and storage areas have been turned into hotels, coffee shops, restaurants, cultural centers, bookstores, galleries and music shops. Pedestrian flow is very high in this area, and the revitalization project is regarded as one of the most successful in the world. For this study, the factors which produce increases in land values have been analyzed by means of a regression analysis. According to the results, the relationship between the land values and the distance to Taksim square was negative.