[BUYING AND SELLING REAL ESTATE IN TURKEY]
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within the period given by the Ministry of Finance, which shall not exceed one year, the liquidation shall be carried out by the ministry and the amount acquired as a result of the liquidation shall be submitted to the holder of right. 5. Acquisition of Real Estate by Foreign Invested Turkish Companies Foreign-invested Turkish companies as defined below are entitled to acquire ownership of real estate in Turkey only if such acquisitions shall be in relation to scope of activities stipulated in their articles of association: • If 50% or more shares are owned by foreign real persons, companies incorporated in accordance with the laws of foreign countries, or international institutions; or • If foreign real persons, companies incorporated in accordance with the laws of foreign countries, or international institutions have right to assign or depose most of the persons having the management rights in that company established under Turkish laws. However, acquisition of real estate in a military forbidden zone or military security zone or a strategic zone is subject to the approval of the commanderships. The acquisition is also subject to the governorate’s approval if the real estate is in a special security zone. The companies with foreign capital outside the scope of above-mentioned companies are entitled to acquire real estate in Turkey with equal treatment to local investors. It should be noted that if companies have real estate in Turkey and the shareholding structures have changed and the companies fall within the scope of the foreign invested Turkish
companies as explained above; the companies shall notify such change to the Ministry of Economy within one month following the transfer of shares. The governorate checks whether the companies use the real estate in accordance with their field of activity stated in their articles of association. If the governorate determines that the companies do not comply with such use, a period of six months will be given to the companies to provide the compliance with the regulation. In case of failure by the companies, the real estate shall be liquidated. 6. Necessary Documents for Application The owners of the real estate or authorized representatives shall make an application to the relevant land registry directorates. Necessary documents for the application are as follows: • Title deed of the real estate or detailed information about the real estate. • Identification document or passport together with its translation. • Property value statement document to be provided from the relevant municipality.
Compulsory
earthquake
insurance
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policy.
Photos of the seller and the buyer.
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• If the power of attorney is prepared abroad, the original power of attorney and its certified translation.
Signature circular of companies.
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• Certified of authority of companies to acquire and sell real estates issued by relevant registry.
ILN Real Estate Group – Buying and Selling Real Estate Series
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