Law change opens up Turkish land

Wednesday, 07, May 2008 07:58

The potential land purchasable by foreign nationals in Turkey has been dramatically increased following a decision by the country's Constitutional Court.

On May 1st the Court announced changes to Article 35 of the Title Deed Act (Tapu), stating it would allow individual non-nationals to purchase ten per cent of the total area covered in the local planning zone for a town.

Prior to the suspension, individual foreigners could purchase land as long as it did not exceed 0.5 per cent of the province's entire total area as opposed to just the town.

The notification was given by the Ministry of Public Works and Settlement, in a letter sent a circular letter to all land registries and cadastral offices.

"The questions was not whether foreign nationals should be allowed to acquire land in Turkey but whether parliament or the government should relax limitations as to the size of land foreigners can purchase," explained John Howell, senior partner and Basak Yildiz, Turkish lawyer at The International Law Partnership (ILP).

"The new law gives the right to the Council of Ministers to change the ten per cent limit for each town by considering the town's infrastructure or economical status.

"However, it must be noted they can only reduce the ratio, which means the ratio cannot rise above ten per cent," added Mr Howell.

During an interim period non-national individuals can purchase up to ten per cent, however, after the necessary information is gathered, the Council of Ministers may reduce the percentage for some towns.

Parliament also added an additional paragraph giving a three-month time limit - from when the new legislation is published - to local authorities to inform the Commission of both the size their town's area covered by planning zone and its restricted areas.

Chris O'Toole