Acquisition of Real Estate by Foreign Legal Entities in Turkey

The acquisition of real estate in Turkey by foreign legal entities is regulated under the Turkish Land Registry Law and relevant special legislation. In particular, foreign commercial companies planning to invest in Turkey should be aware of the legal requirements concerning the acquisition of real estate and the establishment of limited real rights.

Acquisition of Real Estate by Foreign Commercial Companies

According to Article 35/2 of the Turkish Land Registry Law (Tapu Kanunu), commercial companies that are established in foreign countries in accordance with the laws of their respective countries and have legal personality may acquire real estate and limited real rights in Turkey only within the framework of specific provisions of special laws.

Legal entities other than these foreign commercial companies cannot acquire real estate in Turkey, and limited real rights cannot be established in their favor.

Under the Turkish Land Registry Law, when examining the status of a foreign commercial company with legal personality, the relevant issue is not who owns the company's capital, but whether the company has been established outside Turkey in accordance with the laws of the relevant foreign country.

Foreign legal entities other than commercial companies established under the laws of their respective countries, such as foundations and associations, cannot acquire real estate in Turkey, nor can limited real rights be established in their favor.

However, pursuant to Article 35/2 of the Turkish Land Registry Law, it is possible to establish a mortgage over real estate in Turkey in favor of foreign legal entities, namely foreign commercial companies.

Documents Required from Foreign Commercial Companies

For the land registry and cadastral transactions of foreign commercial companies established in accordance with the laws of their respective countries, documents issued by the competent authorities of the country where the company is established are required.

These documents must demonstrate that the company has been duly established, is operating, and is legally competent to carry out the relevant land registry transaction.

The original document bearing an apostille, together with its certified translation, is required. If the document does not bear an apostille, the same documents must be certified by the Turkish Consulate in the relevant country.

Special Legislation on the Acquisition of Real Estate by Foreign Commercial Companies

The principal special regulations concerning the acquisition of real estate by foreign commercial companies with legal personality or the establishment of limited real rights in their favor include:

• Tourism Incentive Law

• Turkish Petroleum Law

• Banking Law

• Organized Industrial Zones Law

• Petroleum Market Law

• Foreign Direct Investment Law

• Law on Privatization Practices

Acquisition of Real Estate by Foreign Companies in Antalya

Antalya is an important center for foreign investors seeking to acquire real estate and conduct investment activities in Turkey. The acquisition of real estate by foreign commercial companies in Antalya, as well as land registry and cadastral procedures and the preparation of the required documents, should be carried out with careful consideration of the applicable legislation.

Foreign companies planning to acquire real estate in Antalya may require legal assistance regarding real estate acquisition, limited real rights, land registry procedures, and compliance with Turkish legislation. Obtaining professional legal advice from Antalya lawyers experienced in foreign investment and real estate law can help ensure that the relevant procedures are carried out in accordance with applicable legal requirements.