Can Foreigners Build or Buy a Hotel in Turkey? 2026 — Land Registry Law Arts. 35-36, Tourism Incentive Law No. 2634, Tourism Operation Certificate, Treasury Land Allocation, Share or Asset Purchase, Accommodation Tax and Tourism Share

Turkish version (Türkçe sürüm): Yabancılar Türkiye’de Otel Kurabilir veya Satın Alabilir mi?

A foreign investor may build a hotel in Turkey, buy an existing hotel or become a shareholder in a hotel company. Turkish law imposes no separate ban on foreigners investing in tourism; foreign direct investment is free and foreign investors receive the same treatment as domestic investors (Law No. 4875, Art. 3(a)). What matters, however, is in whose name the real estate is acquired. In practice, the most common route is to set up a foreign-capital company in Turkey and acquire the hotel in that company’s name; such companies may acquire real estate in order to carry out the activities stated in their articles of association and are subject to a permit procedure in military and security zones (Land Registry Law Art. 36). A company incorporated abroad may acquire real estate in Turkey only within the framework of special laws (Land Registry Law Art. 35). To operate the hotel, a tourism operation certificate must be obtained from the Ministry of Culture and Tourism; accommodation businesses that have obtained a licence must obtain this certificate within six months, and a facility without it may not operate (Tourism Incentive Law No. 2634, Art. 5). This guide explains, with reference to the statutory provisions, acquisition through a company, the position of foreign individuals and foreign companies, tourism investment and operation certificates, the ban on selling hotel rooms with separate title deeds, the allocation of Treasury land to tourism investment, the differences between a share purchase and an asset purchase, the buyer’s liability, accommodation tax, the tourism share and VAT, incentives, coastal rules, foreign staff and short-term rentals of residences.

How can a foreigner enter hotel investment?

Unless otherwise provided by international agreements and special laws, foreign direct investment in Turkey by foreign investors is free, and foreign investors are subject to equal treatment with domestic investors (Foreign Direct Investment Law No. 4875, Art. 3(a)). There is no investment ban or prior permit requirement specific to foreigners in the tourism sector. Real estate acquisition, by contrast, is subject to separate rules: Art. 3(d) of Law No. 4875, which had made real estate acquisition by foreign-capital companies free, was annulled by the Constitutional Court (Constitutional Court, 11 March 2008, E.2003/71, K.2008/79; Official Gazette of 16 April 2008), and the matter is now governed by Land Registry Law Arts. 35 and 36. The route chosen for a hotel investment therefore affects both the real estate acquisition and the tourism certificate.

Which route to choose depends on whether the hotel site is in a military or security zone, whether the hotel stands on Treasury land, whether the seller is a company or an individual, the company’s tax and employment history, and the purchase price. Whether a foreign investor should buy real estate in its own name or through a company is compared in general in our guide Buying Property in Turkey as a Foreign Investor: In Your Own Name or Through a Turkish Company?

Real estate acquisition by a foreign-capital company (Land Registry Law Art. 36)

Companies with legal personality incorporated in Turkey in which foreign individuals, legal entities incorporated under the laws of foreign countries and international organisations hold fifty per cent or more of the shares, or have the power to appoint or dismiss the majority of the persons entitled to manage the company, may acquire and use ownership of real estate or limited rights in rem in order to carry out the activities stated in their articles of association (Land Registry Law Art. 36(1)). Persons within the scope of Art. 28 of the Turkish Citizenship Law are not counted as foreigners for this purpose. The foreign shareholding may also be indirect: a company that is directly or indirectly under foreign control through another company in Turkey also falls within the article (Art. 36(2)). The articles of the company acquiring the hotel must therefore expressly state hotel, accommodation and tourism operation activities.

Acquisitions are made without prejudice to Law No. 2565 on Military Prohibited Zones and Security Zones. In military prohibited zones, military security zones and zones under Art. 28 of Law No. 2565, the permission of the General Staff or the commands it authorises is required, and in special security zones the permission of the governorship where the property is located (Art. 36(3)). Many hotel sites in coastal and border areas are subject to this check. The use of real estate acquired is monitored by governorships at regular intervals on the basis of the land registry records (Art. 36(6)); real estate used outside the activities in the articles is liquidated within a period to be set by the Ministry of Finance (Art. 36(7)). This article does not apply to acquisitions through establishing a mortgage and enforcing a mortgage, company mergers and demergers, acquisitions by banks in connection with loans or debt collection, or acquisitions in organised industrial zones, industrial zones, technology development zones and free zones (Art. 36(5)).

The full title of the Implementing Regulation is the “Regulation on the Acquisition of Real Estate Ownership and Limited Rights in Rem by Companies and Affiliates within the Scope of Article 36 of Land Registry Law No. 2644” (Official Gazette of 16 August 2012). The effect of a military security zone annotation on real estate is explained in our guide Tapuda Askerî Güvenlik Bölgesi Şerhi (in Turkish), and company formation in Company Formation in Turkey for Foreigners.

Foreign individuals and companies incorporated abroad (Land Registry Law Art. 35)

Foreign individuals who are citizens of countries designated by the President may acquire real estate in Turkey, subject to compliance with statutory restrictions; however, the real estate acquired may not exceed ten per cent of the district area subject to private ownership and thirty hectares per person nationwide. The President may increase the amount that may be acquired per person nationwide up to twofold (Land Registry Law Art. 35(1)). Within these limits, a foreign individual may buy a hotel building; however, operating a hotel is a commercial activity, and in practice a company is set up in Turkey to operate it. If undeveloped land is purchased, the project to be developed must be submitted to the relevant Ministry for approval within two years (Art. 35(4)).

Commercial companies with legal personality incorporated abroad under the laws of their own countries, on the other hand, may acquire real estate and limited rights in rem in Turkey only within the framework of special laws; foreign legal entities other than these commercial companies may not acquire real estate (Art. 35(2)). One of the special provisions in the tourism field is Art. 8 of Law No. 2634: the acquisition of real estate in culture and tourism conservation and development zones and in tourism centres may be exempted by Presidential decision from the restrictions on foreigners in the Village Law and the Land Registry Law (Law No. 2634, Art. 8(E)); Treasury real estate may also be allocated for tourism investment to Turkish and foreign individuals and legal entities (Law No. 2634, Art. 8(D)). Since these options are exceptional and zone-specific, the general and predictable route for a foreign company is to set up a company in Turkey.

The general conditions for foreigners acquiring real estate are explained in detail in our guide Yabancılar Türkiye’de Taşınmaz Alabilir mi? (in Turkish).

Tourism investment certificate and tourism operation certificate

Tourism Incentive Law No. 2634 defines two main certificates. The tourism investment certificate is the certificate issued by the Ministry to a person investing in the tourism sector for the investment period determined; the tourism operation certificate is the certificate issued to tourism businesses operating in the tourism sector, excluding basic accommodation facilities (Law No. 2634, Art. 3(f)-(g)). To benefit from the incentive measures, exemptions, exceptions and rights provided by the Law, it is mandatory to obtain a tourism investment certificate or a tourism operation certificate from the Ministry. Accommodation businesses granted a workplace opening and operating licence by the competent authority must obtain a tourism operation certificate from the Ministry within six months of the date of the licence; without the certificate the facility may not open for business or operate. If the certificate is not obtained, the licence is cancelled by the competent authority within one month upon notice from the Ministry (Law No. 2634, Art. 5).

The details of certification are set out in the Regulation on the Qualifications of Tourism Facilities, put into force by Presidential Decision (Official Gazette of 1 June 2019). All applications are made through e-Devlet (Regulation, Art. 9(1)). If part of the investment is completed and meets the minimum standards, a partial tourism operation certificate may be obtained for the completed part (Arts. 4(1)(ı) and 8-9). Smaller facilities with certain characteristics obtain a basic accommodation tourism operation certificate under the Regulation on the Certification of Basic Accommodation Facilities and Beach Businesses (Official Gazette of 25 September 2021); this certificate cannot be transferred except by passing to heirs. The Law also imposes administrative fines for online advertising of uncertified accommodation facilities and requires intermediary platforms to verify the certificate number (Law No. 2634, Art. 33; paragraphs added by Law No. 7565).

For a foreign investor, the most important rule is who owns the certificate. The certificate belongs to the individual or legal entity in whose name it is issued (the certificate holder); if another person operates the facility, an operator annotation is added to the certificate (Regulation, Arts. 4 and 10(2)). Where a transfer of the certificate to a different individual or legal entity is requested, a certificate transfer is carried out; in the case of a change of trade name or company type, only the certificate details are updated (Regulation, Art. 10). Where a certified investment or business is transferred or leased in its entirety, provided that its tourism use continues, it is mandatory to inform the Ministry before the transfer or lease; for facilities on allocated public real estate, the allocation conditions also apply (Law No. 2634, Art. 11). Transferring an investment or business in its entirety without informing the Ministry is subject to an administrative fine (Law No. 2634, Art. 33). Certificate types and facility qualifications are explained on our page Turizm İşletme Belgesi (in Turkish).

Can hotel rooms be sold with separate title deeds?

Foreign buyers are sometimes offered condo-hotel schemes along the lines of “buy a hotel room and earn rental income”. Under the eighth paragraph of Art. 13 of the Regulation on the Qualifications of Tourism Facilities, as amended on 11 May 2024, facilities providing accommodation services are treated as a single independent unit; timeshare ownership, construction servitude for condominium and condominium ownership cannot be established over the units in these facilities, and only a personal timeshare holiday right may be created. No tourism certificate may be issued to facilities where such rights have been established, and the certificates of facilities found to breach this paragraph are cancelled. An annotation to this effect is also requested on the title deed of facilities holding an investment certificate (Regulation, Art. 6).

According to the eighth paragraph added to provisional Art. 1 of the Regulation by Presidential Decision No. 11706 published in the Official Gazette of 31 August 2026, Art. 13(8) does not apply to facilities that, before 1 June 2019, were located in an area reserved in the zoning plan for commercial use only, hold a partial tourism operation certificate or a tourism operation certificate, and whose accommodation units belong to the same owner and are subject to condominium ownership or construction servitude for condominium. Since the exception requires the units to belong to a single owner, it does not allow the rooms of a certified hotel to be sold separately with title deeds to different buyers (foreign or Turkish). An investor receiving such an offer should examine the facility’s tourism certificate, the land registry records and annotations before buying.

A hotel on Treasury land: allocation, term and fees

Many large hotels on the coast and in tourism zones are built on real estate owned by the Treasury. Under Law No. 2634, the Ministry is authorised to allocate public real estate to tourism investments, and allocation may be made to Turkish and foreign individuals and legal entities; servitudes, including independent and permanent rights of superficies, are established by the Ministry of Environment and Urbanisation (now the Ministry of Environment, Urbanisation and Climate Change) on conditions set by that Ministry (Law No. 2634, Art. 8(D)). In large projects where a single main investor is selected, the preliminary permit is granted to the investor selected after evaluation by the President (Law No. 2634, Art. 8(H)). The procedure is set out in the Regulation on the Allocation of Public Real Estate to Tourism Investments (Official Gazette of 21 July 2006; most recently amended on 1 July 2026).

This table is particularly critical for a foreign investor buying an existing hotel: if the hotel is on Treasury land, even buying the shares of the hotel company is subject to a decision of the Land Allocation Commission and Ministry approval. The purchase agreement should make this approval a condition to closing. Details are in our guides Turizm Bölgelerinde Hazine Taşınmazı and Turizmi Teşvik Kanunu (2634) (in Turkish).

Share purchase or asset purchase?

A foreign investor wishing to buy an existing hotel chooses between two routes. In a share purchase (share deal), the shares of the company operating the hotel are bought; the real estate, the tourism certificate, contracts and employees remain in the same company. In an asset purchase (asset deal), the hotel building and the business are transferred to the company set up by the buyer. The two routes have different tax, certificate, permit and liability consequences.

Since in a share purchase the company’s history is also bought, comprehensive legal and financial due diligence is essential; in particular, tax and social security debts, employee receivables, the validity of the tourism certificate and the allocation, the zoning and occupancy permit position and compliance with coastal law should be examined. When shares in a limited liability company are transferred, the transferor and the transferee are held jointly and severally liable, in proportion to their capital shares, for public receivables relating to the period before the transfer that cannot be collected from the company (Law No. 6183, Art. 35). Our Tapu Harcı Hesaplama Aracı (title deed fee calculator, in Turkish) can be used to calculate the title deed fee, and our guide Buying a Turkish Company as a Foreign Investor: Which Approvals Do You Need? for the full list of acquisition approvals.

The buyer’s liability for debts and employees

Even in an asset purchase, the buyer may be liable by law for certain debts. A person taking over assets or a business together with its assets and liabilities becomes liable for the business debts from the date on which it notifies the creditors or, for commercial businesses, announces the takeover in the Turkish Trade Registry Gazette; the former debtor also remains jointly and severally liable with the buyer for two years (TCO Art. 202). A commercial business may be transferred as a whole without separate dispositive acts being required for the transfer of the assets it contains; this transfer agreement is made in writing and registered and published in the trade registry (TCC Art. 11(3)).

A hotel is a workplace employing many people. Where a workplace or part of it is transferred to another person on the basis of a legal transaction, the employment contracts existing at the date of transfer pass to the transferee with all rights and obligations; the transferor and the transferee employer are jointly liable for debts that arose before the transfer and are due at the date of transfer, but the transferor’s liability is limited to two years from the date of transfer (Labour Law Art. 6). In seasonal hotels, the nature of the employment contracts and severance calculations should therefore be examined before the purchase.

The effect of a transfer of a workplace on employee rights is explained in our guide İşyeri Devri ve İşçilik Haklarının Korunması (in Turkish).

Accommodation tax, tourism share and VAT

During the operating period of a hotel, three specific charges stand out. The accommodation tax is regulated in Art. 34 of Expenditure Taxes Law No. 6802, as re-enacted together with its heading by Law No. 7194; its rate is 2%, its base is the price, excluding VAT, charged for accommodation and for other services sold together with it and provided within the facility (such as food, drink, activities, pool, sports and thermal services), and the President is authorised to increase the rate up to twofold or reduce it by up to half. Under Presidential Decision No. 11263 published in the Official Gazette of 1 May 2026, the accommodation tax rate is applied as 1% until 31 December 2026 (inclusive).

The tourism share (turizm payı) is regulated in Art. 6 of Law No. 7183 on the Turkish Tourism Promotion and Development Agency. For combined facilities, accommodation facilities and places granted a tourism-purpose rental permit, the rate is 0.5% (5 per mille) of the total of net sales and rental income; this rate was reduced from 0.75% (7.5 per mille) to 0.5% from 1 January 2024 by Law No. 7464. For winter, thermal, health, rural and qualified sports tourism activities, half the rate applies. The VAT rate for overnight accommodation services provided in hotels, motels, guesthouses, holiday villages and similar accommodation facilities is 10% (List (II), item 25, annexed to Council of Ministers Decision No. 2007/13033 issued under VAT Law Art. 28).

The details of taxation in tourism and accommodation are explained in our guide Turizm ve Konaklamada Vergilendirme, the temporary 1% rate in Konaklama Vergisi Yıl Sonuna Kadar Yüzde 1 (in Turkish), and the repatriation of profits in Dividend Repatriation from Turkey for Foreign Shareholders.

Investment incentives

State aid for investments was reorganised by Presidential Decision No. 9903 published in the Official Gazette of 30 May 2025. Under this system, tourism accommodation investments in culture and tourism conservation and development zones and in tourism centres, as well as accommodation investments in thermal tourism, are among the priority investments. Under an incentive certificate, support such as VAT exemption, customs duty exemption, tax reduction, employer’s share of social security premium support, interest or profit-share support and allocation of an investment site may be available; which support applies, and at what rate, depends on the location and nature of the investment. In addition, Law No. 2634 makes benefiting from incentive measures, exemptions, exceptions and rights conditional on obtaining a tourism investment certificate or a tourism operation certificate (Law No. 2634, Art. 5). The general framework of the incentive system is explained on our page Yatırım Teşvik Sistemi (2025) (in Turkish).

Coastal law, zoning and EIA

Seafront hotel sites are also subject to Coastal Law No. 3621. The coasts are under the rule and disposal of the State and are open to everyone’s equal and free use (Coastal Law Art. 5); on the coast, no structure may be built other than the coastal structures listed in Art. 6, such as piers and ports, and hotels and accommodation buildings are not among these exceptions (Art. 6). In the shore strip, at least 100 metres wide landwards from the coastal edge line (kıyı kenar çizgisi), day-use tourism buildings and facilities, excluding accommodation, may be built by zoning plan decision, provided that they are open to public use (Coastal Law Arts. 4 and 8). Whether the hotel building and accommodation units lie outside the shore strip should therefore be checked against the zoning status and the coastal edge line before buying. The power to approve and amend plans of its own motion in culture and tourism conservation and development zones and in tourism centres belongs to the Ministry of Culture and Tourism (Law No. 2634, Art. 7).

Tourism accommodation investments may, depending on their size, fall within the scope of the Environmental Impact Assessment (EIA) Regulation (Official Gazette of 29 July 2022). The amendment made to the Regulation on 5 March 2026 abolished the “EIA not required” decision. For new hotel projects, the duration of the EIA process should be built into the investment schedule.

Foreign staff

Foreign investors often want to employ managers, chefs or entertainment staff from their own countries at the hotel. In certified businesses, foreign specialist staff and artists may be employed with a permit issued by the Ministry of Labour and Social Security after obtaining the opinions of the Ministry of Culture and Tourism and the Ministry of Interior; however, the number of foreign staff employed in this way may not exceed 10% of total staff, this rate may be increased by the Ministry of Culture and Tourism up to 20%, and such staff may start work from three months before the business begins operating (Law No. 2634, Art. 18(a)). The work permit procedure is carried out under International Labour Force Law No. 6735.

Buying flats for short-term rental

Some foreign investors prefer to buy flats and rent them out daily or weekly instead of a hotel. Since 1 January 2024, this activity has required a permit under Law No. 7464 on the Rental of Residences for Tourism Purposes and Amending Certain Laws. The Law covers the tourism-purpose rental of residences for periods not exceeding one hundred days; rentals of more than one hundred days at a time are outside its scope (Law No. 7464, Arts. 1-2). The Law contains no separate rule for foreign owners; a foreign investor is subject to the same obligations.

A plan to buy several flats in the same building for short-term rental often cannot be implemented, because of the twenty-five per cent limit and the requirement for a decision of all unit owners. The condominium aspect of the topic is explained in our guide Konutun Kısa Süreli Kiraya Verilmesi ve Kat Mülkiyeti (in Turkish).

Checklist

Common mistakes

• Acquiring real estate without stating tourism activity in the articles of association. A foreign-capital company may acquire real estate only for the activities in its articles; use outside those activities is a ground for liquidation.
• Buying a hotel room with its own title deed. Condominium ownership and construction servitude for condominium cannot be established over rooms in certified facilities; such a structure leads to cancellation of the certificate.
• Taking over a hotel on Treasury land without approval. Even a share transfer is subject to a decision of the Land Allocation Commission and Ministry approval.
• Transferring or leasing the hotel without informing the Ministry. The Ministry must be informed before a transfer or lease; a transfer made without informing it is subject to an administrative fine and delays the certificate procedures.
• Operating an uncertified facility or advertising it online. An uncertified accommodation facility may not operate; advertisements are also subject to administrative fines.
• Not carrying out due diligence in a share purchase. All past tax, social security and employment debts of the company are taken over with the company.
• Using buildings in the shore strip for accommodation. Accommodation units cannot be built in the shore strip.
• Assuming the temporary 1% accommodation tax rate is permanent. The reduction applies until 31 December 2026; budgets should be planned accordingly.

Frequently asked questions

Can foreigners buy a hotel in Turkey?

Yes. There is no investment ban specific to foreigners in the tourism sector; foreign direct investment is free (Law No. 4875, Art. 3(a)). The most common route is to set up a foreign-capital company in Turkey and buy the hotel in that company’s name (Land Registry Law Art. 36). Foreign individuals who are citizens of countries designated by the President may also acquire real estate within the limits of thirty hectares per person and ten per cent of the district area subject to private ownership (Land Registry Law Art. 35(1)).

Can a company abroad buy a hotel in Turkey without setting up a company?

Commercial companies incorporated abroad under their own laws may acquire real estate and limited rights in rem in Turkey only within the framework of special laws (Land Registry Law Art. 35(2)). In tourism zones an exemption may be granted by Presidential decision (Law No. 2634, Art. 8(E)). The general and predictable route is to set up a company in Turkey.

Does a foreign-capital company need permission to buy a hotel?

The company may acquire real estate for the activities stated in its articles of association. If the property is in a military prohibited zone or security zone, the permission of the General Staff or the commands it authorises is required, and in a special security zone the permission of the governorship (Land Registry Law Art. 36(3)). The application is made to the governorship where the property is located, and the registration request is made within six months of the outcome being served (Implementing Regulation).

Is it better to buy the hotel company’s shares or the hotel itself?

In a share purchase no title deed fee arises, the tourism certificate stays in the company and documents relating to share transfers are exempt from stamp duty; on the other hand, all past debts and risks of the company are taken over. In an asset purchase, buyer and seller each pay a 2% title deed fee, the sale may be subject to VAT and a certificate transfer is required; however, the company’s past risks largely remain with the seller.

What happens to the tourism operation certificate when a hotel is bought?

In a share purchase the certificate stays in the same company. If the certificate holder changes (the hotel is transferred to another individual or legal entity), a certificate transfer is carried out; if only the operator changes, an operator annotation is added (Regulation on the Qualifications of Tourism Facilities, Art. 10), and it is mandatory to inform the Ministry before a certified facility is transferred or leased in its entirety (Law No. 2634, Art. 11).

Can a hotel operate without a certificate?

No. Accommodation businesses granted a workplace opening and operating licence must obtain a tourism operation certificate from the Ministry within six months of the licence date; without the certificate the facility may not open or operate. If the certificate is not obtained, the licence is cancelled within one month (Law No. 2634, Art. 5).

Can a hotel room be bought with its own title deed?

Certified accommodation facilities count as a single independent unit; timeshare ownership, construction servitude for condominium and condominium ownership cannot be established over the units, and only a personal timeshare holiday right may be created. No certificate is issued to non-compliant facilities and existing certificates are cancelled (Regulation on the Qualifications of Tourism Facilities, Art. 13(8)). Nor does the exception introduced in 2026 allow rooms to be sold with title deeds to different buyers, since it requires the units to belong to the same owner.

Can a hotel be built on Treasury land, and for how long?

Yes. Public real estate may be allocated for tourism investment to Turkish and foreign individuals and legal entities (Law No. 2634, Art. 8(D)). Final allocation is made to a developer (girişimci) for up to forty-nine years and to a main investor for up to seventy-five years by Presidential decision; the first-year usage fee is 0.5% of the total investment cost, and after opening one per cent of annual revenue is taken as the Treasury’s share (Allocation Regulation, Arts. 17 and 21).

Is approval needed to take over a hotel on Treasury land?

Yes. Transfers of allocation and use rights, share transfers and changes of trade name are subject to a decision of the Land Allocation Commission and Ministry approval (Regulation on the Allocation of Public Real Estate to Tourism Investments, Art. 15(1)). This approval should be made a condition to closing in the purchase agreement.

How much is the title deed fee when buying a hotel?

On a sale of real estate, buyer and seller each pay a title deed fee of 2% (20 per mille); the base is the declared transfer and acquisition price, not less than the property tax value (Fees Law, Tariff (4), I-20(a)). When the shares of the hotel company are bought, no title deed fee arises because the owner does not change.

Is VAT charged on the sale of a hotel?

A company’s sale of a hotel is subject to VAT at the general rate of 20%. Real estate has been removed from the VAT Law Art. 17(4)(r) exemption since 15 July 2023; for real estate recorded in the assets before that date, the conditions of the former exemption are assessed under a provisional article.

What is the accommodation tax in 2026?

The accommodation tax is 2% of the price, excluding VAT, for accommodation and the services sold with it and provided in the facility (Law No. 6802, Art. 34). Under Presidential Decision No. 11263, the rate is applied as 1% until 31 December 2026 (inclusive).

What is the tourism share for hotels?

Accommodation facilities pay a tourism share of 0.5% (5 per mille) of the total of net sales and rental income; for winter, thermal, health, rural and qualified sports tourism the rate is halved (Law No. 7183, Art. 6). The rate was reduced from 0.75% to 0.5% from 1 January 2024.

Can foreign staff be employed at a hotel?

In certified businesses, foreign specialist staff and artists may be employed with a permit granted after obtaining the opinions of the Ministry of Culture and Tourism and the Ministry of Interior; their number may not exceed 10% of total staff, and the rate may be increased by the Ministry of Culture and Tourism up to 20% (Law No. 2634, Art. 18(a)).

Can a foreign investor buy a flat and rent it out daily?

Only with a permit certificate from the Ministry under Law No. 7464. The application requires a unanimous decision of all unit owners in the building, and in buildings with more than three independent units one owner may obtain permits for at most twenty-five per cent of the units (Law No. 7464, Art. 3). Renting without a permit is subject to administrative fines starting at TRY 100,000 per residence and revalued annually (Law No. 7464, Art. 4).

Can a hotel be built by the sea?

No structure may be built on the coast other than the structures listed in the Law, such as piers and ports; a hotel is not among these exceptions (Coastal Law Art. 6). In the shore strip of at least 100 metres from the coastal edge line, day-use tourism facilities excluding accommodation may be built by zoning plan decision and provided they are open to public use (Coastal Law Arts. 4 and 8). The hotel’s accommodation units must lie outside the shore strip.

Related guides

• Legal Guide for Foreign Investors in Turkey — company, stock exchange, mining, energy, real estate, tax and arbitration
• Buying Property in Turkey as a Foreign Investor: In Your Own Name or Through a Turkish Company? — Land Registry Law Arts. 35 and 36
• Buying a Turkish Company as a Foreign Investor: Which Approvals Do You Need? — Competition Board, sector approvals and notifications
• Shareholders’ Agreements in Turkey — first refusal, vetoes and deadlock in a hotel joint venture with a local partner
• Company Formation in Turkey for Foreigners — capital, documents and formation
• Dividend Repatriation from Turkey for Foreign Shareholders — dividend withholding and transfer
• Turizm İşletme Belgesi — tourism operation certificate and facility qualifications (in Turkish)
• Turizm Bölgelerinde Hazine Taşınmazı — allocation, main investor and right of superficies (in Turkish)
• Turizm ve Konaklamada Vergilendirme — accommodation tax, VAT and agencies (in Turkish)
• Yabancılar Türkiye’de Taşınmaz Alabilir mi? — conditions, limits and prohibited zones (in Turkish)
• Can Foreigners Operate Ships in Turkey? — yacht tourism, foreign-flagged yachts and yacht chartering rules
• Yabancılar Türkiye’de Otel Kurabilir veya Satın Alabilir mi? — Turkish version of this article