Turkey

Dealing with Construction Permits in

Turkey

Below is a detailed summary of the procedures, time and costs to build a warehouse in Turkey. This includes obtaining necessary licenses and permits, completing required notifications and inspections and obtaining utility connections.

This information was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 189 economies. The most recent round of data collection was completed in June 2013. Read the methodology.

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  • Standardized Company

  • Estimated Warehouse Value: TRY 449,650
  • City: Istanbul
No. Procedure Time to Complete Associated Costs
1 Obtain lot plan (Imar Durumu)

BuildCo applies to the LIHKAB, a licensed mapping office which can perform the same duties as the Land Registry. Technicians from the LIHKAB peg the corners of the plot, fix its location on the land, and prepare the plan for application.

According to annual indexation of official fees for issuing the lot plan, the official fee schedule is as follows:

1 -- 1,000 sq. m.: 333 TRY
1,001 -- 3,000 sq. m.: 498 TRY
3,001 -- 5,000 sq. m.: 710 TRY
5,001 -- 10,000 sq. m.: 862 TRY
10,001 -- 20,000 sq. m.: 937 TRY
20,001 -- 50,000 sq. m.: 1,073 TRY
50,001 -- 100,000 sq. m.: 1,284 TRY
100,001 -- 200,000 sq. m.: 1,587 TRY
200,001 -- 500,000 sq. m.: 2,569 TRY

The fee applied for the BuildCo case is TRY 333, which is then multiplied by a ratio based on the actual location of the warehouse. The ratio for Istanbul is 1.14. Therefore, the total fee is calculated as follows: TRY 333 * 1.14 = TRY 379.6

Agency: LIHKAB - Licensed Mapping Office
4 days TRY 380
2 Obtain cadastral plan (Aplikasyon Krokisi)

BuildCo submits an application to the Cadastral Plan Branch of the relevant municipality, along with the lot plan, and obtains the Cadastral Plan Document. The cadastral plan states the corner coordinations of the plot, the status of adjacent plots, and the surface area of the plot.
Agency: District Cadastral Office
3 days no charge
3 Obtain construction direction plan (Insaat Istikamet Rolevesi) and elevation of cross section (Kot Kesit Belgesi)

BuildCo must apply for a construction direction plan and elevation of cross section at the district municipality with the documents obtained in the previous procedures. The technicians set all the necessary levels -- road, entrance, plot, building corners, etc. -- to be the basis for the design process of the works that will follow, and issue a construction direction plan and elevation of cross section. The construction direction plan includes stated directions on the land, distances from neighboring plots, and the building corners. The elevation of cross section identifies stated elevations of the corners of the plot, the necessary levels and elevations of the current land and elevations of the road.

The fee for these plans is as follows:

1 -- 100 sq. m.: 1 TRY / sq. m.
101 -- 500 sq. m.: 0.9 TRY / sq. m.
over 501 sq. m.: 0.6 TRY / sq. m.

Therefore, the total fee is calculated as follows for the BuildCo case: 929 sq. m * TRY 0.6 TRY / sq. m = TRY 557.4
Agency: District Metropolitan Municipality - Planning Department
4 days TRY 557
4 Hire an independent building inspector

The company must select an independent building inspector and sign a service contract with this inspector. The inspector must check and approve all the project’s plans before they are submitted to the municipality. The list of project plans is extensive and includes the architectural design of the building done by design consultants; the reinforced concrete and insulation project plans prepared by a civil engineer; the fire safety project plans prepared jointly by an architect and the mechanical engineer for utilities; the project plans and documents for hot water, and those of central heating facilities prepared by a mechanical engineer; the electrical wiring project plans prepared by an electrical engineer; the telecommunications system project plans prepared by an electrical engineer; and the landscape project plans prepared by a landscape engineer.

Selecting an independent building consultant takes only a day. However, practitioners agree that it takes at least 3 days for the building inspector to review and approve all the documents before they are submitted to the municipality. Hence, for the case considered here, it is assumed that 4 days are needed to complete this procedure.

The building inspector charges a fee of 1.5% of the total cost of construction, according to the amendment of Article 5 of the Law on Building Inspection No. 4708 of August 17, 2011. This fee is paid in six installments.

The inspector receives the following payments at the following stages:
• 10% when the building permit is obtained
• 10% when the foundation is completed
• 40% when the static structure is completed
• 20% when the detailed works are completed
• 15% when the mechanical and electricity system are completed
• 5% when the construction completion minute is approved by the municipality

However, for the case considered here, it is assumed that any interaction with the independent building inspector is an internal process within BuildCo. Hence, the phased-out payment is included in this procedure as a one lump sum, for methodological reasons.

Agency: Private Building Inspection Agency
4 days TRY 6,745
5 Obtain approval from the Fire Department

BuildCo must apply for fire facilities approval to the Istanbul Metropolitan Municipality Fire Brigade.


Agency: Fire Department, Istanbul Metropolitan Municipality
2 days no charge
6 Obtain approval of architectural drawings from the municipality

The company must submit the documents listed below along with the architectural drawings to the project branch of the municipality:
• The authorization document of the architect
• The plan for the application
• The cadastral plan document
• The road datum document
• The title deed registration document
• The plot share distribution table, if there is more than one independent section on the land (for instance, an apartment building)
• Built-up area breakdown table in square meters
• Ratified geological study
• Three sets of the elevator preliminary report (not applicable in the warehouse case)

The municipality must approve the project’s proposed designs. The fire safety project should also be submitted to the municipality for approval and can be included in this procedure.
If the municipality asks for changes to be made to the architectural designs during the approval process, these changes should be reflected in the engineering and landscaping projects as well. For final approval, these project plans are submitted to the municipal project branch, for static, sanitation facility, heating and heat insulation, and landscaping project plans to the Turkish Electricity Distribution Corporation (TEDAS), for the electricity project plans; and to the telephone company, for the telecommunication project plans. Fire-electricity and fire-mechanical project plans must be approved by the Fire Department.

Article 22 of the Land Development Law establishes a 30-day statutory time limit for this procedure. Although in some cases the approval may be granted within 7 days, practitioners agree that most cases require the full 30 days allowed by law.

The cost estimated for this procedure ranges from TRY 3,000.00 to TRY 3,500.00. The fees found on one district municipality’s Web site show the cost breakdown to include fees for examination, approval, and various other taxes (e.g., sign posts, trees).

Agency: District Municipality
30 days TRY 3,500
* 7 Obtain approval of technical drawings from the phone company


Agency: Türk Telekom
1 day no charge
8 Obtain proof of payment and clearance of water and sewerage infrastructure

The company contacts the water and sewerage department to pay the fees and participation share in the cost of the water and sewerage infrastructure. A clearance document is obtained, that shows that complete payment was made.
Agency: Water and Sewerage Department (Istanbul Metropolitan Municipality)
21 days TRY 1,208
9 Receive foundation registration number from the Social Security Institution

The company must register the staff that will be working at the construction site with the Social Security Institution.
Agency: Social Security Institution
1 day no charge
10 Obtain building permit

The company requests a building permit from the licensing branch of the municipality. The approved design, engineering drawings, and other necessary documents (described in the previous procedures) must be attached to this request. The company must pay the fees before receiving the building permit and starting foundation work.

The fee schedule is as follows:

1-25 sq. m.: 3.00 TRY / sq. m
26-50 sq. m.: 4.50 TRY / sq. m
51-100 sq. m.: 6.00 TRY / sq. m
over 100 sq. m.: 7.5 TRY / sq. m

Therefore, the total fee for BuildCo is calculated as follows: TRY 7.5 * 1,300.6 sq. m = TRY 9,754.50

Building permits are usually issued 1 -- 2 months after submission of the application. The law provides for a statutory time limit of 30 days for the municipality issuing the permit. There are frequent complaints from applicants about not receiving the building permit within the specified time.

Following the building permit issuance, the municipal building control authority will randomly conduct inspections during the construction on site, in addition to private inspection.

Agency: District Municipality, Licensing Branch
30 days TRY 9,755
11 Obtain proof of tax payment

The company must pay all taxes owed, and obtain a tax clearance document from the appropriate tax departments. This document states that all taxes owed have been paid.
Agency: Tax Department
1 day no charge
12 Receive final inspection from the Fire Department

The updated fee schedule for the final inspection from the fire department is as follows:
• Group 1 buildings: exempted
• Group 2 buildings: TRY 0.53 per sq. m.
• Group 3 buildings: TRY 0.86 per sq. m.
• Group 4 buildings: TRY 1.15 per sq. m.
• Group 5 buildings: TRY 1.65 per sq. m.
• Group 6 buildings: TRY 2.00 per sq. m.
• Group 7 buildings: TRY 4.60 per sq. m.
BuildCo would fall into group 6 (factory buildings, hospitals, hotels, warehouses). Therefore, the applicable fee would be: 1,300.6 X 2.00 = TRY 2,601.20

Agency: Fire Department, Istanbul Metropolitan Municipality
1 day TRY 2,601
13 Submit final inspection report and receive final inspection from the municipality

Upon completion of construction, the private inspector must submit his final inspection report to the municipality before the municipality conducts its final inspection. The municipality will come to inspect the building after 5 days on average.
Agency: District Metropolitan Municipality
5 days no charge
* 14 Obtain occupancy permit

Land Development Law No. 3194 requires an occupancy permit for all new constructions. The company applies for the occupancy permit by submitting the following documents:
• The invoice for the building
• The building permit
• The built-up area breakdown table in square meters
• The original copy of the plot title deed
• The real estate tax declaration
• The real estate tax receipt

An authorized commission from the municipality inspects the building and verifies that it complies with the project. This commission then issues the occupancy permit.

The law specifies a statutory time limit of 30 days for the municipality to issue an occupancy permit. Practitioners observe that this statutory time limit is not frequently observed, and so, this process can take on average 2 months.

Agency: District Metropolitan Municipality
15 days TRY 2,000
* 15 Obtain proof of real estate tax payment

Real estate taxes must be submitted to the tax office within 3 months of receipt of the title deeds. The company must obtain a copy of the real estate tax form and a tax clearance statement from municipal accounting office.
Agency: District Metropolitan Municipality
10 days no charge
* 16 Change the title deed from a land title deed to a building title deed

The company must submit the following documents to the title deed department in order to register the building:
• The title deed
• The plot share distribution table
• The occupancy permit
• The cadastral survey pages

Registering the warehouse takes some time due to backlogs and long waiting times at the Land Registry.

Agency: Title Deed Department
10 days TRY 300
17 Request water connection and permission for discharge of sewerage and rainwater

The company must request permission from the water and sewage department to discharge sewage and rainwater. The company can also request the water connection at the same time.
Agency: Istanbul Water Supply and Sewerage General Directorate (ISKI)
1 day no charge
18 Receive inspection from the water and sewage department

Upon request of permission from the water and sewage department to discharge sewage and rainwater, the technicians from this department perform their inspections at the site and grant permission for connection of wastewater and rainwater to the system. The technicians from the same department also check that the canal connections comply with the approved design, upon request for a water connection. The technicians then issue a letter of approval for connection.
Agency: Istanbul Water Supply and Sewerage General Directorate (ISKI)
1 day no charge
19 Obtain water and sewage connection


Agency: Istanbul Water Supply and Sewerage General Directorate (ISKI)
45 days no charge
* 20 Request and obtain telephone connection


Agency: Türk Telekom
2 days TRY 7
* Takes place simultaneously with another procedure.

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