Government Claims 90% Stake in Zoning-Driven Land Gains

Turkey has introduced a sweeping new regulation designed to curb unplanned urban expansion and prevent arbitrary zoning amendments that generate disproportionate private profit. The new “Implementation Regulation on Value Increase Share for Zoning Plan Amendments”, issued by the Ministry of Environment, Urbanization, and Climate Change, officially came into force following its publication in the Official Gazette.

The regulation mandates that 90% of any increase in value resulting from zoning plan changes must be transferred to the public, ensuring that gains from planning decisions contribute directly to social benefit rather than private enrichment.

Value Increase Share Becomes Mandatory Under the Previous Law

The Ministry highlighted that the regulation builds on earlier legislation, specifically Law No. 7534, which was previously published in the Official Gazette. Under this law, a value increase share became compulsory for land parcels whose value rises due to zoning plan amendments.
This mechanism is intended to ensure that when public authorities revise zoning designations—such as shifting a plot from low-density to high-density use, or from restricted function to commercial activity—the resulting financial gain is equitably shared with the public sector.

With the new regulation, the Ministry aims to reinforce planned urban development, minimize unregulated growth, and eliminate the long-standing practice of speculative or discretionary zoning amendments that distort land values.

Regulation Applies Only to Land Value Increases

The value increase share applies exclusively to the land value component, not to any structures built on the property. This distinction ensures that the mechanism targets public-driven price inflation rather than private construction investments.

By redirecting 90% of the value increase to the public sector, the regulation aims to create a fairer system in which municipalities and state agencies receive the financial benefit generated by their planning authority—funds that can be reinvested into public infrastructure, services, and urban resilience initiatives.

Flexible Payment Options for Property Owners

The Ministry also emphasized the introduction of payment conveniences for citizens.
Property owners will have two options:

• Pay in full upfront, benefiting from a 10% discount, or

• Choose installment payments for flexibility if you prefer not to make a lump-sum payment.

This arrangement aims to support compliance, reduce financial burden, and ensure that the system functions smoothly without imposing undue hardship on landowners.

Solution for Long-Pending “Public Service” Properties

A longstanding challenge in urban planning concerns privately owned parcels that were historically designated for public use, such as schools, administrative buildings, or health facilities, but were never expropriated by public institutions.

The new regulation provides a pathway for resolving these cases. If the relevant public authority confirms that it no longer needs the designated area and the local administration approves, the zoning plan may be amended to lift the restrictions.
This change enables property owners to reclaim full development rights, preventing prolonged uncertainty and mitigating legal disputes.

Prevention of Legal Conflicts Between Public and Private Sectors

The Ministry states that the regulation will help resolve disputes between public institutions and landowners before they escalate into legal cases. By establishing clear rules and predictable processes, the framework aims to reduce litigation, improve administrative transparency, and create a more efficient route for reconciling zoning-related disagreements.

A Step Toward Planned Urban Development and Public Benefit

Overall, the Ministry emphasizes that the regulation supports the planned development of cities while ensuring that the public receives its fair share of value created through zoning decisions.

By channeling 90% of the value increase into public coffers, the government aims to enhance collective welfare, strengthen urban planning discipline, and promote sustainable land-use policies nationwide.