Legal Protections in Land Share Construction Projects
Construction Contracts in Return for Land Share (Kat Karşılığı İnşaat Sözleşmesi) represent a common real estate development model in İzmir and surrounding Aegean municipalities.
1. Formal Notarization Requirement
To be legally valid under Turkish law, construction contracts in exchange for independent units must be executed in official form before a Public Notary.
2. Critical Contractual Safeguards
- Delivery Milestones & Penalty Clauses: Stipulating daily or monthly monetary penalties for contractor delays.
- Progressive Deed Transfer: Releasing land share title deeds to the contractor incrementally as construction milestones are verified.
- Contract Cancellation & Cancellation Remedies: Securing court rescission of contract (Sözleşmenin Feshi) upon contractor insolvency or severe breach.
