The essential principles of the acquisition of Turkish Citizenship through investment are regulated by Article 20 of the Regulation on the Implementation of the Turkish Citizenship Law (“Regulation”), which was amended on May 13, 2022.
1. As per the amendment, Paragraph Article 20/2, which regulates investment types in the Regulation, the minimum amount of the investment in real estate required for the acquisition of Turkish citizenship was increased to USD 400,000 from USD 250,000 stating that
“Purchase a real estate with a minimum value of USD
250,000 400,000 or equivalent foreign currency and attached an annotation of no-sale for at least three years at the relevant title registry; or purchase a real estate which has a property ownership or a construction servitude on it, with a preliminary sale contract executed before a notary public and at least USD 250,000 400,000 or the equivalent amount of foreign currency is paid in advance and such notarized preliminary sale contract shall be recorded at the relevant title registry with the undertaking not to transfer or assign the agreement for a period of three years that is determined by the Ministry of Environment, Urbanization and Climate Change”
The effective date of the abovementioned amendment is set forth as June 13, 2022, therefore, until the effective date and the minimum amount of real estate investment will remain as USD 250,000.
2. As per the letter published on June 1, 2022 by the Land Registry and Cadastre Foreign Affairs Department regarding the acquisition of Turkish Citizenship via real estate investment, the applications submitted by 24.00 am on 12.06.2022 via Webtapu or ALO 181 the transaction parties shall be subject to the USD 250,000 threshold provided that documents required for the transaction (currency exchange purchase document, receipt, valuation report) issued prior to13.06.2022.
3. By the amendment, a new investment option has been set forth for the investors as well, stating that
“Foreigners determined by the Insurance and Private Pension Regulation and Supervision Agency to have invested the contribution margin at least 500,000 USD or equivalent in foreign currency into the pension system, provided that they keep their contribution in the funds determined by the Insurance and Private Pension Regulation and Supervision Agency and remain in the system for three years.”
As in the other investment types, in exercising that new option, the foreign currency equal to the investment amount should also be sold to any bank operating in Turkey and converted into Turkish Lira before the transaction, whereas the converted amount should be kept in the fund to be determined for a period of 3 years.
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