Compliance in Türkiye

Can foreigners open a hotel in Türkiye? Company, property and certificate rules

Foreign investors can open hotels in Türkiye under equal treatment laws. This guide explains company formation, property ownership caps, and certificate steps.

  • 11 min read
  • AI Otel Editorial

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Contents

Key takeaways

  1. The Regulation on the Qualifications of Tourism Facilities, issued under Presidential Decree No. 1134, defines a tourism business as a commercial business in the tourism sector run, jointly or separately, by natural or legal persons of Turkish or foreign nationality.
  2. Under the Foreign Direct Investment Law (No. 4875, Article 3(a)), foreign investors are free to make direct investments in Türkiye and receive the same treatment as domestic investors, unless international agreements or special laws provide otherwise.
  3. Under the Title Deed Law (No. 2644, Article 35), foreign natural persons may acquire real estate only if they are citizens of countries the President determines, capped at 10% of a district's privately owned area and 30 hectares per person nationwide.
  4. Under the Tourism Incentive Law (No. 2634, Article 18(a)), foreign staff at a certified business may not exceed 10% of total staff, a figure the Ministry of Culture and Tourism may raise to 20%.
  5. The certificate application steps do not change with nationality; the company, property and staffing rules do.

Yes, in principle. Türkiye's tourism facilities regulation (Presidential Decision 1134, Article 4(1)(m)) defines a tourism business as one run by natural or legal persons of Turkish or foreign nationality. In practice the route is usually a company incorporated in Türkiye under the Foreign Direct Investment Law (No. 4875), plus a tourism certificate. Property ownership has separate limits.

An investor finds the building, agrees a price, and only then asks whether the law lets them own it and run a hotel inside it. Three separate rulebooks answer that question, and they do not move together. After reading this article you will know which law governs each step, in which order to take them, and which questions to put in writing to local counsel and an accountant before you commit money.

What do the tourism rules say about nationality?

They treat nationality as irrelevant. Article 4(1)(m) of the Regulation on the Qualifications of Tourism Facilities (Presidential Decision 1134) defines a tourism business as a commercial business active in the tourism sector, run jointly or separately by natural or legal persons of Turkish or foreign nationality, according to the consolidated text on mevzuat.gov.tr (opens in a new tab).

The same article separates three roles that investors often blur: the tourism business itself, the certificate holder and the operator. Because the three are defined separately, an owner, a certificate holder and an operating company can be three different legal persons. The certificate follows the name written on it, not the building.

Term (Turkish)What Regulation 1134, Article 4(1) saysWhy an investor should care
Turizm işletmesi (tourism business)A commercial business active in tourism, run jointly or separately by natural or legal persons of Turkish or foreign nationalityNationality is not a barrier to the activity
Belge sahibi (certificate holder)The natural or legal person in whose name the tourism certificate is issuedThe entity named here is the one the Ministry deals with
İşletmeci (operator)The person who runs the facility in its own name and for its own accountA management company can sit here while a different entity holds the certificate

The words "jointly or separately" mean a foreign investor can hold the business alone or with partners. This article sets no local-partner requirement.

What the article does not do is grant a property right, a residence status or a tax position. Those come from the title deed, immigration and tax rules, which are separate. Practical check: decide which entity will be the certificate holder and which will be the operator before you sign a management or lease contract, then confirm the split with counsel.

Can a foreigner open a company in Türkiye to run a hotel?

Yes. Article 3(a) of the Foreign Direct Investment Law (No. 4875) states that, unless international agreements or special laws provide otherwise, foreign investors are free to make direct investments in Türkiye and receive the same treatment as domestic investors, per the consolidated law on mevzuat.gov.tr (opens in a new tab).

Article 2 defines a foreign investor broadly: a natural person with foreign citizenship, a Turkish citizen resident abroad, a legal entity set up under foreign law, or an international organisation. It also defines what counts as direct foreign investment: bringing assets such as cash capital from abroad to set up a new company or open a branch, joining an existing company by buying shares off the stock exchange, or acquiring at least 10% of the shares or votes on the exchange.

The law adds protections in Article 3. Investments may not be expropriated or nationalised without public interest and compensation. Net profit, dividends and sale proceeds may be transferred abroad freely through banks or private finance institutions.

Key pointEqual treatment is the default, not the whole answer

Article 3(a) applies "unless international agreements or special laws provide otherwise". Property, certification and staffing each have their own law with their own conditions, and those conditions are where a foreign investor's path differs from a domestic one.

Article 3(g) adds that staff of foreign nationality employed in companies and branches set up under this law get their work permit from the Ministry of Labour and Social Security. That links the company question to the staffing question later in this article.

In practice, the entity that holds the certificate and the property is normally a company incorporated in Türkiye. Which form suits your investor profile and tax position is a question for counsel and an accountant, not a template.

Can a foreigner buy the hotel building or the land?

Sometimes, and by two different routes. A foreign natural person may acquire real estate only if they are a citizen of a country the President determines, within area caps. A company set up in Türkiye in which foreigners hold 50% or more of the shares may acquire property to carry out its articles' activities, under the Title Deed Law's consolidated text (opens in a new tab).

Article 35 of the Title Deed Law (No. 2644) governs natural persons: acquisition is open to citizens of countries the President determines, subject to legal restrictions. The total area acquired, including independent and permanent limited real rights, may not exceed 10% of the privately owned area of a district, or 30 hectares per person across the country. The President may double the per-person limit.

The President may also set, restrict, suspend or ban acquisitions by country, person, region, period, number, ratio, type, quality or area. The position can change and must be checked at the date of purchase.

Article 36 is the usual company route. A company set up in Türkiye where foreigners hold 50% or more of the shares, or can appoint or dismiss most of the managers, may acquire and use real estate to carry out the activities in its articles of association. Acquisitions in military and special security zones need permission.

Who is buyingWhat Law No. 2644 allowsWhat to check first
Foreign natural personAcquisition if a citizen of a country the President determines, within 10% of district private area and 30 hectares per person nationwideWhether the country is on the current list and whether the plot is in a restricted zone
Company set up in Türkiye with 50%+ foreign shareholdingMay acquire and use real estate to carry out its articles' activities (Article 36)That the articles of association actually cover hotel activity
Company set up under foreign lawMay acquire only within special laws (Article 35)Whether any special law applies at all before negotiating

Undeveloped land carries a deadline: the buyer must submit the project to be built to the relevant Ministry for approval within two years. Property acquired against the article, used against its purpose, or whose project is not carried out on time is liquidated into money if the owner does not dispose of it within a period of up to one year.

Check before paying a deposit: whether the plot falls inside a military or special security zone is a title deed question, and it is answered by the land registry file, not by the seller's brochure. If your project is a new build, read also when a tourism investment certificate for a hotel project is required.

Which certificate does the hotel need, and does being foreign change the steps?

The property needs a tourism operation certificate (işletme belgesi) from the Ministry of Culture and Tourism, and the application steps are the same whatever the applicant's nationality. Nationality changes the company and property steps, not the certificate steps.

The certificate is issued in the name of the certificate holder, so settle the entity question first. Changing the name on a certificate later is a separate procedure. Name the operator on the file from the start: if a management company will run the facility in its own name and for its own account, the paperwork should say so.

The order that does not change: entity, then property or lease, then project and permits, then the certificate application, then opening. Skipping a step usually means paying for it twice. A project may also need a tourism investment certificate, which is a different document from the operation certificate and can sit before or during construction; confirm which applies to your project before you buy land.

The documents are the same in kind for everyone: identity and company papers, title deed or lease, project files, and evidence that the facility meets the regulation's qualification rules for its type. What does change is origin. Your corporate papers come from another jurisdiction, so ask counsel what legalisation and translation they need and who must sign for the company.

Checklist

  • 1. Decide the entity that will hold the certificate
  • 2. Decide who operates the facility and on what contract
  • 3. Settle property purchase or lease, including zone and area checks
  • 4. Confirm whether a tourism investment certificate is needed
  • 5. Prepare project and permit files
  • 6. Apply for the tourism operation certificate
  • 7. Prepare pre-opening items, including staff permits where foreign staff are planned

For the certificate itself, the step-by-step guide to how a hotel applies for a tourism operation certificate covers the documents in detail, and which permits come in which order when opening a hotel covers the wider sequence.

How many foreign staff can a certified hotel employ?

Up to 10% of total staff, unless the Ministry of Culture and Tourism raises the limit to 20%. The permit comes from the Ministry of Labour and Social Security, issued after the Ministry of Culture and Tourism and the Ministry of Interior give their opinions (Law No. 2634, Article 18(a), per the consolidated law on mevzuat.gov.tr (opens in a new tab)).

The 10% is a share of total staff, not a headcount. The ceiling moves with your payroll, and a small property reaches it with two or three people. The article speaks of foreign expert staff and artists, so the permit is a regulated route for specific roles rather than an open quota for any position.

Timing helps pre-opening: these staff may start work from three months before the business starts operating, which covers training and setup. Article 18(b) adds a separate rule: in certified businesses covered by Article 12 of the Police Duties and Powers Law (No. 2559), people under 21 may be employed only with the permission of the highest local civil administrator.

Watch outThe cap is a share, not a number

10% of total staff means the ceiling follows your headcount, and the Ministry of Culture and Tourism's power to raise it to 20% is a discretion, not an entitlement to plan around.

The general work permit route for foreign staff runs through the Ministry of Labour and Social Security (Foreign Direct Investment Law, Article 3(g)); Article 18 adds the two-opinion step and the cap for certified businesses. Check before promising a role to an overseas manager: ask counsel how total staff is counted for the cap, particularly where seasonal contracts are used. The article on employing foreign staff at a hotel in Türkiye covers the permit process in detail.

What should I ask local counsel and an accountant before committing?

Bring a written list and ask for written answers. The four texts above set the frame; your country, your plot and your tax position decide the rest.

Property

Checklist

  • Is my country currently on the President's list for real estate acquisition, and is the plot inside a military or special security zone?
  • Should the buyer be me personally, a company set up in Türkiye, or a company set up under foreign law, given Articles 35 and 36 of the Title Deed Law?

Certificate

Checklist

  • Does the project need a tourism investment certificate as well as an operation certificate, and in which order?
  • Which entity will be the certificate holder and which the operator, and does the management contract match the file submitted to the Ministry?

Money and people

Checklist

  • What are the tax registration, e-document and reporting duties once the company exists, and which of them begin before opening?
  • How will total staff be counted for the Article 18 cap, and how long does a work permit take for the roles I plan to fill from abroad?

This article does not answer questions of residence, citizenship or tax incentives. Ask those separately, and do not accept a property purchase presented as any of them.

What to do next

Get the entity and the property question answered in writing before you negotiate a price, then run the certificate steps in the fixed order above. The tourism, investment and title deed rulebooks are read together, and only your own counsel and accountant can read them against your country, your plot and your tax position. This article is orientation, not legal advice.

Frequently asked questions

Can a foreigner own 100% of a hotel company in Türkiye?

Article 3(a) of the Foreign Direct Investment Law (No. 4875) gives foreign investors the same treatment as domestic investors unless international agreements or special laws say otherwise, and Regulation 1134, Article 4(1)(m) allows a tourism business to be run by persons of any nationality. No local partner is required by those texts. Confirm the company form and any sector-specific condition with counsel.

Does buying property in Türkiye give me the right to run a hotel in it?

No. Ownership and the tourism operation certificate are separate: the certificate is issued in the name of the certificate holder under Regulation 1134, Article 4(1)(d), and the operator runs the facility in its own name and for its own account. A buyer still needs the certificate and the permits for the property's use. Residence and citizenship are yet another set of rules and are outside this article.

Can a company set up abroad buy the hotel building directly?

Article 35 of the Title Deed Law (No. 2644) allows commercial companies with legal personality set up under foreign law to acquire real estate only within special laws, which is a narrow door. The usual route is Article 36: a company set up in Türkiye with 50% or more foreign shareholding, or where foreigners can appoint or dismiss most managers, may acquire and use real estate for its articles' activities, with permission needed in military and special security zones.

What happens if the project on undeveloped land is not built?

Under Article 35 of the Title Deed Law, a foreign buyer of undeveloped land must submit the project to the relevant Ministry for approval within two years. Property acquired against the article, used against its purpose, or whose project is not carried out on time is liquidated into money if the owner does not dispose of it within a period of up to one year. Plan the project timeline before buying.

Is the tourism certificate application different for a foreign applicant?

The steps are the same; only the corporate documents differ in origin, so legalisation and translation questions arise. The certificate is issued in the name of the certificate holder, so the entity decision comes first. The step-by-step certificate guide and the permits-in-order article cover the process in detail.

Sources

  1. Doğrudan Yabancı Yatırımlar Kanunu (Kanun No. 4875), consolidated text, Articles 2 and 3 (opens in a new tab)T.C. Cumhurbaşkanlığı Mevzuat Bilgi Sistemi (mevzuat.gov.tr)mevzuat.gov.tr
  2. Tapu Kanunu (Kanun No. 2644), consolidated text, Articles 35 and 36 (opens in a new tab)T.C. Cumhurbaşkanlığı Mevzuat Bilgi Sistemi (mevzuat.gov.tr)mevzuat.gov.tr
  3. Turizmi Teşvik Kanunu (Kanun No. 2634), consolidated text, Article 18 (opens in a new tab)T.C. Cumhurbaşkanlığı Mevzuat Bilgi Sistemi (mevzuat.gov.tr)mevzuat.gov.tr

AI Otel EditorialEditorial team

Drafted with AI assistance from AI Otel’s published fact base. Not yet reviewed by an editor.

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