Urban Transformation in Istanbul

Urban Transformation in Istanbul: Earthquake Safety, Property Renewal and Changing Apartment Sizes

Istanbul sits close to the North Anatolian Fault Line, one of the world’s most active seismic zones. The devastating 1999 Marmara earthquake fundamentally changed the way Turkey approached urban planning, construction standards and residential safety.

Since then, earthquake resilience has become one of the defining themes of Istanbul’s real estate market. Demand has increasingly shifted toward newer earthquake-compliant buildings, particularly in central districts where a significant amount of older housing stock still remains.

Urban transformation, known in Turkey as kentsel dönüşüm, has become one of the country’s largest long-term redevelopment programmes. Introduced formally under Law No. 6306 in 2012, the system aims to replace risky and ageing buildings with safer, modern and more durable structures.

Why Urban Transformation Matters in Istanbul

Urban transformation is particularly important in Istanbul because many residential buildings constructed before modern earthquake regulations may not meet current structural standards.

At the same time, Istanbul remains one of Europe’s largest and densest metropolitan areas. Prime central districts such as Şişli, Beşiktaş, Kadıköy and Beyoğlu have limited land supply, strict zoning controls and extremely high redevelopment costs.

As a result, newer earthquake-resistant apartments in central Istanbul often command substantial price premiums compared to older housing stock.

For many local and international buyers, earthquake compliance has become one of the most important factors when purchasing property in Istanbul.

What Is Urban Transformation in Turkey?

Urban transformation involves demolishing buildings identified as structurally risky and replacing them with modern earthquake-resistant developments built to updated engineering standards.

The programme is not limited to individual buildings. In many cases, urban transformation also includes wider infrastructure upgrades, public landscaping improvements, transport enhancements and redevelopment of surrounding urban areas.

The overall objective is to create safer, more organised and more resilient cities while reducing the potential loss of life and property during future earthquakes.

How Law No. 6306 Works

Law No. 6306 forms the legal framework behind Turkey’s urban transformation programme. The law gives authorities the ability to identify risky structures and oversee their redevelopment.

Buildings can qualify for transformation if technical inspections determine that they are structurally vulnerable or no longer meet acceptable safety standards.

Owners of qualifying properties may be eligible for various forms of state support during the redevelopment process, including:

• Temporary rental assistance.
• Interest-supported financing and loans.
• Certain tax and fee exemptions.
• Reduced administrative costs during redevelopment.

Support mechanisms are designed to reduce financial pressure on residents while older buildings are demolished and reconstructed.

Like-for-Like Urban Regeneration in Central Istanbul

One of the most common forms of urban transformation in central Istanbul is known informally as “like-for-like” regeneration. This is especially common in established city-centre districts such as Şişli, Beşiktaş, Kadıköy and parts of Beyoğlu, where zoning restrictions often prevent developers from significantly increasing overall building height.

Many older apartment buildings in Istanbul were originally constructed with large residential units and relatively few apartments per floor. During redevelopment, developers frequently reach agreements with existing property owners whereby the building is demolished and reconstructed using modern earthquake-resistant engineering standards.

Because additional floors often cannot be added due to planning regulations, developers instead increase the number of apartments within the same permitted building envelope. This is usually achieved by redesigning layouts more efficiently and reducing individual apartment sizes.

As a result, many newly built apartments in central Istanbul are considerably smaller than older housing stock. Modern two-bedroom apartments in regenerated buildings are often approximately 50–60 sqm net, while many three-bedroom units may range around 75–90 sqm net depending on the district and building type.

Although apartment sizes have generally reduced, buyers benefit from significantly improved construction quality, earthquake compliance, underground parking, lifts, insulation systems and modern infrastructure.

This regeneration model has become one of the defining characteristics of Istanbul’s modern residential market and is one of the main reasons newer apartments in prime central districts command strong premiums despite their smaller internal sizes.

Risky Area vs Risky Structure

Urban transformation law distinguishes between two important concepts: risky areas and risky structures.

Benefits of Urban Transformation

Urban transformation has had a major impact on Istanbul’s residential market and urban environment.

• Replacement of ageing and vulnerable housing stock.
• Construction of modern earthquake-resistant buildings.
• Improved infrastructure and urban planning.
• Higher demand for safer modern apartments.
• Increased property values in regenerated districts.
• Reduction of unplanned and inefficient urbanisation.

Many regenerated districts have also seen broader lifestyle improvements, including upgraded public spaces, retail areas, transport links and landscaping.

For investors, newer earthquake-compliant residential stock has increasingly become one of the most liquid and sought-after segments of Istanbul’s property market.

Urban Transformation and Istanbul Property Prices

Urban transformation has become one of the strongest long-term drivers of pricing in Istanbul’s residential market.

In many central districts, the supply of newer earthquake-resistant apartments remains relatively limited compared to buyer demand. Combined with strict zoning restrictions and rising construction costs, this has helped support price growth for modern buildings in prime locations.

Districts with significant regeneration activity often experience noticeable changes in both pricing and demographic profile as older buildings are gradually replaced with modern developments.

At the same time, the shrinking size of newer apartments has also changed buyer preferences, with many purchasers now prioritising building quality, location and earthquake safety over raw square metre size.

Which Istanbul Districts Have Seen Major Urban Transformation?

Urban transformation projects can now be found across much of Istanbul, although some districts have experienced significantly more redevelopment activity than others.

• Kağıthane: Large-scale regeneration and infrastructure investment.
• Fikirtepe: One of Istanbul’s largest high-density transformation projects.
• Bomonti: Significant replacement of older residential stock.
• Zeytinburnu: Extensive earthquake-focused renewal projects.
• Gaziosmanpaşa: Ongoing redevelopment and regeneration activity.
• Ataşehir: Modern mixed-use redevelopment and financial district expansion.
• Şişli and Beşiktaş: Smaller-scale building-by-building regeneration projects.

Many foreign buyers now actively prioritise districts with a higher concentration of modern earthquake-compliant developments.

The Procedure for Demolition and Redevelopment

Once a building is officially designated as risky under Law No. 6306, owners are generally expected to cooperate in the evacuation and redevelopment process.

• Owners may receive notice to vacate the building.
• Rental assistance may be provided during redevelopment.
• Owners are usually given time to arrange demolition themselves.
• If demolition does not occur voluntarily, authorities may intervene.
• Following demolition, redevelopment decisions typically require majority owner agreement.
• In some cases, authorities may use expropriation powers where agreements cannot be reached.

After redevelopment is completed, ownership shares are generally redistributed proportionally among existing rights holders according to the approved project structure.

Frequently Asked Questions