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May 24, 2012
 
 
 
 
 
 
Expat Zone 30 July 2008, Wednesday 0 0 0 0
BERK ÇEKTİR
b.cektir@todayszaman.com

Reciprocity matters in Real Estate --the Kuwait Case (2)

Reciprocity is a concept that should not be limited with obvious restrictions. Rather, it should be considered a horizon for achieving reciprocal benefits for both parties.
On Monday I wrote about my meeting with His Excellency Abdullah Abdulaziz Al-Duwaikh, the Kuwaiti ambassador to Turkey, and tried to shed some light on the following facts and questions. A Kuwaiti citizen is not able to acquire property in Turkey because there is no reciprocity between Kuwait and Turkey in terms of real estate acquisition. But is there any possibility that Turkey and Kuwait can establish reciprocity without limits given the fact that Kuwait has a surface area of 17,818 square kilometers, while Turkey’s area is 783,562 square kilometers? Should the reciprocity rule be applied strictly to all countries to the same extent, or should there be an understanding established based on the needs of both countries? Wouldn’t it be a good idea to offer Kuwaitis the freedom of limited real estate acquisition (which is actually already limited for all foreign citizens) in exchange for significant foreign direct investment from Kuwait? What would change if the villa next to you was sold to a Kuwaiti instead of to a Dutch citizen? Shouldn’t there be exemptions for Kuwait and other countries unable to grant reciprocal property acquisition rights due to their unique circumstances?

We are missing the chance to attract significant Kuwaiti investment to Turkey, while other nations are opening all their doors to Gulf countries. We are missing the chance to take the lead in globalism and leaving Turkey’s steering wheel in the hands of others.

Furthermore, I would suggest that one should make a case study and see if reciprocity really works or is applied as it is intended. If the purpose of reciprocity is to grant some mutual rights and benefits, we should ask what reciprocity has brought to Turkey in the last decade in terms of the 135 countries with which Turkey has already established reciprocity. How many foreign citizens have acquired property in Turkey and how many Turkish citizens have acquired property abroad?

The Constitutional Court takes the matter of selling real estate to foreigners as a kind of national security matter, rather than an issue of ownership, and defines reciprocity as parties granting the same rights to each other reciprocally. The understanding of the Constitutional Court is also based on Turkish law, which accepts that all countries are equal without considering economic development, location, population or size.

Thus, the condition for a foreigner benefiting from a right in Turkey is strictly attached to the condition that a Turkish citizen be granted exactly the same kind of right in the respective foreign country. Here is my question: What does Turkey need? To acquire land in Kuwait? I don’t think so. Turkey needs more investment and integration with the world. In my opinion, reciprocity can either be considered in a broader definition or should be extended with some exceptions in the name of national benefits.

If the concern is national security, in my humble opinion, the biggest threat for a country in this globalizing world is that it not be able to steer in the right direction with the rest of the world.

I would say that the government should immediately begin work on a strategic investment plan that would attract more foreign investment to the country. Globalism is a big wave crossing the world from one end to the other every day, and its effects are unavoidable. Thanks to Education Minister Hüseyin Çelik’s talent at public address, I no longer have difficulty finding examples for my articles. In one of his recent speeches, he mentioned the strength and speed of globalism. Sometimes it is a good idea to use local examples to make an alien concept clearly understandable. Minister Çelik came up with a good example to show the impossibility of taking a stand against an idea or concept. “Imagine that you are in Urfa. The temperature is 50 degrees [Celsius]. The asphalt has almost melted and you are suffering terribly from the sun and heat. Would it help to cry, ‘No it is not hot here’? Or imagine that you are in Erzurum and the temperature is -30 degrees. You are yelling, ‘No, it is not freezing cold; it is warm here!’ Would this help you not freeze? If you think so, go ahead and shout against globalism then!”


NOTE: Berk Çektir is a licensed attorney at law and available to answer questions on the legal aspects of living in Turkey. Send enquiries to b.cektir@todayszaman.com. The names of the readers are disclosed only upon written approval of the sender.

DISCLAIMER: The information provided here is intended to give basic legal information. You should get legal assistance from a licensed attorney at law while conducting legal transactions and not just rely on the information in this corner.

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