Rent Determination Case: Accelerated Process

Turkish Code No. 6098 Art. 343-346 determines the rules to be applied in the renewal of the lease while the lease agreement is ongoing. Rent increases become controversial during periods of inflation.

Annual Increase Limit

• Housing rent: Limited to 12-month CPI average (TBK art. 344).
• For workplace rent: the same rule (TBK article 344).
• Temporary regulations (such as 25% limit for years).
• If the limit is exceeded, no excess portion can be requested.

5 Year Rule (TBK article 345)

If the rental agreement continues for more than 5 years, the parties may request a "new rental fee by judge's decision" during each renewal period. In this case:

• A rent determination lawsuit is filed.
• The judge evaluates the comparable rents.
• Reasonable rent is determined by the expert report.
• The new lease is valid from the contract renewal date.

Time to File a Rent Determination Case

• It must be opened at least 30 days before the renewal date of the contract.
• If opened after the renewal date, it is effective for the next year.
• If the deadline is missed, a single-year inflation increase will be applied.

Expert Witness and Precedent Lease

• Rents of similar real estate in the same area.
• Age, condition, surface area of the property.
• Additional features such as elevator, heating, parking.
• Negotiable opportunity / demand status.

Supreme Court 6th HD and HGK — Established Approach

6. In the rent determination case, HD and HGK seek that the "comparable rent" should be determined by strict comparison, that the expert report should reflect the real market value, and that the features of the real estate (elevator, view, old building) should be evaluated; One-sided prediction is insufficient.

Temporary Regulations — 25% Limit

With various law changes between 2022 and 2024, a 25% limit on residential rent was introduced (temporary). Increases beyond this limit cannot be claimed. Considered together with the 5-year rule:

• It is debatable whether the 25% limit can be exceeded for rents exceeding 5 years.
• The Supreme Court has generally taken the 25% limit of the temporary regulation as basis.
• Even if an excess determination is made through a rent determination case, the 25% limit is valid in practice.

Eviction of Tenant

• The purpose of eviction cannot be pursued through a rent determination lawsuit.
• If the tenant does not pay the newly determined rent, two justified warnings + eviction lawsuit.
• Right to evict without notice for tenants who have completed 10 years (TBK art. 347).

Practical Advice — Lessor