In legal regulations concerning residential and commercial leases, tenants are generally afforded greater protection compared to the lessor. However, in certain exceptional circumstances, the lessor has the right to terminate the lease agreement without waiting for the renewal period. One such circumstance is "eviction due to reconstruction or renovation," regulated under Article 350, Paragraph 2 of the Turkish Code of Obligations ("TCO").

If the leased property must be demolished and rebuilt, or undergo substantial renovation, expansion, or modification, making its use impossible during the process, the lessor may file a lawsuit to evict the tenant. Due to rising rental prices and the increasing focus on earthquake safety, eviction lawsuits and related disputes have become more common. In this article, we will examine the conditions, process, and consequences of eviction due to reconstruction or renovation.

1. Conditions for Filing an Eviction Lawsuit Due to Reconstruction or Renovation

According to TCO Article 350/2, certain conditions must be met for the tenant to be evicted:

• 1.1. Demolition and Reconstruction of the Leased Property

To request eviction, the leased property must be entirely demolished and rebuilt. Mere demolition without rebuilding does not justify eviction.

It is not necessary for the new building to be more aesthetically pleasing or more functional than the previous one. Furthermore, the reconstruction does not need to be based on an essential reason; however, if the eviction lawsuit is filed solely to remove the tenant, it should be dismissed.

• 1.2. Major Renovation, Expansion, or Modification of the Leased Property

Renovation, expansion, or modifications to the leased property must serve an urban planning purpose. Minor repairs, such as painting or roof maintenance, do not qualify as substantial changes.

Structural reinforcements, column replacements, or the installation of an elevator are considered substantial modifications.

According to Court of Cassation precedents, changes related solely to interior design, such as removing partition walls or merging or separating two apartments, do not constitute valid grounds for eviction.

• 1.3. The Property Must Be Unusable During the Construction Work

Under TCO Article 350/2, the requested modifications must render the property unusable during the process. Expert reports are critical in determining whether the property can still be used during the renovations. If the property remains usable, the lawsuit will be dismissed.

In cases of complete reconstruction, however, such an assessment is unnecessary, as demolition inherently renders the property unusable.

• 1.4. Submission of an Applicable Construction Plan to the Court

The lessor must submit an approved construction plan or a preliminary (conceptual) project from the relevant municipality when filing the lawsuit. Obtaining a construction permit is mandatory; however, if the permit cannot be granted until demolition occurs, submitting a preliminary project may be deemed sufficient.

The Court of Cassation has ruled that such a project may be submitted during the lawsuit rather than at the time of filing. Instead of dismissing the lawsuit outright, courts should grant the lessor time to present the necessary documents. Additionally, if a lawsuit is dismissed due to a missing project, the lessor may refile with the proper documentation.

The court must assess, through expert examination, whether the submitted project is legally and technically feasible. For historically protected buildings, additional approvals from relevant authorities are required.

2. Filing and Process of an Eviction Lawsuit

• 2.1. Competent Court

Eviction lawsuits are handled by the Civil Court of Peace. The competent court is the one in the jurisdiction where the leased property is located.

• 2.2. Plaintiff

The right to file the lawsuit generally belongs to the lessor. However, the Court of Cassation has ruled that property owners who are not the lessor may also file such lawsuits.

If a person is the lessor but not the owner, they must obtain special authorization from the owner to initiate the lawsuit. A primary tenant does not have the right to file such a lawsuit against a subtenant.

If the property is jointly owned under joint ownership, all owners must collectively file the lawsuit. In cases of co-ownership, legal opinions differ. However, the dominant view is that unanimity is required for reconstruction, while a majority vote suffices for other modifications. The Court of Cassation has ruled that if one co-owner files the lawsuit, the approval of the other co-owners may be submitted later in the process.

• 2.3. Defendant

The defendant in an eviction lawsuit due to reconstruction or renovation is the tenant. If multiple tenants exist, the lawsuit must be filed against all of them.

• 2.4. Filing Deadline

For fixed-term leases, the lawsuit must be filed within one month after the lease term expires. If the lease is in a renewal period, the one-month period starts from the renewal date.

For indefinite-term leases, notice must be given at least three months before the end of a six-month lease period, and the lawsuit must be filed within one month after the lease period ends. These deadlines are statutory; if missed, the lessor must wait until the next lease period.

3. Consequences of the Eviction Lawsuit and Tenant's Rights

• 3.1. Eviction Ruling and Consequences

Once the eviction ruling becomes final, the lease agreement is terminated. If the tenant continues to occupy the property despite the terminated lease, the lessor may claim compensation ("occupancy fee") instead of rent. However, the lessor cannot demand such compensation before the eviction ruling is final; until then, rent payments continue as usual.

In some cases, temporary eviction may be applied. If the property requires strengthening renovations, the court may order the tenant to vacate temporarily rather than terminating the lease entirely. In such cases, the lease agreement remains in effect, and no new agreement is required upon the tenant's return.

• 3.2. Tenant’s Rights

If the court determines that the lessor has acted in bad faith, the lawsuit may be dismissed. Additionally, the property cannot be leased to another party within three years unless there is a valid reason. This is known as the "re-leasing prohibition." The lessor must notify the former tenant in writing, offering them the opportunity to lease the property again. If the property is rented to a new tenant within three years without following this process, the evicted tenant may file a lawsuit and seek compensation of at least one year’s rent based on the last paid amount.

4. Conlusion

Eviction due to reconstruction or renovation is a legal right granted to the lessor under TCO Article 350/2. However, strict regulations are in place to prevent the abuse of this right. Conditions for eviction have been explicitly defined, compensation obligations have been introduced, and priority leasing rights have been granted to the former tenant.

The timelines, notifications, and means of proof are of utmost importance in such lawsuits. It is crucial for both plaintiffs and defendants to be represented by expert attorneys to ensure their rights are protected throughout the legal process.