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The state of property development in Turkey: facts and comparisons

Published online by Cambridge University Press:  09 January 2017

Seda Demiralp ,
Selva Demiralp  and
İnci Gümüş
Seda Demiralp
Affiliation:
Işık University, Department of International Relations, 34980, Şile, İstanbul, seda.demiralp@isikun.edu.tr.
Selva Demiralp
Affiliation:
Koç University, Department of Economics, 34450, Sarıyer, İstanbul, sdemiralp@ku.edu.tr.
İnci Gümüş
Affiliation:
Sabancı University, Faculty of Arts and Social Sciences, 34956, Tuzla, İstanbul, incigumus@sabanciuniv.edu.
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Abstract

In this article, we investigate economic and political developments in Turkey’s construction sector over the last decade and consider their implications. We find that during the first term of the government of the Justice and Development Party (Adalet ve Kalkınma Partisi, AKP), thanks to administrative and economic incentives, both private and public construction rose considerably. Despite the construction sector’s contribution to growth, there is also evidence of a transfer from the industrial sector toward the construction sector, which led to significant decline in the trend growth of the industrial sector in the era prior to 2006. Such evidence disappears in the post-crisis period, when the growth of private construction slows. However, overcentralization, clientelism, an absence of transparency, and limitations on citizen participation in urban planning remain as problems that need to be addressed through urban reform.

Keywords

constructiongrowthindustrializationland rentsurban policy
Type
Articles
Information
New Perspectives on Turkey , Volume 55 , November 2016 , pp. 85 - 106
Copyright
© New Perspectives on Turkey and Cambridge University Press 2017 

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