Shops for Sale and Rent in Istanbul for Foreign Investors

Foreigners can buy shops in Istanbul and can rent them to trade from. A shop with a tenant in place is an income investment; a rented shop is a trading location. Either way, check that the title deed records shop use, the building has an occupancy permit (iskan), and the lease and rent history stand up before you pay. Bosphorus Brokers, a licensed Istanbul broker, finds, checks and negotiates retail units for foreign clients as part of our commercial property service.

Should you buy a let shop or rent a shop to trade from?

An investor buying a let shop is buying an income stream, so the tenant's lease, rent and payment record matter as much as the street. A trader renting keeps capital for stock and fit-out, and cares about the lease term, the increase clause and whether the lease can be assigned later. A third route, common in Istanbul, is taking over a trading business with its lease (devren kiralık).

Where are the main shopping streets in Istanbul?

• İstiklal Caddesi, Beyoğlu: a pedestrian street with visitor and local footfall, where ground-floor frontage and exact position matter more than size. See our Beyoğlu neighbourhood guide.
• Bağdat Caddesi, Kadıköy: a long Asian-side avenue with a residential catchment, brand stores and cafes. See our Kadıköy neighbourhood guide.
• Nişantaşı, Şişli: Abdi İpekçi Caddesi and the streets of Teşvikiye, known for fashion and design retail.
• Neighbourhood high streets: everyday shops and services trading on local residents, so check the catchment as well as the street.
• Shopping centres: units are usually leased, not sold, on terms set by the centre management, so they suit traders more than buyers.

What is devren kiralık and what does the key money pay for?

"Devren kiralık" on a listing means the current tenant is offering the business for transfer with its lease. The incoming tenant usually pays key money (devir bedeli, also called hava parası) to the outgoing tenant, not to the landlord. It is separate from rent and deposit, and worth paying only if you know exactly what it buys.

Before any key money is paid, we verify:

• that the landlord agrees in writing to the transfer, and to the rent and term you will hold;
• how long the lease has left and how the rent will rise;
• an itemised list of what is included: fit-out, equipment, stock and the trading name;
• which licences exist, whose name they are in, and what the municipality requires when the operator changes;
• unpaid rent, utility bills, service charges (aidat) or other debts linked to the unit.

A common mistake is paying key money in cash on a handshake, then finding the landlord wants a new lease at a higher rent. Pay only against a written transfer agreement, drafted or reviewed by an independent lawyer, with the landlord's consent attached.

Which lease rules apply to shops in Turkey?

Shop leases are roofed-workplace leases under the Turkish Code of Obligations No. 6098:

• Transfer (Art. 323): assigning a workplace lease needs the landlord's written consent, which cannot be refused without just cause.
• Deposit (Art. 342): capped at three months' rent.
• Rent increases (Art. 344): on renewal, the annual increase may not exceed the 12-month average of the consumer price index (CPI, TÜFE).
• Stopaj (Income Tax Law No. 193, Art. 94): a company or business tenant renting a workplace from an individual withholds 20% income tax from the rent and pays it to the tax office. State in the lease whether the agreed rent is gross or net.

Rental income is taxable in Turkey even for owners living abroad, and individuals declare it in an annual return in March; see our guide to rental income in Istanbul. Rules change, so confirm the position for your lease.

What do we check before you buy or rent a shop?

• Title-deed use: the tapu should record the unit as a shop or workplace, not a residence. A flat converted into a shop can be hard to license.
• Occupancy permit (iskan): with the right zoning, it is needed before the municipality issues a workplace opening and operating licence (işyeri açma ve çalışma ruhsatı).
• Mortgages and annotations: anything on the title deed that limits sale or use.
• Signage rules: the municipality regulates shop signs, and the building management plan may add rules on frontage and awnings.
• Footfall: we visit at different times and days, and assess frontage, visibility, access and deliveries.
• The existing tenant's lease: term, current rent, increase clause, deposit and who pays which costs. We ask the seller for the rent history, ideally bank records, not just the signed lease.
• Running costs: service charges, and annual property tax (Law No. 1319), charged at higher rates on commercial buildings than on homes.

Do you pay VAT when buying a new shop in Istanbul?

New commercial units sold by a VAT-registered seller, such as a developer, generally carry 20% VAT; second-hand shops sold between private individuals generally do not. Non-resident foreign buyers who pay with foreign currency brought into Turkey can qualify for a VAT exemption on the first sale of a workplace (VAT Law No. 3065, Art. 13(i)), subject to conditions, including not selling within a set period. Confirm eligibility with a tax adviser before you reserve, and see our guide to property taxes in Turkey.

Commercial units can also qualify for Turkish citizenship by investment if they are worth at least USD 400,000 by official valuation and kept for at least three years.

How does Bosphorus Brokers help with shops in Istanbul?

1. Brief: investment or trading, budget, street type, and let unit, empty unit or devren business.
2. Shortlist and viewings: in person or online, with asking prices and rents compared with recent sales and lettings nearby.
3. Checks: title deed, iskan, licence position, lease and rent history.
4. Negotiation: price, rent, key money, lease term and costs, all in writing.
5. Completion: for a purchase, we arrange the tax number, bank account, valuation report, translator, notary and land-registry appointment, and accompany you at the title-deed transfer. For a lease, we coordinate the signing and handover.

On a purchase, our fee is 2% plus VAT, payable only on completion at the title-deed transfer. For leases and business transfers, the fee is agreed in writing before we start; see our fees. If you later let the shop, we can market it and screen tenants.

Why do foreign investors trust us with retail property?

• Licensed: authorised by the Republic of Türkiye Ministry of Trade, license no. 3408704, founded in 2022.
• Founder-led: Burak Ünal, our Founder and Principal Broker, holds an MSc in Finance from the London School of Economics and passed the official broker licensing exam in 2021. His specialties include real-estate appraising and retail leasing, the two skills a shop deal depends on: pricing the unit against its rent, and reading the lease behind it.
• Independent, same fee: we represent you, and foreign clients pay the same fee as Turkish clients.
• Your language, remotely if needed: we work in English, Turkish, French, Russian, Chinese and Arabic, with online viewings, digital documents and, where needed, a power of attorney.
• Rated 5.0 on Google.

To discuss a shop, call or WhatsApp +90 533 140 04 96 or email contact@bosphorusbrokers.com.