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Habitat for Humanity International HABITAT FOR HUMANITY INTERNATIONAL FACT FINDING REPORT ON POVERTY AND HOUSING IN TURKEY IAN A. ELLIOTT Report Prepared by Ian A. Elliott for Habitat for Humanity International for the European and Central Asia Office in Bratislava June 2010. 1 INTRODUCTION This report is prepared for the Habitat for Humanity International (HfHI) Office for Europe and Central Asia. The report aims to provide a general overview of housing specific issues in Turkey crosscutting with issues relating to poverty. This document is prepared as desk based research, and is based on compilation and analysis of available data, documentation and reports from governmental, intergovernmental, academic and practitioner sources. Meetings were also held with the authors associates and contacts from various agencies and associations in Turkey which will provide useful building blocks for HfHI should they wish to pursue opportunities for involvement in Turkey. Section I sets the context of the report by providing key national data and institutional mechanisms in Turkey and a geographical section which highlights the risk of earthquakes. Section II begins firstly to explore housing and poverty. Data from the Turkish Statistical Institute represents the core data which highlights trends in poverty and risk of poverty. Household dynamic, employment and education data is presented. Delivery frameworks in addressing poverty together with housing specific resources and low income housing models are briefly outlined. The latter part of this section focuses on migration and in particular Internally Displaced People (IDP‘S) and issues affecting their return. Section III presents the housing sector in Turkey by firstly plotting a historical record of events which have shaped present day environment. In this section and throughout the report the terms illegal settlement, slum tenure and Gecekondu which literally means ‗built overnight‘ are intermingled. Secondly, this section looks at the present day trends. Key regulatory bodies are presented. Section IV looks into the legal framework around housing by firstly presenting departments responsible for the legislation and regulations and therefore decision-making pertaining to human settlement at national, regional, provincial, and settlement levels in Turkey. This section offers a basic take on the legal aspects pertaining to ownership, tax issues and home ownership. Section V presents the financial framework for affordable housing in Turkey by firstly identifying key regulatory bodies‘ acts and legislation. Investment (for projects) and household finance (family access to mortgages etc) are outlined. Micro finance is also explored in terms of regulation of micro finance in Turkey and issues of supply and demand are then presented together with identification of key market players. Section VI highlights key issues pertaining to housing stock characteristics. Housing delivery models are explored in terms of their impact on housing delivery. Here, financial mechanisms (payment plans in the case of The Housing Development Administration of Turkey (TOKI)) are touched upon. Section VII identifies housing actors and potential resources for delivering poverty housing initiatives at macro and micro level. Case studies, potential partnerships and model mix are explored. 2 Section VIII concludes the report and offers additional recommendations for Habitat for Humanity International. This report has been compiled by Ian A. Elliott of Kaleidoscope Gayrimenkul Danismanlik. Whilst every effort has been made to ensure the accuracy of the data and other material contained within this report, Ian A Elliott and Kaleidoscope Gayrimenkul Danismanlik does not accept any liability for any loss or damage suffered as a result of any errors or omissions. 3 I. CONTEXT ......................................................................................................................... 7 a. REPUBLIC OF TURKEY OVERVIEW and POLITICAL STRUCTURE .......... 7 b. URBAN POPULATION .............................................................................................. 8 c. INSTITUTIONAL MECHANISMS ........................................................................... 8 i. National Level ........................................................................................................... 8 ii. Regional Specific ...................................................................................................... 8 iii. City Level .............................................................................................................. 9 iv. Local Level ............................................................................................................ 9 v. Turkey and the EU ................................................................................................. 10 d. ECONOMIC OVERVIEW ....................................................................................... 10 e. THE EMERGENCE OF GLOBAL CRISIS ........................................................... 12 f. GEOGRAPHY ............................................................................................................ 13 g. SUMMARY ................................................................................................................. 17 II. HOUSING AND POVERTY ..................................................................................... 18 a. POVERTY .................................................................................................................. 18 i. Urban and Rural ..................................................................................................... 19 ii. Household size factor .............................................................................................. 19 iii. Household Type ................................................................................................... 19 iv. Employment Type and Status .................................................................................. 20 v. Education and Poverty ............................................................................................ 20 b. DELIVERY FRAMEWORKS AND VEHICLES FOR POVERTY RELEIF IN TURKEY ............................................................................................................................. 21 i. The State Planning Organisation (SPO). ............................................................... 21 c. POVERTY HOUSING DELIVERY MODELS ...................................................... 22 i. Definition of Social Housing .................................................................................. 22 ii. Affordable Housing ................................................................................................. 23 iii. Gecekondu Transformation ................................................................................ 23 iv. Urban Transformation ............................................................................................ 24 v. Co-operative Housing .............................................................................................. 24 vi. Rental Sector ............................................................................................................ 24 d. POVERTY CAUSES – TURKEY SPECIFIC (MIGRATION, ECONOMIC, SOCIAL) MIGRATION .................................................................................................... 24 i. Migration ................................................................................................................. 24 ii. Internal Displacement ............................................................................................. 26 iii. Towards a National Action Plan ......................................................................... 28 e. Challenges of addressing the Kurdish question ..................................................... 29 i. Strategic International Actors ................................................................................. 29 f. SUMMARY ................................................................................................................. 30 III. HOUSING SECTOR IN TURKEY .......................................................................... 31 a. HISTORICAL OVERVIEW OF HOUSING IN TURKEY .................................. 31 b. HOUSING SUPPLY DELIVERY VEHICLES ....................................................... 32 i. Housing Delivery ..................................................................................................... 33 c. PRESENT DAY - TRENDS IN FORMAL AND INFORMAL HOUSING MARKETS .......................................................................................................................... 34 d. SUMMARY ................................................................................................................. 35 IV. LEGAL FRAMEWORK FOR HOUSING .............................................................. 36 a. LEGISLATION AND REGULATION .................................................................... 36 i. National Level .......................................................................................................... 36 ii. Regional Level ......................................................................................................... 37 iii. Provincial Level ................................................................................................... 37 4 iv. Settlement Level ......................................................................................................
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