Due to the risk of earthquakes in Turkey, urban renovation is becoming increasingly important. The demolition of old buildings and their replacement with strong, modern structures is an inevitable process. However, one of the issues property owners are most curious about during this process is how their rights will be protected and how the apartment allocation in the new project will be done fairly. This is exactly where the valuation report, which must be obtained before the building is demolished, comes into play.
What is a Valuation Report?
A valuation report is an official document prepared by expert valuation companies licensed by the Capital Markets Board (CMB). The report details the actual market value of a property.
A valuation report typically examines the following criteria:
- Floor status,
- Façade orientation,
- View and environmental factors,
- Closed area size,
- Title deed and project documents,
- Technical and legal status of the building.
Based on these criteria, an objective determination of your apartment’s current market value is reached. This prevents any loss of rights during the conversion process.
Why Should a Valuation Be Prepared Before Demolition?
After a building is demolished, information such as the floor, facade, orientation, or view of the apartment is irretrievably lost. However, these elements are critical components that directly affect the value of the apartment.
For example:
- Apartments facing south are more valuable due to their light and heat advantages,
- Upper floor apartments are preferred more for reasons such as view and security,
- Apartments with sea or city views always have a higher market value than others.
If valuation is not prepared before demolition, these differences may be overlooked, and property owners may experience significant rights losses.
Advantages of the Valuation Report
1. Fair Apartment Allocation
In the new project, which apartment will be allocated to which owner is determined in a clear and objective manner. This ensures that rights are protected.
2. Bargaining Power
In agreements with the contractor, the valuation report provides the property owner with a strong bargaining position.
3. Legal Assurance
In case of potential disputes or conflicts, the report can be used as an official and valid reference.
4. Transparent Process
It ensures that all owners can follow the process in a fair and transparent manner. This increases confidence in transformation projects.
Obtaining a valuation report before the building is demolished in the urban transformation process is a critical step to avoid loss of rights. Thanks to this report:
- You learn the true value of your property,
- The apartment or rights you will receive in the new project are protected more fairly,
- The process is both transparent and legally guaranteed.
Keep in mind that, “Taking early precautions is the most effective way to prevent future losses.”
