20-Year Management Contracts in Residential Complexes Are Unlawful, Experts Warn

Long-Term Clauses in Management Plans Are Invalid In many large-scale housing projects across major cities like Istanbul and Ankara, construction firms are attempting to maintain control over site management for 5, 10, or even 20 years through specific clauses added to management plans.
However, legal experts state that such long-term authorizations cannot strip property owners of their right to elect their own management.
The Condominium Law and the Principle of Election Murat Erdoğan, an expert in Condominium Law, emphasizes that the Condominium Law (KMK) is very clear on this matter.
According to the law, a manager must be elected by the board of property owners through a majority of both the number of owners and the share of land.
This regulation is mandatory, meaning that long-term clauses written into management plans cannot override this legal right.
Erdoğan stresses that management must come and go through elections.
He notes that even if contractors have not yet transferred all independent units, they cannot make decades-long contracts that ignore the will of the owners.
Legally, management contracts must be for a reasonable duration and must protect the owners' right to audit.
Misuse of Dues and Auditing Issues One of the greatest risks of long-term management is the non-transparent spending of collected dues.
In some cases, it is alleged that contractors use these funds to finance repairs for construction defects that should have been covered under warranty.
Especially in residences with many investor-owners, the fact that tenants pay the dues often leads to weak demand for financial audits, creating a fertile ground for such abuses.
Rights of Owners and Checklist Experts remind residents that seeking legal remedies is a legitimate right.
Property owners are advised to check the following: Operating projects and budget planning Income and expense statements Service contracts Compliance of management plan clauses with the law The judicial path is always open for the cancellation of unlawful clauses in the management plan.
Ultimately, no clause in a management plan stands above the law.
Ensuring transparency in dues and functioning audit mechanisms is critical for both reducing the economic burden and preventing the loss of property value.