How Should a Construction Project Be Managed from Contractor Selection to Occupancy Approval?

How Should a Construction Project Be Managed from Contractor Selection to Occupancy Approval?

Successfully completing a construction project requires much more than an attractive architectural design or an adequate initial budget. The legal status of the land, zoning rights, project feasibility, contractor qualifications, contractual protections, financing, construction supervision, material quality, work programme and handover conditions must be managed together.

Inadequate checks at the beginning may lead to permit delays, cost overruns, construction contrary to approved plans, loss of floor area, defective work, delayed delivery, failure to obtain occupancy approval or abandonment of the project.

The entire process should therefore be based on written documents, approved plans, measurable progress and regular technical inspections rather than verbal promises.

1. Review the land registry and legal status

Before beginning the project, the following should be reviewed:

Registered owners and ownership shares
Block and parcel numbers
Surface area
Registered property type
Mortgages and liens
Court restrictions
Usufruct and easement rights
Road dedication or expropriation
Existing ownership disputes
Representation and power-of-attorney arrangements

For jointly owned or inherited property, ownership and signing authority should be clarified before binding agreements are executed.

2. Determine zoning and development rights

The development potential of land is not determined only by its total area.

The review should include:

Permitted use
Residential or commercial rights
Floor-area ratio
Building footprint
Height and floor limits
Setback distances
Parking requirements
Common and shelter areas
Road dedication
Parcel consolidation or subdivision
Ground conditions
Fire, accessibility and energy requirements

Türkiye’s Planned Areas Zoning Regulation was amended again on 1 July 2026. The project should therefore be assessed according to the legislation and planning rules in force on the application date.

3. Prepare a preliminary feasibility study

Before requesting contractor proposals, an independent feasibility study should examine:

Total buildable area
Saleable and rentable area
Common areas
Number of independent units
Approximate net areas
Parking capacity
Construction standard
Estimated cost
Permit and design expenses
Financing requirements
Distribution between landowners and contractor
Expected sales and rental values
Project duration
Contingency allowance
Taxes and fees

The project should not depend solely on a feasibility study prepared by the contractor.

4. Verify the contractor’s authorisation

Persons and companies undertaking construction work subject to a building permit are included in Türkiye’s contractor registration and classification system. Contractors are classified according to their economic, financial, professional and technical qualifications and are monitored through an authorisation number.

The following should be verified:

Contractor authorisation number
Current authorisation group
Active status
YAMBİS registration
Trade registry
Company shareholders and representatives
Professional and technical capacity

Authorisation records can be checked through YAMBİS. An active authorisation is necessary but does not by itself guarantee financial strength or successful completion.

5. Investigate the contractor’s experience and financial position

The review should cover:

Completed projects
Current projects
Delayed or abandoned projects
Occupancy approvals obtained
References from previous landowners
Post-completion defect handling
Technical staff
Company capital
Tax and social-security status
Enforcement, insolvency or restructuring records
Supplier and banking relationships
Number of simultaneous projects

Türkiye amended its contractor qualification and work-experience rules during 2026. Any documents presented by the contractor should therefore be checked against the current system.

6. Prepare a detailed construction agreement

The agreement should clearly regulate:

Parties and signing authority
Land registry details
Scope of work
Architectural and engineering plans
Technical specifications
Contract price
Payment and progress schedule
Distribution of independent units
Net and gross floor-area definitions
Permit deadline
Construction commencement
Completion date
Delay penalties
Security and guarantees
Design changes
Additional work
Taxes, fees and insurance
Occupancy approval
Condominium registration
Defective work
Termination
Force majeure
Dispute resolution

Where title shares are transferred to the contractor, transfers should preferably be staged and linked to verified construction progress and adequate security.

The agreement should be reviewed by an independent construction and real estate lawyer. Any mandatory legal form requirements should be followed.

7. Use detailed technical specifications

General wording such as “first-class materials” is not sufficient.

The specification should address:

Structural system
Concrete and reinforcement standards
Thermal, water and sound insulation
Façade and roof systems
Windows and doors
Elevators
Fire safety
Electrical and communication infrastructure
Heating and cooling
Water storage
Generator
Kitchens and bathrooms
Flooring and wall finishes
Parking
Landscaping
Security systems
Accessibility
Energy efficiency

Where a product is unavailable, the method for approving an equivalent product should be defined.

8. Do not begin construction before obtaining the building permit

The building permit is the principal authorisation allowing construction according to the approved plans and applicable zoning rules.

The application may require:

Land registry and zoning documents
Architectural plans
Structural plans
Ground investigation
Electrical and mechanical plans
Fire-safety documentation
Energy requirements
Contractor information
Site manager information
Construction-supervision documentation

The exact document list may vary according to the project and competent authority.

No independent unit should be sold or allocated solely on the basis of an unapproved preliminary plan.

9. Ensure effective site management and record keeping

The site manager is the technical professional responsible for managing and implementing construction work on behalf of the contractor. Under the building-supervision framework, qualified architects and specified engineers may undertake the role.

The site manager should:

Monitor daily work
Check compliance with approved plans
Coordinate workers and subcontractors
Maintain site records
Report design changes
Coordinate with the supervision company
Follow material and workmanship quality
Record construction progress

The Şantiye-M digital site-record system became mandatory on 1 January 2026. It supports digital site diaries, inspections and reporting of site-management activities.

10. Treat construction supervision as a real quality-control process

Law No. 4708 regulates project and construction supervision to support construction in accordance with zoning plans, technical standards and health and safety requirements.

Supervision may include:

Approved design compliance
Foundation and ground work
Reinforcement and concrete
Structural construction
Laboratory testing
Electrical and mechanical installations
Architectural implementation
Progress levels
Identification of unauthorised work

Construction supervision does not remove the contractor’s or site manager’s responsibility to perform the work correctly.

11. Link progress payments to completed work

Payments should be connected to measurable construction stages rather than dates alone.

Possible stages include:

Building permit
Excavation
Foundations
Structural floors
Completion of the structural shell
Roof and façade
Electrical and mechanical systems
Interior work
Common areas
Landscaping
Occupancy approval
Final acceptance

Each progress payment should document the completed work, outstanding defects, deductions, previous payments and retained security.

12. Record all design changes in writing

Any change affecting floor area, unit location, layout, materials, balconies, parking or common areas should be documented.

The change document should identify:

Original and revised plans
Reason for the change
Area and value difference
Additional cost
Effect on completion date
Need for a revised permit
Designer approval
Supervision-company opinion
Consent of affected owners

Unauthorised work may lead to enforcement, penalties, demolition or failure to obtain occupancy approval.

13. Prepare a detailed construction programme

The programme should include target dates for:

Design
Permit application
Excavation
Structural work
Roofing and façade
Electrical and mechanical installations
Interior finishes
Elevators
Common areas
Landscaping
Official inspections
Occupancy approval
Handover

Delay penalties and their calculation method should be clear.

Normal market fluctuations, financing problems or supplier delays should not automatically be treated as force majeure unless specifically and lawfully defined.

14. Manage cost increases transparently

The budget should separately show:

Design and consultancy
Permit expenses
Excavation
Structural work
Finishing work
Electrical and mechanical systems
Elevators
Fire systems
Parking and landscaping
Supervision
Insurance
Taxes and social-security costs
Financing
Marketing
Contingency

The agreement should state which items are included and under what conditions additional payment or price adjustment may be requested.

15. Make occupancy approval a core delivery condition

The occupancy permit confirms that the building has been completed in accordance with its permit and approved plans and may lawfully be used.

Depending on the project, the application may require supervision reports, an Energy Performance Certificate, elevator documentation and other completion records.

Before delivery, the parties should check:

Occupancy permit
Condominium registration
Independent unit registrations
Energy Performance Certificate
Elevator documentation
Fire and common systems
Utility eligibility
Parking and annex rights
Management plan
Building Identity Certificate procedures

A verbal promise that occupancy approval will be obtained later is not an adequate substitute for a clear contractual obligation.

16. Conduct a technical pre-handover inspection

The inspection should cover:

Verified net floor area
Unit number, floor and orientation
Walls and ceilings
Floors
Doors and windows
Water and thermal insulation
Electrical systems
Plumbing and drainage
Heating and cooling
Kitchens and bathrooms
Balconies and terraces
Storage and parking
Elevators and common areas
Fire systems
Landscaping

All defects should be recorded in a signed report with photographs and correction deadlines.

17. Maintain a complete project archive

The archive should include:

Title deed and zoning records
Ground investigation
Architectural and engineering plans
Building permits and revisions
Contractor authorisation
Site-manager records
Supervision documentation
Contracts and specifications
Progress-payment records
Invoices and bank receipts
Laboratory reports
Material certificates
Design changes
Meeting minutes
Photographs and videos
Occupancy approval
Energy and warranty documents
Handover and defect reports

Türkiye’s Building Identity System provides authorised access to technical and general information concerning completed buildings subject to construction supervision. Owners should still retain their own complete archive.

18. Plan for contractor default or project abandonment

Possible protections include:

Bank guarantees
Completion security
Staged title transfers
Retention from progress payments
Shareholder guarantees
Delay penalties
Rights to appoint another contractor
Clear termination conditions
Protection of site materials
Delivery of plans and permit files
Technical assessment of completed work

Where a project remains inactive for a long period, the exposed structure, waterproofing, stored materials and site safety should be independently inspected.

Conclusion

A successful construction process requires more than selecting the lowest-priced contractor. Legal and zoning conditions, project feasibility, contractor qualifications, financial strength, contract terms, technical specifications, permits, supervision, payments and delivery must be evaluated together.

The contractor, site manager, designers, supervision company, owner and competent authority have different responsibilities. The involvement of one party does not eliminate the duties of the others.

A detailed agreement, staged payments, enforceable security, regular inspections, written design changes and delivery linked to occupancy approval substantially reduce the risks of delay, defective work, cost overruns and project abandonment.

Legal Notice: This content is provided for general informational purposes only. Every construction project has different title deed, zoning, contractual, technical and financial circumstances. Project-specific advice should be obtained from a construction and real estate lawyer, architect, engineer, accountant and, where necessary, an authorised valuation company before signing a binding agreement, transferring title shares or making payments. Current official legislation should always be checked on the application date.