Best Project Finance Lawyers in Akdeniz

About Project Finance Law in Akdeniz, Turkey

Project finance is a specialized area of law and finance that focuses on the funding of large infrastructure and industrial projects. In Akdeniz, Turkey, project finance typically involves the development, construction, and operation of projects in sectors such as energy, transportation, water, waste, and real estate. The financing is secured mainly against the future cash flows generated by the project itself, rather than the balance sheets of the project's sponsors. Project finance transactions in Akdeniz are complex and often require coordination between local and international stakeholders, including banks, public institutions, private investors, and contractors.

Why You May Need a Lawyer

Seeking legal advice in project finance is crucial due to the multi-faceted nature of such transactions. Here are some common situations where you may require specialized legal help:

• Drafting and negotiating complex financing agreements for infrastructure or industrial developments
• Understanding and complying with local regulations, permits, and licensing requirements
• Structuring public-private partnerships (PPP) with government entities in Akdeniz
• Conducting due diligence on land rights, environmental compliance, and project feasibility
• Managing relationships between sponsors, contractors, lenders, and regulatory authorities
• Handling disputes arising from project delays, defaults, or contractual issues
• Advising on risk allocation and mitigation strategies suitable to Turkey’s legal framework

Local Laws Overview

In Akdeniz, project finance is governed by a combination of Turkish legislation and regulatory practices. Some key aspects include:

• Turkish Commercial Code - Sets the framework for company formation, corporate governance, and commercial transactions.
• Banking and Finance Laws - Regulate the entry of banks and financial institutions into lending arrangements, including security interests.
• Public-Private Partnership Regulations - Establish legal bases for cooperation between private entities and government bodies in infrastructure projects.
• Environmental Laws - Enforce requirements for environmental impact assessments and compliance for eligible projects.
• Securities and Collateral - Define methods for securing loans, such as mortgages, pledges, and assignments of project revenues.
• Foreign Investment Laws - Offer protections and guarantees for foreign investors, while defining specific procedures for participation in major Turkish infrastructure projects.

Frequently Asked Questions

What is project finance and how does it differ from traditional corporate finance?

Project finance is a method of funding large projects where repayment depends primarily on the project’s cash flow, not the sponsors’ broader assets or credit. Unlike traditional corporate finance, assets and risks are ring-fenced to the project entity.

Which sectors in Akdeniz most commonly use project finance structures?

Energy (especially renewables), transportation (roads, ports), public infrastructure, healthcare facilities, and real estate development commonly use project finance structures in Akdeniz.

Can foreign investors participate in project finance transactions in Akdeniz?

Yes, Turkish law permits foreign investors to participate in project finance deals, subject to registration procedures and compliance with local regulations.

What are the typical stages in a project finance transaction in Turkey?

The typical stages include project identification, feasibility studies, structuring the deal, conducting due diligence, negotiating contracts, financial closing, project implementation, and operation.

What security can lenders take over project assets?

Lenders can secure loans through mortgages over land or assets, pledges over project shares, assignments of project revenue, and charges over receivables and bank accounts.

Are there special tax considerations for project finance structures?

Yes, tax treatment of project income, VAT exemptions, stamp duties, and incentive regimes may apply, depending on the sector and project structure.

What are the main risks faced in project finance transactions?

Typical risks include construction delays, cost overruns, regulatory changes, currency fluctuations, expropriation risks, and force majeure events.

How are public-private partnerships (PPP) regulated in Akdeniz?

PPP projects are governed by sector-specific regulations and general laws on concessions and public procurement, ensuring both transparency and risk sharing between public and private partners.

What happens in case of a dispute between project participants?

Disputes may be resolved through Turkish courts or arbitration, depending on the terms of the project agreements. Many contracts specify international arbitration as the preferred method.

Do I need a local lawyer to close a project finance deal in Akdeniz?

It is highly recommended to work with local counsel who understands Turkish law, regulatory procedures, and industry practices, ensuring successful completion of the transaction.

Additional Resources

If you are seeking more information or support in project finance, consider reaching out to the following:

• Ministry of Treasury and Finance of Turkey - Oversight of large-scale funding and PPP projects
• Energy Market Regulatory Authority (EPDK) - Guidance for energy sector projects
• Investment Office of the Presidency of Turkey - Support for foreign direct investment
• Small and Medium Enterprises Development Organization (KOSGEB) - Information on incentives and project support
• Local chambers of commerce and industry - Networking with experienced project finance professionals
• Legal and financial advisory firms based in the Akdeniz region

Next Steps

If you need legal assistance in project finance for a project in Akdeniz, here’s what you should do:

• Identify your project goals and assess the size and complexity of the planned transaction
• Gather all available project documentation, such as feasibility studies, business plans, and permits
• Research and contact qualified law firms or attorneys with expertise in project finance and knowledge of Akdeniz’s regulatory landscape
• Arrange a consultation to discuss your needs, legal options, and the best strategy for moving forward
• Work closely with your legal and financial advisors throughout every stage to ensure full compliance and risk management

Legal guidance is essential in navigating the intricate legal, regulatory, and financial aspects of project finance in Akdeniz. Investing in competent legal advice can help safeguard your interests and ensure the long-term success of your project.