This document is giving various steps taken by the government of Turkey to solve the housing problem and to increase housing production at the national level, which resulted in the establishment of the Housing Development Administration (TOKİ) in 1990 which is s the single responsible public body within the housing sector in Turkey. TOKI is playing a great role in mitigating housing issues in Turkey. The paper deals with the new prospects in housing development through TOKI’s innovative financial and technical mechanisms.