That really is a strange paragraph. Turing machines only consist of a line of memory cells, a pointer to the current cell, and a CRUD mechanism for the cells.
Sure, but the otherwise excellent OP isn't about that. It's about building higher level concepts out of the lambda calculus. Nothing to do with Turing machines.
Turing machines and lambda calculus are both foundational languages on top of which those higher level concepts can be constructed.
How to translate back and forth from Turing machine to lambda calculus is something I really want to understand actually. I've been meaning to sit down and figure it out but haven't done it yet.