Cyprus construction permits surge 77% year-on-year in January

Cyprus issued 789 construction permits in January, representing a 77 per cent increase compared with the same month last year.

The permits were valued at €445 million, covering a total area of 346,700 square metres. Notably, these projects include plans for 1,755 residential units—double the figure recorded in January of the previous year. The data suggests developers are preparing for a substantial residential pipeline.

Real-estate sales are also gathering momentum. In April, 1,611 transactions were completed, up 15 per cent year-on-year. Foreign buyers remain active, accounting for 649 of the 1,611 transactions—40 per cent of the total market. Paphos led growth with a 41 per cent increase, whilst Larnaca added 21 per cent.

However, challenges persist. Yannis Misirlis, chairman of the Cyprus Developers Association, has warned that infrastructure is failing to keep pace with construction activity. Roads, schools and utilities networks are lagging behind. Additionally, high construction costs and slow licensing procedures are hampering development.

By contrast, construction activity across Europe fell by 1.9 per cent year-on-year in February. Cyprus presents a markedly different picture.

Source: Cyprus Mail Property