Larnaca — The Leading Investment Region of Cyprus

Larnaca confidently maintains its status as one of the most dynamically developing cities on the island and is considered the main hub for investments in Cyprus. According to Angelos Hadjicharalambous, head of the Larnaca District Development Agency (ΕΟΑΛ — Επαρχιακός Οργανισμός Αυτοδιοίκησης Λάρνακας), as of August 2025 there are 1,250 investment project applications under review.

This scale reflects the unprecedented interest in the city, which has become a “magnet” for capital and one of the most promising destinations for real estate investment in Cyprus.

“Today, Larnaca is the number one place for investments in Cyprus, both for locals and foreigners,” emphasized Angelos Hadjicharalambous.

Key Investment Zones

Livadia – Oroklini – Pyla

The main investment focus is concentrated on Larnaca’s coastline, where oil storage facilities were previously located. The relocation of the fuel bases has opened up this area for large-scale development and construction in Larnaca.

This zone already accounts for 300 applications, making it a key driver of the city’s future growth.

Planned developments in this area include:

• hotels of various categories;
• tourist and entertainment complexes;
• premium-class apartment buildings and villas;
• office buildings and business centers.

As construction progresses, a significant rise in land and property prices is expected, making investments in this area particularly profitable at the early stage, before mass project implementation begins.

Kiti, Meneou, Dromolaxia

The southwestern coastal part of the city is also highly sought after by investors. Around 200 applications for tourist and residential projects are concentrated here. The interest is clear: it is a coastal area with direct access to the sea, offering opportunities for both resort and residential infrastructure development.

However, as noted by Angelos Hadjicharalambous, despite the active development, the region still lacks essential facilities: modern medical centers, universities, and rehabilitation complexes. Their establishment could radically change the city’s socio-economic profile and increase the number of permanent residents.

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Infrastructure Projects Worth Hundreds of Millions

Larnaca’s investment potential is supported not only by private real estate projects but also by active infrastructure development with the backing of local authorities. Key initiatives include:

• modernization of the road network (€3 million),
• creation and landscaping of “green zones” (€29 million),
• construction of a sewage system in Dromolaxia, Meneou, Kiti, Pervolia, and Tersefanou (€110 million, expected completion by the end of 2026),
• flood prevention projects in the Kamares area (€7 million).

These projects aim to improve urban quality of life and create comfortable conditions for residents and businesses in Larnaca.

Urban Planning Restrictions

Despite the influx of investors, Angelos Hadjicharalambous stresses the importance of preserving Larnaca’s architectural identity. Skyscrapers above 20 floors will only be permitted outside the city center. Thus, the authorities aim to strike a balance: encourage development while safeguarding the historic character of Larnaca.

The Future of Larnaca: Investments, Business, and Comfortable Living

All the above-mentioned initiatives demonstrate that Larnaca is already transforming into a key investment hub in Cyprus. It is becoming a favorable environment for the tourism sector, international business, and for permanent residence of foreign professionals and families who choose real estate in Cyprus not only for holidays but also for long-term living.

The combination of large-scale private investments and multimillion-euro public projects guarantees sustainable development and growth for the city.

Larnaca is becoming a city where comfort of living, investment attractiveness, and strategic location successfully converge.

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