The first eight months of 2025 brought a nuanced landscape for building permits in Cyprus. While the total number of permits issued dropped by 4.3% compared to the same period in 2024, the overall approved construction area and permit value told a different story. According to Cyprus Statistical Service, the sector is increasingly gravitating towards larger and more valuable projects.
In August 2025 alone, Cyprus saw 647 building permits granted, culminating in 4,842 permits from January to August. This contrasts with 5,062 permits from the preceding year, indicating fewer individual approvals. However, these permits correspond to an anticipated delivery of 9,275 residential units, marking an impressive 14.6% rise year-on-year — a sign of intensified focus on bigger, more ambitious developments.
The total approved construction area surged 16.1%, reaching nearly 2 million square meters during the first eight months of 2025. Correspondingly, the total value of these permits hit €2.44 billion, up 12.3% from the previous year.
Breaking down by project type, residential construction area expanded by 19.6%, outpacing non-residential buildings which grew 2.6%. Civil engineering projects recorded the most notable upward swing, up 46.8% in area, although their value tells another story with a 30.5% decrease, reflecting shifting priorities and investment flows.
Almost all residential categories experienced growth. Detached houses climbed 24.5% to 2,325 units, while semi-detached houses increased 16.4%. Apartments also saw a robust 18.6% enlargement in approvals, reflecting ongoing demand in this segment.
However, mixed-use apartment buildings sharply declined by 62.5%, with only 195 units approved, possibly signaling re-evaluation by developers of multi-use projects.
An analysis by StockWatch reveals considerable growth in two major districts. Limassol’s approved construction area surged 40.1% to 712,600 sqm, while Nicosia saw a 25.3% increase, tallying 692,900 sqm. In contrast, districts like Paphos, Famagusta, and Larnaca experienced declines in permit area.
Looking back five years, total approved permit areas across Cyprus have increased by 29.9%. Nicosia leads with a dramatic 68.2% growth since 2019, whereas Paphos saw a slight retreat of 6.4%, making it the only district with negative five-year growth.
Since July 2024, permit issuance authority shifted to District Local Government Organisations (DLGOs), transitioning all applications to the digital Ippodamos system. This change has introduced some fluctuations in data reporting, as ongoing technical and organizational tweaks continue to stabilize the process. Stakeholders should consider these factors when analyzing current building permit trends.
The trend towards larger, more valuable residential projects combined with regional growth hotspots like Limassol and Nicosia suggests promising opportunities in quality housing developments, despite fewer permits overall. Whether you’re searching for affordable apartments or eyeing bigger residential investments, keeping an eye on permit data is essential to understand Cyprus’ evolving real estate market dynamics.
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