The first eight months of 2025 saw a drop in the number of building permits issued in Cyprus compared to the same period last year. According to the latest data from the Cyprus Statistical Service, while the total permit count decreased by 4.3% (4,842 permits issued between January and August 2025 versus 5,062 in 2024), the total approved construction area and value continue to grow, pointing towards a trend favoring larger and more valuable projects.
In terms of scale, the total area covered by approved building permits surged by 16.1% year-on-year, reaching nearly 2 million square meters (1,998,548 sqm). Financially, the approved building projects are valued at approximately €2.44 billion, marking an increase of 12.3% compared to the first eight months of 2024.
Breaking down the sectors, residential building areas jumped by 19.6%, non-residential buildings edged up 2.6%, and civil engineering projects surged by a remarkable 46.8%. Correspondingly, the value of residential projects climbed by 16.4% (€1.85 billion), and non-residential developments gained 14.9% (€469.2 million). However, some areas like civil engineering (-30.5%), land subdivision (-23.6%), and road construction (-61.9%) registered declines.
The residential property market reflects strong growth across most categories. Detached houses saw a 24.5% increase in permits, totaling 2,325 units, while semi-detached houses rose 16.4%. Apartment buildings also experienced robust growth of 18.6%. Conversely, permits for mixed-use apartment buildings plummeted by 62.5%, falling sharply to just 195 units.
Data from Stockwatch reveals that Limassol and Nicosia were the main drivers of construction area growth during the period January to August 2025. Limassol’s construction area increased by 40.1% to 712,600 sqm, while Nicosia grew 25.3% to 692,900 sqm. Meanwhile, other districts recorded declines: Paphos (-16.3%), Famagusta (-16.6%), and Larnaca (-3.9%).
Looking at a longer timeframe, the total permitted construction area in Cyprus has risen by nearly 30% since 2019, with Nicosia showing an exceptional five-year increase of 68.2%. In contrast, Paphos stands out as the only district experiencing a contraction (-6.4%).
Since July 2024, processing building permits has shifted from municipalities and district offices to District Local Government Organisations (DLGOs), all managed via the digital Ippodamos platform. This new system, while streamlining procedures, has resulted in some fluctuations in data reporting as technical and organisational adjustments continue.
Although the total number of permits has dipped slightly, the upward trends in construction area and permit value suggest a Cyprus real estate market increasingly focused on larger, higher-value projects. Investors and buyers may find promising opportunities especially in regions like Nicosia and Limassol, with growing developments of houses for sale in Cyprus and apartments catering to varied budgets. Staying informed with the latest building permit data is crucial for making sound real estate decisions in this evolving market environment.
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