Reasons to choose Larnaca?

Sep 23, 2022 | Cyprus Economy

Whilst the region is rich in the ancient culture of centuries of contrasting civilisations and architecture, Larnaca is also a thriving and modern European city that offers the best of all worlds. A characteristic feature is that tourists find no distinction between resort and town; locals and visitors alike can enjoy the same daily experience of a charming and diverse Mediterranean city. From stretches of varied coastline, a mix of traditional and cosmopolitan establishments and fascinating monuments, Larnaca seamlessly blends its two ‘faces’. 

Let’s first look at the benefits of investing in Larnaca compared to other cities in Cyprus: 

1. Bright Investment Future for Larnaca 

We have noticed that the bigger cities in Cyprus, such as Nicosia, Limassol, and Paphos, have saturated their investment markets over the past years. However, Larnaca has a bright investment future, and its market grows monthly. 

2. Larnaca’s New Marina 

In March 2020, a three-year international public tender procurement reached an agreement with Kition Ocean Holdings, consisting of a Cypriot and an Israeli company, to redevelop Larnaca’s current marina and port. This project is the largest infrastructure project of its kind in Cyprus worth over 1.2bn euro and kickstarts many other opportunities along the way. We are currently  experiencing new real estate projects within the new marina area, and this massive  redevelopment project introduces many investment opportunities for you to invest in Larnaca. 

3. Larnaca bayfront development project 

The removal of the last oil tanks, is completed, while the LPG facilities will be dismantled by the  end of this year. Petrolina Group is also preparing a master plan for large deployments, to  which the largest area in the area of about 400,000 square meters belongs to. As estimated, by  the end of this year, the master plan of the area will be completed, which due to the large area  will play a decisive role in the formation of the new image of the area. Investors will then be  sought in order for projects to move faster. It is noted that the urban zones in the area have  changed, it is now considered tourist and will have high building factors, due to the incentives  given to move the oil facilities. The area allows you to make hotels, towers, schools, hospitals,  etc. It’s all open at this stage. In the area of the Larnaca – Dhekelia road, however, several  public works are planned such as parks, bicycle paths, as well as extension of the pedestrian  path to the coastal front of Finikoudes. The goal of Larnaca’s municipality is to transfer the Universities of the city there.  

4. Lower Costs than Other Cities = Higher ROI to Invest in Larnaca 

By comparing Larnaca to the other cities in Cyprus, it is noticeable that investing is less costly, resulting in a higher return on your investment. The general population in Larnaca is well-educated and trained in local or international universities all around the globe. Hiring a

talented workforce with a well-reasonable wage can boost your production and profitability, which is another reason to invest in Larnaca. 

5. Invest in Larnaca for the Rental Opportunities 

Larnaca is gaining popularity since locals and foreigners are relocating to work, study, and live. The increase in relocations is growing the rental market and opportunities in Larnaca. Besides, Larnaca is a hot destination for tourists. Many investors have turned real estate investment properties into holiday rentals and Airbnbs. There are many investment opportunities for you to purchase or development your real estate properties and rent them in the market to return your investment. 

6. Larnaca is Perfect for Families 

Larnaca is safe and offers so many perks for families living or planning to relocate to the city. The high-quality shopping experience, restaurants, coffee shops, sports centres, etc., are close to everyone around the city. The presence of a unique healthcare system, primary and high schools, universities, etc., makes Larnaca so attractive to families to live. With this family-friendly environment, there will be more relocations, resulting in more investment opportunities for you in Larnaca. 

7. Low Tax Benefits of Cyprus 

The low corporate tax is one of the most appealing reasons why many people invest in Larnaca. The corporate tax rate is 12.5%, making it one of the lowest in the European Union and completely compliant with EU and OECD regulations. The advantages are not limited to the low tax rate. Your investment can also benefit from several tax exemptions such as Dividend income, disposal of shares, bonds, other financial instruments, profits, Foreign exchange gains, and Overseas Permanent Establishments profits. 

8. Attractive Prices & Ambitious Infrastructure Projects 

Developers and real estate experts believe that Larnaca is Cyprus’s most promising and advantageous market. This stems from the stability and appeal of the prices and the influx of infrastructural projects the city is set to witness. The ongoing developments aim to revive Larnaca, investors are flocking to the island to become part of the ambitious real estate developments. 

An insightful survey conducted by the Danos/BNPRE Group reveals that Larnaca attracts investors by offering “better bargains” for property development. Presently, Larnaca has surpassed the property development potential of Limassol, which was once the Center of all real estate activity. Today, Larnaca is making waves in the property development sector with a profitability rate of over 38.9%.

Reset password

Enter your email address and we will send you a link to change your password.

Powered by Estatik