Larnaca is not only one of the oldest cities in Cyprus, but also a place where history and the future intersect in a unique combination. In recent years, Larnaca has literally been transformed before our eyes into a modern city with an impressive infrastructure that opens up new prospects for living and investing.

The expansion of the port and the improvement of the seafront, the opening of new parks and the renovation of historic sites are all making the coastal town more seductive, attracting tourists and international investors. This tranquil resort town, with its beautiful beaches and mild climate, is now beginning to gain a reputation as one of the most promising destinations for those seeking a profitable and stable property investment.

Larnaca offers attractive options for different types of buyers, from budget apartments for local and international families to luxury beachfront villas for wealthy investors. With each new development, the city continues to raise the bar and the future of Larnaca looks particularly bright for those willing to invest in its new developments.

Larnaca New Construction Market Overview

There are three main segments of the new build market in Larnaca, each of which is attractive to a different type of buyer:

Economy and Business Segments (up to €200,000)

This price range includes functional 1 and 2 bedroom apartments and small houses aimed at those looking for a combination of affordability and quality. They are often located in quiet areas with good transport links, close to local and international schools, shops and sports facilities. These properties appeal to locals, young families and international buyers looking for their own holiday or rental home. They also provide a stable income as the demand for affordable rental accommodation in Larnaca remains high. Again, under the new Cypriot building regulations, new developments are being built to high quality standards, including energy efficiency and earthquake resistance, private parking for each apartment and much more, which is simply not available in the old housing stock.

A fresh selection of affordable properties from Larnaca estate agents was recently published in our blog 'What can I buy for 200,000 euros in Larnaca?'

Let's take a look at some more new developments. Ithaki Residence is a beautiful development in the picturesque village of Kiti, not far from Larnaca. The complex consists of six spacious two-bedroom apartments on two floors, ranging in size from 166m2 to 185m2, with energy efficiency class A. The apartments are priced from 218,000 to 225,000 euros. This is an ideal place for those who want to live in comfort, away from the hustle and bustle of the city, but with all the necessary infrastructure close at hand: school, kindergarten, hospital, supermarket and bank within a few kilometres. The sea is only 2.5 km away and the centre of Larnaca is only 10-13 minutes away by car.

View all properties for sale at Ithaki Residences

Luna Residences is a new modern development in Livadia, Larnaca, just 300 metres from the beach. The development is a collection of stylish 1-2 bedroom luxury apartments ranging from 59m2 to 87m2, designed with an emphasis on comfort and communal areas. The complex includes swimming pools, a spa centre, a fully equipped gym, study areas, roof gardens and meditation rooms. The apartments have kitchens, pressurised water systems, solar water heaters and saunas. Covered parking and a storage room are also included. Prices range from €234,000 to €342,000.

All property options in the Luna Residences project

Middle segment (up to 600 thousand euros)

Another example of the medium segment is Kalamon Eleon - a residential complex in the Livadia area, consisting of 15 modern two- and three-bedroom apartments. The complex is located 1 km from the sea and incorporates innovative technologies such as photovoltaic metering, solar panels and smart home. The spacious, energy-efficient Class A apartments feature designer kitchens, state-of-the-art double-glazed windows and security systems. Prices range from 245 thousand euros to 610 thousand euros.

All available apartments in the Kalamon Eleon project

Elite segment (over 600 thousand euros)

Luxurious villas and apartments with breathtaking views of the Mediterranean Sea, modern buildings with sophisticated design and high energy efficiency - all this is characteristic of elite housing. It is not only the proximity to the sea that is important here, but also the status of the property itself, which has been carefully designed to meet the needs of the most demanding buyers. In prestigious areas of Larnaca, such as Dekelia and Pervolia, you will find complexes with swimming pools, manicured gardens and panoramic terraces that make holidaying and living a real pleasure. Increasingly, these homes are being equipped with smart home systems and developers are offering bespoke interior design solutions to enhance the uniqueness of each property.

Faros Sea Residence is one of the most luxurious coastal developments in Pervolia, where each villa fulfils the dream of living by the sea. The first line location, panoramic views and spacious terraces give a feeling of freedom and tranquillity. The quality of construction is impeccable and only the finest materials have been used. These villas create the atmosphere of a luxury hotel: smart home system, sauna, jacuzzi and gym make life comfortable and private. The gated complex with 24 hour security guarantees peace of mind and safety. Faros Sea Residence is a choice for comfort and style on the shores of the Mediterranean.

All properties for sale in Faros Sea Residence

Larnaca areas for investment

Although relatively close to each other, Larnaca's neighbourhoods differ in atmosphere and infrastructure, allowing buyers to choose exactly what suits their goals and preferences.

City Centre

This is not only a historic area, but also a place of future prospects. The implementation of ambitious waterfront and port improvement projects promises to enhance the attractiveness of the centre. From time to time, new developments appear here, ideal for those who want to live in the heart of Larnaca, close to cultural attractions, restaurants, shops and Finikoudes beach. For investors, this is a rare opportunity to buy a property in an area where prices are steadily rising and new construction is rare.

As an option in the centre, new 3 bedroom apartments in the centre of the Finikoudes area, just 150m from the sea. The apartment is on the 8th floor, has a total surface area of 134 m2 and comprises three bedrooms, two bathrooms, an Italian kitchen with integrated appliances and air conditioning. It has sea and mountain views. The complex has a swimming pool, covered parking and storage room. The price is €1.2 million + VAT.

Livadia and Dekelia

Quiet and modern areas, a little further from the centre, are ideal for those who appreciate comfort but want to be closer to nature. These are new residential areas that are popular with expats and locals alike. Wide streets, good infrastructure, shopping and entertainment centres and a variety of beaches make these areas particularly sought after.

For example, the new Horizon Towers project is a modern gated development in the Livadia area of Larnaca, just 400 metres from the sea. The complex offers 1-3 bedroom apartments ranging in size from 69m2 to 250m2 and is equipped with a smart home system, air conditioning and underfloor heating. There are two swimming pools, restaurants, shops, a spa, children's playground and two gyms, including an outdoor gym. Horizon Towers is ideal for both residential and investment purposes. Prices range from 310.5 thousand euros to 3.265 million euros.

All property options in the Horizon Towers development

Pervolia and Kiti

For those seeking peace and harmony, these areas offer secluded seaside retreats. Pervolia is known for its upscale villas and Kiti for its comfortable homes, catering to premium buyers seeking a combination of luxury and nature. Properties with open sea views are often found here, making them ideal for both residential and high-income rental.

The advantages of buying new developments under construction

Investing in under construction properties in Larnaca offers a number of advantages that should not be overlooked:

Savings on price. The cost of an apartment or house under construction can be significantly lower than the price of a finished property. Off-plan properties in Cyprus can increase in price by up to 30% and in some cases even more, making such purchases particularly attractive to investors.
Customisation. Buying a property under construction allows buyers to choose the layout, materials and design, creating a unique space that fully meets their needs. Luxury projects offer the opportunity to participate in the design of the interior, making the home truly exclusive.
Investment Potential. The rapid growth of Larnaca and its infrastructure means that property values will continue to rise. This factor is particularly attractive to those looking for a long term investment.
Flexible payment terms. Many developers offer attractive instalment plans, making the purchase process more flexible and affordable. This allows investors to plan their finances and still get favourable terms.

Irina Eroshenko, head of DOM Agency's Larnaca office, notes: Investing in new buildings in Larnaca is a great opportunity for buyers who want to invest in an asset that promises value growth and stable income in the future.

Tax incentives. Cyprus is also attractive for its tax incentives. When buying a property for your own use, VAT can be reduced from 19% to 5% if the property meets the parameters of the scheme. This makes buying a new home for yourself even more affordable and economical.

Types of buyers and their choice of property

Today, Larnaca attracts buyers of different categories, each with their own goals and needs:

Investors choose liquid properties in areas with developed infrastructure. They look for promising areas, such as the centre of Larnaca, where infrastructure projects promise price increases and properties can provide stable rental or resale income.
Families and young couples prefer quiet and well-equipped neighbourhoods that combine affordable housing with comfortable infrastructure. Livadia and Kiti offer modern residential complexes with green spaces, parks and schools, making them ideal for permanent residence.
Premium buyers value uniqueness and exclusivity. These buyers prefer first line luxury villas and apartments with sea views and modern finishes. Pervolia, Pyla and Dekelia are ideal locations for them, where luxury meets nature and tranquillity.

Permanent residence through investment

Another important argument in favour of investment is the possibility of obtaining a permanent residence permit when buying a property worth 300,000 euros or more. This status applies to the buyer's entire family, including children under the age of 18. The Permanent Residence through Investment scheme makes Cyprus particularly attractive to foreign investors who wish to combine life on the island with freedom of movement and a high level of security.

New construction market outlook and investment advice

Larnaca's new development market offers prospects for those seeking a stable and profitable investment. Infrastructure projects, the growing interest in the resort and the possibility of obtaining permanent residency make Larnaca attractive to various categories of buyers. By choosing a property under construction, the buyer has the opportunity to save money and even significantly increase the value of the property. Investing in new developments in Larnaca promises to be one of the best investments, offering unique living conditions and profitable returns in the future.

Read also:

Source: DOM

Photos: DOM, Pixabay

Interested in property on the island? Check out the number one real estate agency in Cyprus, DOM! The website features the largest database of real estate in the country – over 100,000 residential and commercial properties across the entire island. Choose and consult with professional brokers who will help you make the right choice!

Irina Starinskaia