The construction sector of Cyprus continues to demonstrate strong growth. According to the latest data from the Statistical Service, from January to October 2025 there was a noticeable increase in the number of issued building permits, as well as growth in the total area and value of projects. The indicators confirm the revival of the real estate market and developer activity amid stable demand.
The number of permits increased by 9%
In October 2025, 855 building permits were issued, and during the first ten months of 2025 — 6,490 compared to 5,955 in the same months of 2024. The increase amounted to 9%, reflecting strengthened investment activity and the expansion of construction plans across the country.
Project area and value growing at double-digit rates
The total area of projects that received permits in January–October 2025 reached 2,611,972 m2 compared to 1,998,088 m2 in January–October 2024. The increase amounted to 30.7%.
The total value of approved projects reached 3,214.3 million euros (+27.7%) compared to 2,516.5 million euros in 2024.
The main contribution to the increase came from residential construction. The number of permits for residential buildings increased by 19.4%, their area grew by 35.3%, and total value — by 31.5%. In the non-residential real estate segment, the number of permits decreased by 29.1%, however the area of such properties increased by 10.9% and value — by 22.9%. In the engineering and infrastructure projects sector, an increase in the number of permits by 12.7% and area growth by 51.6% was recorded. At the same time, value decreased by 6.3%.
Permits for land subdivision increased by 13.2%, but their value decreased by 13.8%. At the same time, road construction projects showed a decline: the number of permits decreased by 42.4%, and their value — by 39.9%, which may indicate a slowdown in infrastructure programs.
Record for new residential units since 2009
Within the issued permits in 2025, construction of 12,770 residential units is planned. This is 33.1% more than the 9,591 units in the same period of 2024 and the highest January–October figure since 2009.
The number of individual houses reached 3,072, increasing by 30.7% compared to 2,350 a year earlier. The number of duplexes rose to 949 units, which is 34.6% more than the previous figure of 705. Particularly notable growth was recorded in the multi-apartment building segment, where the number reached 8,519, showing an increase of 43% compared to 5,956 in 2024. At the same time, mixed residential complexes decreased by 60.2%, falling to 230 compared to 580 a year earlier.
Leaders by area — Nicosia and Limassol
The largest growth in area was recorded in Nicosia, where the volume of licensed projects reached 870.3 thousand m2, which is 45% higher than the figure of 600.3 thousand m2 in 2024.
In Limassol, the area reached 903.3 thousand m2 (+35.4%), in Larnaca — 483.8 thousand m2 (+31.7%), in Paphos — 232.8 thousand m2 (+6.1%). The only region where negative dynamics were recorded was the free areas of Famagusta — 121.8 thousand m2 (-15.1%).
If compared with 2019, the most significant five-year growth was demonstrated by Larnaca (+79.1%), followed by Nicosia (+66.5%). At the same time, the free areas of Famagusta showed a decline of 5.3%, and Limassol — 4.8%. Finally, Paphos increased by only 1.6%.
Experts note that the revival of the construction industry in 2025 is associated with growing domestic demand, investment in residential real estate, and stabilization of financial conditions. Considering the project volume exceeding 3,214.3 million euros and the record number of new homes, the Cyprus real estate market continues to strengthen its position as one of the key drivers of the country’s economy.