The increase in demand for property in Cyprus in recent years has led to a significant increase in rental prices. The most uncontrolled growth was in Limassol. In order to somehow solve the problem, the government finally began to develop a new housing strategy.
The country's authorities and the Cyprus Land Development Corporation (KOAG) are actively promoting an affordable housing scheme for the low-income residents.
The President of Cyprus, Nicos Anastasiades, visited on Monday, March 29 the construction site in Pano Polemidia, where social housing is being erected.
As for now, 15 houses have already been built thanks to a program funded by the Cyprus Land Development Corporation (KOAG). Anastasiades noted that the work is progressing at an excellent pace and expressed hope for further cooperation with KOAG.
'The construction site, which we visited today, is evidence that the state is pursuing a social policy oriented towards the residents of the country. This development area is only a small part of the huge KOAG project, which is very important for the cities of Cyprus, especially for Limassol. We hope that soon the residents of the Agios Ioannis and Agios Nikolaos districts will also have inexpensive housing,' the President of Cyprus noted.
As you may know according to the agreement on affordable housing, signed between the municipality of Limassol and the Cyprus Land Development Organization (KOAG), in January 2021, about 600 housing units should appear in the city.
The Mayor of Limassol said that this is the largest project ever implemented in Cyprus. According to preliminary estimates, its cost may exceed EUR 100 million.
The mayor also stressed that this affordable housing project is historic for the city and the country as a whole.
Thanks to this project, we want to meet the housing needs of low-income families, students and young couples. The entire project is designed based on the principles of sustainable development and environmental planning in order to provide long-term economic, social and environmental benefits, not only for vulnerable segments of the population, but for the entire city, for present and future generations, said Nikolaides.
It is expected that after Pano Polemidia, in early 2022, the Agios Nikolaos area will begin to actively develop with social housing. According to the release, a total of 150 houses will appear there.
Not everyone will be able to get inexpensive square meters. The housing will be intended primarily for the low-income residents of Cyprus. And it will be distributed based on the income of those in need, which should not exceed:
- 22,000 euros per year - per person
- 40,000 euros - income for a family without children
- 44,000 euros - income for a family with one child
- 48,000 euros - income for a family with two children
- 58,000 euros - income for a family with three children
- 64,000 euros - income for a family with four children
- 70,000 euros - income for a family with five children
- 76,000 euros - income for a family with six children.
Residents of Cyprus who meet the criteria of the program will be able to rent or buy 1, 2, 3-room apartments at much lower prices than those currently offered on the Cyprus property market.