On Monday, November 22, Petrolina Bayfront Ltd (PHL) announced the completion of a deal to purchase land plots on the Larnaca – Dhekelia coastal strip owned by ExxonMobil Cyprus Limited.
Three plots (76,254 m2) were transferred to Petrolina Bayfront Ltd together with the oil storage facilities on them. It is expected that in the future, the work on dismantling these facilities, cleaning pipelines and soil will be fully carried out by the PHL group.
The value of the land acquired by Petrolina Bayfront Ltd is estimated at 29 million euros.
According to Petrolina Bayfront Ltd, the above investments will make a significant contribution to its efforts to diversify and work in the field of real estate operation and development.
As for the prospects of the above-mentioned transaction, PHL is aimed at:
- obtaining potential benefits from the growth in the value of real estate in the area in future, after the dismantling and demolition of oil storage facilities, as well as soil restoration
- making a profit from the development and operation of development projects in the area.
As you may know, the demolition of oil tanks in the city has been a long-standing problem that has hindered the development of Larnaca for decades.
The fact is that oil storage facilities occupy a profitable territory. They are located in the coastal area a few minutes drive from the city center, on the road connecting Larnaca with the suburbs.
As expected, after the demolition of the oil tanks, the municipality of Larnaca will deal with the elimination of traces of oil in the soil, which consists of three stages: oxidation, incorporation of organic substances into macromolecules, and decomposition. Each stage will last an average of 4-5 years, depending on climatic conditions and the composition of a particular oil product.
However, already the authorities of Larnaca have declared their desire to build a pier for a sea taxi, a linear park with bicycle paths and even tram tracks on this site. The final decision has not yet been made, but the municipality assures that the territory, in any case, will be improved to attract both locals and tourists there.
Detailed information about all projects in Larnaca can be obtained from the specialists of the DOMreal estate agency by phone +357 24030062, or by person: Gregoriou Afxentiou 7, Larnaca, 6023, Cyprus.