The decisions of the Council of Ministers regarding two major shopping mall projects in eastern Limassol will be submitted to the House of Representatives together with the relevant justifications. This was announced by Cyprus Minister of the Interior Konstantinos Ioannou in response to a request from AKEL MP Marina Nicolaou.
The two projects are located in the municipal areas of Mesa Geitonia and Agios Athanasios. Both applications required exemptions from the provisions of the current Limassol Local Plan and were therefore examined under the urban planning deviation procedure. The Council of Ministers made its decisions on July 16, 2026. Under the current procedure, the decision must be published in the official government gazette within one month and then forwarded to Parliament.
However, it is already known which of the two projects received approval. The Council of Ministers approved Limassol Mall, which is planned for construction in the Agios Athanasios area near the Jumbo store. The second project, The Mall of Limassol, was rejected. As a result, after several years of competition between the two proposals, Limassol will most likely gain another large shopping and entertainment center.
What Will Be Built in Agios Athanasios
The approved Limassol Mall project will be developed by the Papantoniou Group in partnership with a consortium of shareholders from Nicosia Mall. The consortium includes Zorbas Group, PHC Group, Athienitis Group, and VLM Group.
The complex is planned for construction on a vacant plot near the entrance to the Agios Athanasios industrial area. According to local media reports, one of the key factors supporting the project was its location, as a significant portion of the site falls within a commercial zone adjacent to an industrial area. The planned redevelopment of Agios Athanasios Avenue, which is expected to improve traffic conditions around the future mall, also influenced the decision.
According to previously published project documents, the shopping center will include approximately 90 stores, six large kiosks, two restaurants, and two cafés. Additional facilities will include a food court with seven dining establishments and approximately 500 seats, a five-screen cinema, an entertainment area, and around 1,270 parking spaces. The total covered area, including the underground parking facilities, will be approximately 76,392 m², while the leasable area will cover approximately 28,434 m².
Why the Project Has Become Controversial
The main concerns raised by opponents of the development are related to transportation. Eastern Limassol already experiences heavy traffic congestion, and residents and local authorities fear that a new shopping center could significantly worsen the situation. Additional objections have come from local businesses, as many store owners are concerned that a large mall could draw customers away from Limassol's traditional commercial districts.
Transportation became one of the key issues during the project's review. The published environmental documentation included a traffic impact assessment that evaluated the effect of the new commercial development on the surrounding road network. The project received approval through the urban planning deviation procedure rather than under the standard provisions of the existing local plan. This has led to additional criticism from public and political organizations.
What Will Happen to the Environment and the Second Mall Project
The environmental impact of both projects had previously been reviewed by the relevant environmental authorities. Back in May 2024, assessments were issued for the two shopping centers and the associated roundabouts that would provide access to the developments. The review process involved several public bodies, including the Water Development Department, the Limassol-Amathus Sewerage Board, and the Department of Public Works.
At the same time, the Cypriot government continues to revise the local development plans for the country's largest cities. In June 2026, the Ministry of the Interior launched a public consultation process for new local plans covering Nicosia, Limassol, Larnaca, and Paphos.
As for The Mall of Limassol, the project was promoted by Atterbury Europe, a company associated with Mall of Cyprus and Mall of Engomi. It was expected to be built approximately 300 m from the competing development, but the proposal was ultimately rejected.