The Livadia area in Larnaca is rapidly becoming one of the most actively developing areas in Cyprus. The main catalyst for this growth was the relocation of the oil storage facilities from the coastline, freeing up a coastal strip approximately 3 km long for development.
While in March 2024 local authorities estimated the potential volume of investment at more than €130 million, the value of projects currently under development in the area already amounts to hundreds of millions of euros. Meanwhile, the future development of the newly available coastline could attract more than €1 billion in investment, according to preliminary estimates.
Modern residential complexes are being actively constructed on former marshland, while Livadia, now a municipal district of Larnaca, is becoming one of the most attractive locations for property developers and buyers.
Major projects and a record number of permits
One of the largest projects will be the Horizon Towers residential complex, which is preparing to receive its final construction permit from the Larnaca District Local Government Organisation (EOA). Construction costs are estimated at €200 million. The complex will comprise six residential towers with 528 apartments.
Several mixed-use projects worth tens of millions of euros are also nearing completion near the former oil refinery. The most expensive projects are financed by investors from Israel. Companies and private investors from Lebanon, Iran and Ukraine are also investing in the area's development. At the same time, Cypriot construction companies are responsible for the largest number of residential projects.
Official EOA figures also confirm the rapid pace of construction:
- 385 planning permits and 454 building permits were issued in 2025;
- a further 178 planning permits and 228 building permits were issued in the first half of 2026.
According to Angelos Hadjicharalambous, head of the Larnaca EOA, Livadia currently has the highest rate of development in the entire Larnaca area. Demand for property continues to grow rapidly, while most new applications concern the construction of apartment buildings. In the future, new residential high-rises may be developed in the area under the existing master plan.
Population growth requires new roads, schools and infrastructure
Despite the rapid pace of construction, the authorities warn that development is beginning to outpace the creation of the necessary infrastructure. Livadia covers just 9 km2, compared with 57 km2 for neighbouring Aradippou, yet Livadia has become the main centre of residential construction in Larnaca.
According to the 2021 population census, 8,581 people lived in the area, but the population is expected to increase significantly in the coming years. The Horizon Towers complex alone will be able to accommodate several thousand new residents.
Livadia Deputy Mayor Marios Armenis noted that apartment buildings are appearing almost daily, both in new neighbourhoods and in the older part of the area. At the same time, he stressed that such rapid growth could change Livadia's historic character — a problem now affecting many cities in Cyprus. Particular concerns include:
- chronic traffic congestion;
- overcrowded schools;
- insufficient transport infrastructure;
- increasing pressure on utility networks.
One particularly pressing issue is the construction of the second phase of Alexandrou Panagouli Avenue. The project has been ready since 2009, but work is not expected to begin before 2028.
Currently, all traffic passes along a secondary road next to three educational institutions — a gymnasium, a lyceum and a kindergarten — attended by more than 1,000 students every day. Parents' committees have already said they are prepared to stage protests during the new school year if the situation does not change. Local authorities are also demanding that the reconstruction of Andrea Mouzaki Street be accelerated, as it currently has no pavements despite heavy vehicle and pedestrian traffic towards the Anorthosis stadium and a large supermarket.
New urban projects are being implemented in the area
Alongside residential development, the modernisation of public spaces is continuing. Makarios Avenue is currently undergoing a €3 million reconstruction. The first phase is due to be completed in early 2027, with the second expected approximately one year later. The authorities have also begun designing the redevelopment of the central square, home to the Basket Weaving Museum, one of the area's cultural attractions. The first phase of a €4 million flood-control channel has been completed, connecting Livadia with the Larnaca–Dhekelia road via a new pedestrian zone. In addition:
- tenders have been announced for improvements to the Agios Savvas roundabout;
- 12 parks have been fully renovated, some of them with new basketball and tennis courts;
- plans are being developed for a new regional primary school and kindergarten for residents of Livadia and Oroklini;
- a regional environmental park is being planned, with the authorities intending to seek funding from European funds.
Experts note that the construction boom in Livadia reflects the broader trend in the Cypriot property market. With the limited supply of land in Limassol, an increasing number of developers and buyers are turning their attention to Larnaca, where large-scale urban modernisation, the development of the port and marina, and the construction of new residential areas are continuing. If the infrastructure projects are completed on schedule, Livadia has every chance of becoming one of the fastest-growing and most sought-after areas in Cyprus in the coming years.