Mountainous Cyprus is undergoing one of its most significant transformations in decades. Investment deals in the region have already exceeded €200 million, while interest from developers and hotel operators continues to grow. Just a few years ago, many of Troodos' historic hotels stood empty and gradually fell into decline. Today, however, the region is emerging as a new hotspot for investors, tourists, and buyers of luxury real estate.
The transformation began in Platres but has quickly spread to other mountain villages, including Kakopetria, Prodromos, and Agros. Property market experts note that Troodos is steadily evolving into a premier destination for eco-tourism, outdoor recreation, and year-round hospitality.
A New Investment Strategy for Mountainous Cyprus
According to representatives of the local authorities and the Troodos mountain communities network, the success of Platres has become a model for other areas. Based on an extensive investment study, a new strategy has been developed to attract investment into several mountain villages, with Kakopetria identified as one of the top priorities.
Although the investment potential assessment and a list of hotels available for acquisition have already been completed, the implementation of several projects has temporarily slowed due to geopolitical instability in the Middle East. Nevertheless, local authorities remain confident that investment activity will accelerate again in the near future.
Investors are showing particular interest in Kakopetria's landmark hotels, including Marris Hotel, Ekali Hotel, Rialto Hotel, and Loukoudi Hotel. Many of these properties have remained closed for several years but are now being considered prime candidates for redevelopment into modern hospitality complexes.
Platres Leads the Region's Revival
Today, Platres is regarded as the flagship example of the revival of mountain tourism in Cyprus. Nearly the entire hospitality infrastructure of the village is undergoing extensive renovation.
A key role is being played by Property Gallery, which has acquired several major hotel properties in the centre of the resort. Its portfolio now exceeds 100 hotel rooms. One of the first renovated properties was Petit Palais Hotel, which reopened in 2021 following a complete refurbishment and has since enjoyed consistently high occupancy rates. Pendeli Hotel reopened after a major renovation in July 2025. The next stage will be the restoration of the historic Splendid Hotel, which is currently awaiting final planning approvals.
Investment has extended beyond hotels. The company has also modernised the Platres Arena sports centre, investing around €300,000 in its redevelopment. Following the renovation, the facility has become a modern sports and leisure complex featuring a football stadium with seating for 1,500 spectators, mini-football pitches, tennis, volleyball, and basketball courts, as well as a gym, sauna, and café. Today, the venue hosts international sports training camps, major cultural events, and international competitions.
Historic Hotels Given a Second Life
Another major contributor to Platres' transformation is Cypriot entrepreneur Costas Cleanthous, who acquired the legendary Forest Park Hotel. The purchase price is reported to have exceeded €10 million. A further €15–20 million will be invested in the complete restoration of the historic property. Once completed, the hotel will preserve its historic character while meeting modern five-star hospitality standards.
The investor has also acquired the Pausilypon Hotel, which has remained closed since a devastating fire in 1980. Plans include restoring the building and adapting it to modern tourism requirements. Several restaurants in central Platres have also been included in the redevelopment programme and are expected to undergo extensive renovation.
Luxury Resorts and New Hospitality Concepts
Cyprus' mountain tourism market is gradually shifting towards the premium segment. This is reflected in several major projects currently underway across the region. Following new management and extensive upgrades, Kallithea Inn Hotel has already reopened. Restoration work also continues on the historic Nea Elvetia Hotel, recognised as part of Cyprus' architectural heritage. Similar redevelopment projects are underway for the Semiramis, Mount Royal, and Minerva hotels, all of which have recently changed ownership.
One of the region's most anticipated developments is the Guru Mountain Hill Resort by DTA Group. Following the necessary planning approvals, construction will begin on an exclusive mountain resort featuring luxury villas and serviced apartments carefully integrated into the natural Troodos landscape. Completion is scheduled for 2027.
Another innovative development is the Tree Hotel in Upper Platres. The concept includes a central hotel building with 58 rooms and more than 50 individual wooden cabins elevated on specially designed supports within the surrounding forest. This eco-friendly accommodation model reflects the latest global trends in sustainable tourism.
The Revival of the Legendary Berengaria and Foreign Investment
One of the most eagerly awaited projects in recent years is the restoration of the famous Berengaria Hotel in Prodromos. For decades, this historic property stood as a symbol of Cyprus' abandoned tourism heritage. Today, the ambitious redevelopment is being carried out by developer bbf in partnership with Thanos Hotels & Resorts. Once completed, the property will reopen as the five-star Berengaria Luxury Boutique Hotel.
Total investment in the project exceeds €35 million. Structural reinforcement works and restoration of the historic roof have already been completed. The redevelopment is regarded as one of the country's most significant architectural heritage preservation projects.
Another notable investment has taken place in Agros, where Hong Kong investor Balram Chainrai acquired an 87.85% stake in the company that owns the historic Rodon Hotel for €7 million. The hotel continues to operate while preparing for future modernisation.
Digitalisation and Sustainable Development in Troodos
Alongside hotel construction and restoration, the region is embracing new technologies and environmentally sustainable solutions. Troodos Hotel has attracted particular attention through its participation in the European PEAK programme, which focuses on the digital and green transformation of the tourism industry. As part of the initiative, the hotel has developed an innovative virtual tour platform featuring immersive 360-degree technology.
The platform allows visitors to plan hiking, cycling, climbing, and winter activity routes before arriving in Cyprus. Such digital solutions are becoming an increasingly important tool for promoting mountain tourism to international travellers. Meanwhile, Jubilee Hotel continues strengthening its position as one of the region's leading destinations for sports academies, school groups, and organised tour programmes.
As coastal cities become increasingly densely developed, more investors and travellers are turning their attention to Cyprus' mountain regions. The cooler climate, unique natural environment, historic architecture, and year-round tourism opportunities make Troodos one of the island's most promising destinations.
These major investments are reshaping the region. The restoration of historic hotels, construction of new resorts, introduction of environmentally friendly technologies, and expansion of sports infrastructure are creating an entirely new image for mountainous Cyprus.
Experts believe that in the coming years Platres, Kakopetria, Prodromos, and Agros will become serious competitors to the island's traditional coastal resorts by offering visitors a distinctive combination of nature, comfort, history, and modern hospitality.