The Municipality of Larnaca has announced a tender for the sale of two land plots located in the central part of the city. The minimum transaction price is 3.3 million euros excluding VAT. The authorities expect that the sale of the property will help partially finance the construction of a new city hall building, which is planned to be completed by 2028.
The properties in question are two plots located on Ermou Street — one of the central streets of Larnaca, near the Municipal Market. The area is currently used as a parking lot. The total area of the plots is 1,315 m2.
Land plots in the center of Larnaca
The main plot has an area of 1,285 m2. The second plot is significantly smaller — only 30 m2. It serves an auxiliary function and is used as access to the main plot.
According to an assessment by the Cyprus Department of Lands and Surveys conducted in 2021, the value of the main plot is 2.252 million euros. The second plot is valued at 56.4 thousand euros. However, the Municipality of Larnaca has set a higher minimum sale price — 3.33 million plus VAT.
The Mayor of Larnaca Andreas Vyras noted that the municipality has a more recent valuation of the property, according to which its real market price exceeds 3.3 million euros. That is why the starting price in the tender has been set at this level. Ermou Street is considered one of the promising areas of the city. It is located close to the historic center and the tourist zone, as well as the popular Finikoudes promenade. Thanks to this location, the plots may be of great interest to investors, developers, and companies planning the construction of commercial property.
The sale of the plots will help build a new city hall
The main reason for the sale of municipal property is the need to finance the construction of a new Larnaca city hall building. The new administrative center is planned to be built on the site of the former Larnaca hospital, located next to the American Academy educational institution.
According to Vyras, the sale of the plots will provide part of the budget for the future project. The total cost of constructing the new city hall building is estimated at approximately 8.5 million euros, and completion of the works is planned for 2028.
In recent years, the city has been actively upgrading infrastructure and implementing major development projects. The authorities believe that the new modern administrative complex will improve the operation of municipal services and raise the level of services provided to residents.
What will happen to the old city hall building
The municipal authorities have already decided the future of the current city hall building after the completion of the new complex. After municipal services move to the new area, the building is planned to be leased.
The leasing of the property will take place through a competitive procedure. According to the city leadership, this approach will allow the municipality to receive stable income from the property.
The current city hall building is located at the intersection of Athinon Avenue and Nikolaou Laniti Street, right in the Finikoudes area — one of the most prestigious and sought-after zones of Larnaca. Thanks to its location near the sea and tourist infrastructure, the authorities are confident that tenants will show strong interest in this property. As a result, the city will be able to receive significant revenues into the budget.
Deadline for submitting purchase applications
Potential investors can submit their proposals through the government electronic procurement system e-procurement. The deadline for submitting applications is set for Tuesday, May 5, 2026, at 11 a.m.
According to the tender conditions, the winner will be the participant who offers the highest price. At the same time, the participant must provide a bank check or bank guarantee for the amount of the accepted offer in favor of the Municipality of Larnaca.
The minimum price that the city is ready to accept for the property is 3.33 million euros plus VAT. After signing the contract, the buyer must pay the full amount within one month. The transfer of ownership will take place simultaneously with the final settlement.
Who can participate in the tender
Both individuals and companies — from the public and private sectors — may participate in the competition. Consortia combining several individuals or legal entities are also allowed to participate. Participants must be officially registered in Cyprus, in countries of the European Union, or in the European Economic Area. In addition, companies from third countries may participate if their states have signed the international Government Procurement Agreement (GPA) or have relevant cooperation agreements with the European Union or the Republic of Cyprus.
Consortia may submit a joint application provided that they comply with the conditions specified in the tender documentation. At the same time, each individual or legal entity has the right to participate in only one application — either independently or as part of one consortium.
The Larnaca real estate market continues to grow
Interest in property in Larnaca has increased significantly in recent years. The city is actively developing thanks to the modernization of the port and marina, the expansion of the international airport, and the implementation of major tourism projects. All of this increases the investment attractiveness of the region.
Experts note that central land plots in Larnaca are becoming increasingly in demand, especially near tourist areas and business districts. That is why the municipality expects strong investor interest in the sale of the plots on Ermou Street and anticipates competitive bidding in the tender.