Investments expected to pour in are estimated at approximately €1 billion, the transport ministry said with added benefits to the economy set to surpass €120 million per year once the project is fully developed.
Plans comprise developing an area spanning 510,000m², including the port, marina and the space in between.
The consortium which won the tender is Eldeman Holding BV and Alexandrou Corporate Services, comprised of Israeli and Cypriot interests.
They were expected to receive a successful tenderer letter on Monday, the transport ministry announcement added.
The next step is the concession agreement which will be followed by a 12-month transition period by which the investor will take over the project in its entirety.
Port works include the expansion and management of the port, improving current infrastructure including the interior road network, storage space and passenger terminal as well as creating a new terminal for cruise ships and utilising the port for cargo management.
Plans for the marina envision expanding it to handle at least 650 boats. New breakwaters and a new building for a yacht club are part of the plans.
The space in between envisions the maintenance of infrastructure, connection with a road network, developing pavements, green areas, parks, open spaces for events, construction for homes, tourist and office buildings as well as recreation spots, tourist units, as well as an education and medical centre.
Works are set to begin after the transition period, lasting for a period of 15 years.