2020 Cyprus Country Report

Foriegn Direct Investment
Limassol. Owned and operated by Parklane
Hotels Limited, the property marks Marriott
International’s entry into Cyprus. Another major
international deal in recent years was South
African Atterbury acquiring two of the country’s
flagship Nicosia retail outlets, the Mall of Cyprus
and the Mall of Engomi, for €200 million.
In July 2020, Hyatt Hotels Corporation announced
a management agreement with Anolia
Holdings Limited for the launch of the first Hyatt
hotel in Cyprus. The 300-room luxury resort
Grand Hyatt Limassol is expected to open in
2025. The new beachfront resort will also be a
key element of Zaria Resort, a mixed-use luxury
development, comprised of residential apartments
and private villas totaling more than 80,000
square meters. The announcement of Grand Hyatt
Limassol follows a significant expansion in Hyatt’s
brand footprint in Europe over the last year, and
Cyprus has proven to attract travellers from Hyatt’s
key strategic markets including the UK, Russia,
Greece, Germany and the Middle East.
EXPANDING PROPERTY MARKET
Cyprus continues to be on the top of the list for
investors, holiday-home seekers, expats and retirees,
with the traditionally popular areas of
Paphos and Limassol leading the way. One of
the latest projects is the Sofitel Resort & Spa, a
joint venture between Singapore-headquartered
Oxley Holdings and Planetvision on the Limassol
beachfront. The project will be the first Sofitel
Resort with branded residences in Europe and is
expected to be completed by 2022.
Health and wellness developments are increasingly
popular, and a prime example of
this is the Eden Seniors Resort in Larnaca
which opened its doors in 2018. The project,
developed by the Cypriot-Lebanese joint
venture Eveningfall Investments Ltd, is a wellness
and rehabilitation centre, with spa and
relaxation facilities for the elderly. In 2021,
Paphos is due to see the first dedicated retirement
village in Cyprus – a segment that has
much potential in Cyprus along with rehabilitation
related projects. The €16 million retirement
village, branded Lazaris Mill, will consist of 82
individual apartments, ranging from studios
to larger flats and a small 24-room hotel, and
provide both necessary and bespoke facilities.
Until now, no retirement villages were available
on the island and whilst common in many other
countries, this project is a first for Cyprus.
The high-end residential property segment
accounted for 20% of the total transaction value
of real estate in Cyprus during the first half of
2019, with a keen interest from foreigners. For
the whole of 2019, 66% of properties were acquired
by non-EU buyers.
NEO, Pafilia
FDI LIABILITIES (INVESTMENTS IN CYPRUS) Source: Central Bank of Cyprus
8,511
47,099
23,419
28,909
53,807
19,586
38,828
26,118
7,722
16,216
4,684
21,174
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28 Country Report CYPRUS 2020