President Nikos Christodoulides has announced a series of measures to support the construction sector in Cyprus, including the introduction of the ‘Build to Rent’ scheme and streamlining of housing incentive applications. These initiatives aim to enhance economic growth and address housing challenges in the country, positioning Cyprus as an attractive destination for investors and fostering sustainable development.
What initiatives has President Nikos Christodoulides introduced to support the construction sector in Cyprus?
- Launching the ‘Build to Rent’ scheme with urban planning incentives and tax benefits.
- Establishing a special fund to aid government housing policies and market strengthening.
- Streamlining bureaucracy by centralizing housing incentive applications.
- Introducing 22 measures to simplify town planning and building permit procedures.
- Implementing the Ippodamos information system for quicker licensing processes.
- Submitting an urban regeneration bill to promote sustainable land development.
Construction Sector as a Pillar for Economic Growth
In a resolute declaration of support, President Nikos Christodoulides has recently underscored the pivotal role of the construction sector, in coalition with the Cyprus Property Developers Association (LBDA), in fostering a robust economic environment for Cyprus. The construction industry has been recognized as a key player in attracting investments and nurturing entrepreneurial spirit, therefore positioning Cyprus as a prime destination for investors.
During a celebratory dinner commemorating the 40th anniversary of the LBDA, President Christodoulides highlighted the government’s commitment to bolstering the sector. The upcoming convergence of industry representatives and ministers at the Presidential Palace is poised to further delineate governmental support for this vital industry segment. This meeting promises to be a cornerstone for future strategic planning and support.
Government Initiatives to Tackle Housing Challenges
Addressing the housing crisis remains a major agenda for President Christodoulides’ administration. The innovative ‘Build to Rent’ scheme is one such initiative which creatively merges urban planning incentives with tax benefits. This program aims to amplify the availability of rental housing units, thereby providing substantial economic incentives to investors in land development.
Furthermore, the establishment of a special fund to fortify the government’s housing policies is underway. This fund is envisioned to provide financial aid and facilitate the acquisition of urban planning incentives, reinforcing the housing market.
Streamlining Bureaucracy and Licensing Procedures
Efforts to combat the long-standing issue of bureaucracy have led to the decision that all applications for special housing incentives will undergo scrutiny by a central planning authority. This approach is aimed at expediting the licensing process for developments, thus easing the housing crunch.
A suite of 22 measures has been introduced for simplifying and modernizing the town planning and building permit procedures. While acknowledging that this is but a significant initial step, President Christodoulides recognizes more legislative changes are on the horizon. These changes are expected to streamline the management of residential development licensing applications, especially for small-scale projects.
Future Directions for Sustainable Development
The President also shed light on the forthcoming reform in local governance and the crucial role of timely licensing in supporting this transformation. With the establishment of new District Self-Government Organisations from July 1, 2024, there is a drive to encourage sustainable growth and development through these regulatory reforms.
In parallel, the government is keen on facilitating the licensing of strategic development projects, as manifested by the recent submissions to the House of Representatives. The Ippodamos information system is yet another innovative tool mentioned by the President that contributes to quicker licensing processes, aligning with the wider government goal of modernizing the state apparatus and creating a business-friendly environment.
The urban regeneration bill, submitted to the House of Representatives in December 2023, is expected to play a significant role in promoting sustainable land development. It aims to counteract the trend of scattered development and bring about vital improvements to the real estate sector, offering palpable benefits to both landowners and businesses.
What initiatives has President Nikos Christodoulides introduced to support the construction sector in Cyprus?
President Nikos Christodoulides has introduced several key initiatives to support the construction sector in Cyprus, including launching the ‘Build to Rent’ scheme with urban planning incentives and tax benefits, establishing a special fund to aid government housing policies, streamlining bureaucracy by centralizing housing incentive applications, introducing measures to simplify town planning and building permit procedures, implementing the Ippodamos information system for quicker licensing processes, and submitting an urban regeneration bill to promote sustainable land development.
How does the construction sector contribute to economic growth in Cyprus?
The construction sector has been identified as a pillar for economic growth in Cyprus. President Christodoulides has emphasized the vital role of the construction industry in attracting investments, nurturing entrepreneurial spirit, and positioning Cyprus as a prime destination for investors. The sector plays a key role in fostering a robust economic environment and has been recognized as a key player in the country’s economic development.
What is the ‘Build to Rent’ scheme and how does it address housing challenges in Cyprus?
The ‘Build to Rent’ scheme introduced by President Christodoulides combines urban planning incentives with tax benefits to increase the availability of rental housing units in Cyprus. This initiative aims to provide economic incentives to investors in land development and address the housing crisis by amplifying the supply of rental housing options. By encouraging the construction of rental units, the scheme seeks to alleviate housing challenges in the country.
How is the government streamlining bureaucracy and licensing procedures in the construction sector?
Efforts to streamline bureaucracy and licensing procedures in the construction sector include centralizing housing incentive applications to expedite the licensing process for developments. A total of 22 measures have been introduced to simplify and modernize town planning and building permit procedures. Additionally, the implementation of the Ippodamos information system aims to facilitate quicker licensing processes, contributing to the government’s goal of modernizing the state apparatus and creating a business-friendly environment.
