Building activity in Cyprus recorded a significant increase during the first two months of 2026, reflecting strong momentum in the property and construction sectors. The total floor area of licensed developments rose by 54.9% year-on-year, while the value of approved projects increased by 56.5%, highlighting growing investor confidence and sustained demand for new developments.
The growth was driven primarily by the residential sector, where licensed development area surged by nearly 80% compared to the same period in 2025. A total of 1,500 building permits were issued between January and February 2026, representing an increase of 48.8%, while the number of planned residential units reached 3,463, up 79.2% year-on-year. Apartment developments accounted for the largest share of this increase, reflecting the continued demand for urban housing across the island.
Regionally, Larnaca recorded the strongest growth in licensed development activity, followed by Paphos and Nicosia, while Limassol maintained positive growth. The latest figures indicate that Cyprus’ residential property market remains a key driver of economic activity, with a substantial pipeline of new housing units expected to support future supply and investment opportunities across the country.
