Before we get into why to invest in Larnaca in 2021, let’s mention that Larnaca is one of the six cities on the south coast of Cyprus. Larnaca, as the 3rd largest city in Cyprus, has a population of around 60,000 people.
For the past few years, many investors are looking into investing in Larnaca since it growing exceptionally with new opportunities popping up regularly. In this article, we will talk about 12 reasons why to invest in Larnaca in 2021. Here are our picks:
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Let’s first look at the benefits of investing in in Larnaca compared to other cities in Cyprus:
1. Bright Investment Future for Larnaca
We have noticed that the bigger cities in Cyprus, such as Nicosia, Limassol, and Paphos, have saturated their investment markets for the past five years. However, Larnaca has a bright investment future ahead, and its market is growing every month.
2. Larnaca’s New Marina
In March 2020, a three-year international public tender procurement reached an agreement with Kition Ocean Holdings, consisting of a Cypriot and an Israeli company, to redevelop Larnaca’s current marina and port. This project is the largest infrastructure project of its kind in Cyprus and kickstarts many other opportunities along the way.
Currently, we are experiencing new real estate projects happening within the new marina area. This massive redevelopment project introduces so many investment opportunities for you to invest in Larnaca.
3. Metropolis Mall
Within 2020, we have seen the development of a new mall in Larnaca called the Metropolis Mall, a single-level, climate-controlled shopping, and lifestyle center with a gross lettable area of 39,000 m2. The mall will have 138 stores, including a supermarket, cinema, clothing stores, food court, playgrounds, and 1450 parking spaces. The delivery date of the project was set to be on February 2021. However, due to the pandemic, it has been postponed to November 2021.
Similar to the new marina, there are many real estate projects being developed around the mall area. This development is another push for Larnaca’s growth and introduces new opportunities for your investment in Larnaca.
4. Lower Costs than Other Cities = Higher ROI to Invest in Larnaca
By comparing Larnaca to the other cities in Cyprus, it is noticeable that investing is less costly, resulting in a higher return on your investment. The general population in Larnaca is well-educated and trained in local or international universities all around the globe. Hiring this talented workforce with a well-reasonable wage can boost your production and profitability, which is another reason to invest in Larnaca in 2021.
5. Invest in Larnaca for the Rental Opportunities
Larnaca is gaining popularity since locals and foreigners are relocating to Larnaca to work, study, and live. The increase in the relocations is growing the rental market and opportunities in Larnaca.
Besides, Larnaca is a hot destination for tourists. Many investors have turned the real estate investment properties into holiday rentals and Airbnbs. There are many investment opportunities for you to purchase or development your real estate properties and rent them in the market to return your investment.
6. Larnaca’s Airport
Larnaca is also home to Larnaca International Airport, the island’s main airport. It has excellent access to the rest of the world as a result of this. Larnaca is ideal if you intend to invest in real estate in Cyprus, and international travel is essential to you. Having an airport in Larnaca has been a long reason why investors invest in Larnaca.
7. Larnaca is Perfect for Families
Larnaca is safe and offers so many perks for families living or planning to relocate to the city. The high-quality shopping experience, restaurants, coffee shops, sports centers, etc., are close to everyone around the city. The presence of a unique healthcare system, primary and high schools, universities, etc., makes Larnaca so attractive to families to live.
With having this family-friendly environment, there will be more relocations, which will result in more investment opportunities for you in Larnaca.
8. Majority of People in Larnaca Talk English
Southern Cyprus’ official language is Greek, and English is taught in schools. In Larnaca, Cyprus, almost everyone speaks English. Since there are no language barriers, this can be beneficial to your investment in Larnaca.
9. Larnaca Has a Good Tropical Weather
Larnaca, Cyprus, has one of the nicest climates in the Mediterranean. The average annual temperature ranges from 25°C during the day to 15°C at night. Why not invest and enjoy your profits under a warm Mediterranean sun!
There are other reasons which Cyprus can offer to make investing in Larnaca even more attractive:
10. Low Tax Benefits of Cyprus
The low corporate tax is one of the most appealing reasons why many people invest in Larnaca, Cyprus. The corporate tax rate is 12.5%, making it one of the lowest in the European Union and completely compliant with EU and OECD regulations. The advantages are not limited to the low tax rate. Your investment can also benefit from several tax exemptions such as Dividend income, disposal of shares, bonds, other financial instruments, profits, Foreign exchange (FX) gains, and Overseas Permanent Establishments (PEs) profits.
Related: Cyprus Tax System: A Detailed Guide
11. Cyprus is a Member of the EU
Cyprus is a member of the European Union and uses the Euro as its currency. The single market and customs union are also open to the island. Larnaca, Cyprus, as a member of the European Union, has the same status as any other nation on the continent.
12. Standardized Legal System
Cyprus was a British colony until 1960 when it gained independence and became a republic. The English legal system remained unchanged throughout this period of transformation and is still in use today. Since it is well-known and practiced, this formal legal structure can be advantageous to your Investment in Larnaca.
Larnaca can well standout among your locational options start an investment. The benefits mentioned above are not the only ones. The above points are just the highlights of what we believe can make Larnaca, Cyprus, so attractive to make investments in.
Related: Complete Guide on Cyprus Investment