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Government Accelerates Real Estate Auctions And Expands Housing Initiatives In 2026 Budget

The Ministry of Interiors and Civil Protection has outlined an ambitious strategy for the upcoming 2026 fiscal year. The newly unveiled budget underscores a comprehensive reform agenda, featuring accelerated real estate auction processes, robust housing policies, and enhanced measures to streamline bureaucratic procedures—all designed to improve public trust and operational efficiency.

Accelerated Auction Process

A key element of the reform involves the expedient administration of property auctions. The 2026 budget explicitly calls for the delegation of valuation tasks to private appraisers, a move expected to significantly reduce delays. This adjustment is part of an overall effort to modernize the Ministry, as detailed by the Minister of Interiors in a recent parliamentary presentation available on the official ministerial page.

Robust Housing Initiatives

The budget not only addresses the technicalities of auction procedures but also outlines far-reaching plans to tackle pressing housing challenges. In response to the soaring costs of home ownership and rising rental rates, a total of 1,476 residential units are slated to enter the market over the next two years—with 251 units offered at affordable prices. In addition, incentives are integrated into programs like the Cypriot Land Development Organization’s initiative, which has already attracted €8 million in private investments aimed at creating economically accessible homes for both purchase and lease.

Localized Investments And Procedural Modernization

The reform agenda also dedicates significant funds to local government support and infrastructural improvements. The state grant for local authorities is set at a cumulative €439 million for 2026-2028, ensuring stability and continuity in municipal services. Simultaneously, a new unit is scheduled to be established within the Department of Urban Planning and Housing to oversee compliance and reinforce transparency, fostering greater public confidence in administrative processes.

Additional Measures And Fiscal Efficiency

Further measures include the introduction of streamlined permitting systems, aimed at reducing the bureaucratic burden on citizens by modernizing or eliminating up to 150 obsolete forms and applications. The budget also allocates resources to preserve cultural heritage, support rural rejuvenation projects exceeding €116 million, and fund community infrastructure upgrades worth €16.7 million. Notably, €6.2 million has been earmarked for the upcoming parliamentary elections, affirming the government’s commitment to transparency and civic participation.

Commitment To Accountability And Growth

The 2026 budget amounts to €779.7 million, reflecting an increase from the 2025 approved plan and nearly €130 million above the expenditures recorded in 2024. With a focus on both developmental and recurrent expenses, the Ministry intends to ensure that over 3,500 families can secure long-term housing solutions more swiftly than ever before. Additionally, the strategic use of European funds—totaling €635.6 million for projects during 2021-2027—further underscores the government’s commitment to fiscal responsibility and sustainable growth.

This comprehensive reform agenda marks a pivotal moment in public administration, reflecting both the urgency of modernizing bureaucratic practices and the imperative to provide affordable housing. By leveraging targeted investments and an accelerated operational framework, the government is poised to deliver a more efficient, transparent, and citizen-focused service delivery model.

doValue Cyprus Strengthens Market Leadership With New Astrobank Portfolio

Expanding Market Influence

Loan and real estate management firm doValue Cyprus has significantly reinforced its domestic presence in non-performing loan servicing by acquiring a new portfolio from Astrobank Public Company Limited. This development follows Astrobank’s recent transition, marked by the transfer of key operations to Alpha Bank Cyprus Limited and the subsequent surrender of its banking licence.

Strategic Acquisition And Swift Execution

Finalized on November 3, 2025, the agreement underscores a decisive strategic shift as doValue Cyprus assumes management of Astrobank’s remaining portfolio. The immediate commencement of portfolio management is a testament to the firm’s commitment to delivering specialized, resilient solutions within the non-performing loan market.

Expertise Driving Market Growth

Chief Executive Officer Varnavas Kourounas emphasized that the latest portfolio acquisition not only expands the firm’s operational footprint but also validates its credibility and deep expertise in the competitive Cypriot financial sector. The strategic move is aligned with the broader growth ambitions of the doValue Group.

Broader Market Implications

Operating as part of the international doValue Group—the largest independent loan and real estate management organization in Southern Europe—doValue Cyprus is well-positioned to leverage its newly expanded portfolio. With approximately €136 billion in assets under management, the group maintains a dominant presence across Italy, Greece, Spain, Portugal, and Cyprus. Moreover, its subsidiary, Altamira Real Estate, runs Cyprus’ largest real estate platform, managing extensive property portfolios alongside the island’s most comprehensive sales network.

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