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Limassol Emerges As a Leading Force In Cyprus’ Q3 Real Estate Surge

Cyprus’ real estate landscape showcased its resilient nature in the third quarter of 2025, as evidenced by the latest RICS Cyprus Property Price Index, produced in collaboration with KPMG Cyprus. The report details a robust growth in the residential sector, contrasted with a more cautious performance in commercial assets.

Residential Strength Versus Commercial Caution

According to KPMG Cyprus, modest price gains across multiple property segments underline the market’s stability amid regional and global economic uncertainties. Limassol led the charge, registering substantial gains in both warehouse facilities and apartment developments. Meanwhile, markets in Nicosia, Paphos, and Famagusta experienced moderate growth, primarily in residential properties, while Larnaca remained largely static except for a minor increase in office values.

Insights From Industry Leaders

Christophoros Anayiotos, Board Member and Head of the Real Estate Industry Group at KPMG Cyprus, emphasized that apartments and houses have been the standout performers in terms of year-on-year price appreciation. However, retail properties have struggled to keep pace, reflecting a broader shift toward residential investment. Simon Rubinsohn, Chief Economist at RICS, reinforced this narrative by noting that solid economic fundamentals—marked by steady economic growth, record-high employment, and subdued inflation—continue to underpin the market dynamics. Furthermore, the booming tourism sector, with its record summer arrivals, remains a critical growth driver.

Sector Performance And Future Trends

The Q3 2025 data reveals that warehouses and apartments not only led the quarterly gains but also have historically remained resilient compared to other asset classes. The declining trend in retail property values underscores the importance of strategic asset selection in today’s market. Additionally, holiday properties, particularly apartments, benefited significantly from the robust tourism sector, making them some of the strongest performers in the region.

Conclusion

In conclusion, the Q3 report paints a clear picture: while Cyprus’ residential sector, especially apartments, continues to drive market growth, commercial real estate is witnessing more tempered expansion. These insights offer valuable guidance for investors and real estate professionals navigating a complex economic landscape. For a comprehensive analysis, readers are encouraged to review the full report on the RICS website.

EU Mercosur Agreement Sparks Political Battle Over Cyprus Agriculture

A political battleground emerged in the Parliamentary Agriculture Committee’s latest session, as fierce debates broke out over the controversial trade deal between the European Union and Latin American nations under the Mercosur framework. Lawmakers voiced deep concerns regarding food safety and the prospects for local agriculture, particularly following the high-profile absence of the Minister of Trade.

Minister Absence And Parliamentary Integrity

Committee Chair Giannakis Gabriel expressed strong disapproval over the Minister’s no-show, noting that the extraordinary session was scheduled at midday at the Minister’s own request. “His absence undermines the authority of the parliament,” Mr. Gabriel declared. Given that the Minister is not abroad, it was expected that he would be present to clarify why Cyprus supported an agreement widely criticized as disadvantaging the agricultural sector.

Trade Deal Under Scrutiny

In his address, A.C.E.L General Secretary Stefanos Stefanos described the pact as a “dangerous agreement” imposed under the pressure of multinational conglomerates. He especially critiqued the contrasting sanitary standards whereby, while the EU bans our farmers from using certain pesticides and antibiotics, the Mercosur deal appears to allow imports produced with these very substances. His remarks underscored the possibility of double standards in safety measures and the potential long-term impacts on Cypriot agriculture.

Economic And Safety Concerns

Legislators questioned the basis of government studies that justified backing the agreement, even as Cyprus’ agricultural sustainability is increasingly threatened by water scarcity and soaring production costs. Representatives from various political factions pointed to insufficient controls over import volumes and tariff structures. For example, Christos Orphanidis (DIKO) demanded precise data on imports from Latin America, citing honey as a case in point, and pressed for clear explanations regarding the tariff regime.

Legal And Health Implications

Questions about legal authority were raised by Elias Myriantounos (EDEK), who inquired whether parliament can reject or amend the agreement should economic studies forecast negative outcomes. Environmental advocates, like Haralambos Theopemptou of the Movement of Ecologists, emphasized the need to safeguard traditional products such as halloumi, highlighting concerns over how rigorous food safety controls will be maintained. Meanwhile, Linos Papagiannis (ELAM) cautioned against unfair competition, drawing parallels with challenges posed by lower-standard goods from occupied territories.

Protecting Local Interests

The overarching message from lawmakers was clear: the future of Cyprus’ farming community and the well-being of its citizens should not be sacrificed at the altar of commercial trade. Agricultural organizations have voiced alarm over the importation of goods potentially contaminated with banned substances, the risk of market distortion by low-quality products, and the lack of localized impact studies. They argue that the agreement is biased in favor of select corporate interests, ultimately undermining consumer safety and the livelihood of European farmers.

As this debate continues to unfold, the outcome of these deliberations will be pivotal in determining not only trade policy but also the long-term economic and food security landscape of Cyprus.

Parliamentary Committee Session
Economic Impact Discussion

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