Following the announcement of the government’s new housing initiative, the Ministry of Interior released specific operational guidelines and eligibility details regarding the right to construct an additional residential unit for family members.
The scheme enables homeowners to build a new unit, either as an upper floor, an internal/external extension, or a separate structure on open plot space, to house children or grandchildren, even if the property’s standard building density factor has been fully used.
Key Eligibility Parameters & Explicit Exclusions
| Category | Permitted Scope | Excluded Properties & Cases |
| Geographic Scope | • Applicable nationwide in residential zones permitted by Development Plans. |
• Listed historic buildings. • Special Character Areas (SCAs). • Tourist Zones or areas outside Development Limits. • Environmentally sensitive or protected zones. |
| Property Types | • Fully legal, single-family existing residences with valid planning/building permits. |
• Apartments in existing multi-story residential blocks. • Units part of integrated residential developments. • Any unauthorized or unpermitted existing structures. |
Core Specifications, Deadlines, and Statutory Restrictions
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Sizing Requirements: The maximum buildable area for the new residence is set at 150 square meters. This limit can expand to 180 square meters if the net plot size is at least 1,000 square meters.
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Parking Provisions: Where allocating physical parking spaces is impossible, applicants can buy out the requirement at a fixed price of €2,000 or lower, as established by Ministerial Order.
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Application & Permit Validity:
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Application Window: Open until December 31, 2027.
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Review Authority: Licensing Department head at the relevant Provincial Local Government Organization (EOA).
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Permit Timelines: Building permit applications must be filed within one year of receiving the planning permit. Planning permits carry a maximum 3 year non-extendable validity, unless construction has progressed to an irreversible stage.
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10 Year Transfer Restriction: To prevent commercial exploitation, the title deed will carry a strict 10 year lock on sales or transfers. The sole exception is hereditary succession to the applicant’s children.
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Co-Ownership & Prior Incentives: Co-owned plots can proceed without a co-owner’s signature under Article 90 of the Town and Country Planning Law, subject to the Planning Director’s consent. Homeowners who used past incentive schemes can apply, provided their prior benefits did not include an extra building coefficient allocation.
Source: Stockwatch.com.cy