The Cypriot construction industry has kicked off the year with an unprecedented wave of activity. According to the latest figures from the Cyprus Statistical Service (CYSTAT), January 2026 saw an explosive rise in building permits, signaling a major expansion in the island’s housing supply and infrastructure development.
Across almost every metric, total area, project value, and the number of planned residential units, the sector reported triple digit growth in several categories compared to the previous year.
Record-Breaking Scale and Value
The sheer volume of licensed projects in January 2026 highlights a significant shift in market momentum. The total area approved for development reached 346,700 square meters, a staggering 82.5% increase over January 2025.
Financial and Structural Highlights:
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Total Project Value: Surged by 92.9%, reaching a valuation of €445.2 million.
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Residential Dominance: The value of residential projects alone skyrocketed by 113.9% to €336.6 million.
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Civil Engineering: This sector saw a massive leap, with project values rising by 301.5% to over €50 million.
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Infrastructure: Road construction and land subdivision permits also saw significant upticks, rising 104% and 213% respectively.
Regional Performance: Paphos and Larnaca Lead the Charge
While Nicosia remains the leader in terms of total volume (114,800 square meters), the most dramatic growth occurred in the coastal districts.
| District | Area Growth (vs. 2025) | Area Growth (vs. 2019) |
| Пафос | +665.7% | +209.4% |
| Ларнака | +352.1% | +436.8% |
| Никосия | +59.1% | +217.5% |
| Лимассол | +7.3% | +151.7% |
| Фамагуста | -4.3% | +90.1% |
Paphos saw its licensed area jump from just 6,000 to over 45,000 square meters in a single year, while Larnaca’s development pipeline has more than quadrupled since 2019.
Focus on High Density Housing
The data confirms a strategic pivot toward multi family housing. The number of planned residential units more than doubled this January, reaching 1,755 units, a 109.4% increase year on year.
Unit Breakdown:
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Apartment Buildings: Saw the most aggressive growth, up 135.9% (1,248 units).
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Mixed-Use Buildings: Increased by 137.5%.
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Single-Family Homes: Nearly doubled, with 329 units approved (+99.4%).
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Non-Residential: In contrast to the housing boom, the area for commercial and non residential buildings fell by 37%.
Long Term Industry Trajectory
The 76.9% increase in the total number of permits issued (789 in total) suggests that the administrative reforms and digital licensing systems may be accelerating approvals. When compared to the pre-pandemic levels of 2019, the nationwide area of licensed projects has expanded by 224%, underscoring a long term growth trend that shows no signs of slowing down.
Source: www.stockwatch.com.cy