Cyprus teeters on property boom brink

Friday, 05, Sep 2008 10:31

Cyprus could be the location for the next global property boom, according to Property International.

This week the two sides of the divided island meet for the first of a series of United Nations sponsored peace talks, aimed at reuniting the islands.

While such talks have taken place before there is a general air of optimism this time, with Demetris Christofias, president of the Republic of Cyprus, and Mehmet Ali Talat, the Turkish leader in the north, in agreement about a shared future.

Following election on a pro-unification ticket there is hope Christofias can secure a breakthrough at the talks, which are taking place in the no-man's land which separates the two halves of the island.

Ever-opportunistic property developers should now be looking at the islands, according to investment specialists Property International.

"Following two hour talks between Cyprus President, Demetris Christofias and Turkish Cypriot leader Mehmet Ali Talat yesterday, the news that they hope to come to an agreement hopefully by the end of this year, is very promising," said Russell Price, director of Property International.

"With steps towards reunification ever closer, this looks set to fuel the country's economy as well as boosting the Cypriot property and tourism market.

"Mehmet Ali Talat said that he was confident in concluding a comprehensive agreement as soon as possible and for this reason I believe that now is definitely the time to invest.

"Buying a property in North Cyprus before unification will be extremely advantageous to property investors."

Cyprus was divided in 1974, following a period of violence between Greek Cypriots and Turkish Cypriots and an attempted Greek Cypriot coup d'état aimed at annexing the island to Greece.

Turkey invaded and occupied one-third of the island and has controlled the territory, against international wishes since.

"Property prices will be given a substantial boost, as tourist levels are set to rise further, and getting to the country will become more accessible by way of direct flights into Ercan Airport in North Cyprus," continued Mr Price.

"The cost of living in Cyprus is significantly lower than in the UK, and both property prices and rental yields are set to soar as further steps towards reunification of the island are made."

Chris O'Toole