New student housing plan and affordable homes launch in Cyprus

The government has announced an updated housing policy, introducing a new student accommodation plan and expanding initiatives to support the development of affordable housing.

The student housing plan allows for developments of up to ten rooms per project, with smaller five-room units permitted within 77 square metres of usable space. Projects may be located within one kilometre of registered universities and can be incorporated into existing or new developments. Parking requirements have been adjusted to one space per five rooms.

Financial incentives have been enhanced, including an increase of €5,000 per unit, broader eligibility criteria, and higher electricity allowances for tenants. In certain cases, combined support through housing and energy-related schemes may reach up to €100,000. In addition, the Cyprus Land Development Organisation has been allocated €28 million in funding to accelerate the delivery of new homes for sale and rent, with further units currently in development. Licensing procedures are also being streamlined to help speed up construction timelines.

Applications for the new student accommodation plan and revised housing schemes open on March 2 and will remain available until December 31, 2027.