Constructions are increasing everywhere except Limassol

According to recent data from the Statistical Office, the number of issued new construction permits significantly increased during the first quarter of 2024. In March 2024 alone, municipal and provincial authorities issued 583 building permits. The value of these permits summed up to €260.1 million, covering an area of 225.7 thousand square meters and enabling the construction of 1,171 residential units.

From January to March 2024, a total of 1,876 building permits were filed, representing a growth of 3.3% over the 1,816 permits issued during the same period last year. The total value of these permits went up by 13.2%, while the total floor area experienced a growth of 12.2%. Quite significantly, the number of scheduled residential units rose by 20.7%.

Compared to the same quarter in 2019, the area of licensed projects increased by an impressive 46.6%. Building permits represent a significant forward-looking indicator for activity in the construction market. While most cities experienced growth in construction permits, Limassol was the exception, showing no increase compared to previous years.

This growth in construction permits highlights a strong outlook for the construction sector. As more building permits are issued, it indicates an increase in future construction activity, which can positively impact various aspects of the economy. The rise in the value and area of these permits also suggests a trend toward larger and possibly more complex construction projects.

The notable increase in the number of planned residential units is particularly significant, showing a strong demand for housing. This increase could lead to more construction activity, providing more housing options and potentially stabilizing housing prices in the long term.

On the other hand, Limassol's declining permit number may point to particular difficulties or regionally specific market circumstances. In order to effectively deal with the construction scene, stakeholders must have a thorough understanding of these local dynamics.

All things considered, the Statistical Office's data emphasises the significance of building permits as a crucial indicator of future construction activity and the overall condition of the economy. The construction sector as a whole, investors, and legislators will all benefit from the ongoing observation of these trends.