AKEL’s general secretary has submitted two bills to Parliament targeting foreign property purchases around Cyprus’s airports, military camps, the buffer zone and coastlines, citing national security concerns.
Stefanos Stefanou told the House Interior Committee that large plots have already been sold east of Larnaca and west of Limassol. He warned that the state needs to address purchases and interest in buying property around critical infrastructure in sensitive areas.
The bills would ban foreigners from acquiring forest or agricultural land adjacent to the buffer zone or near critical infrastructure. Foreign buyers would be limited to one apartment or one house, and the legislation would block foreigners from acquiring property through shell companies.
Stefanou said the goal was not to ban third-country nationals from buying property but to end uncontrolled purchases and protect the country and fertile land. The measures would also require property purchases to meet criteria enabling oversight whilst supporting the construction industry and employment.
Under the proposals, Cabinet approval would no longer be required for foreign individuals buying one apartment or house up to 200 square metres, one shop up to 200 square metres, or one office up to 300 square metres. The same simplified process would apply to foreign-controlled companies acquiring shops or offices within those size limits.
The legislation would expand the definition of “foreign-controlled company” to include any organisation where the beneficial owner under anti-money laundering law is a foreigner. It would repeal existing provisions that present gaps and interpretive ambiguities, including those allowing large land acquisitions by foreigners.
The explanatory memorandum states the measures aim to strengthen legality controls on property acquisition by foreigners, prevent indirect acquisition through companies or assignment contracts, and ensure transparency regarding beneficial owners of legal entities acquiring property in the Republic.
A Law Office representative said no constitutional issues had been identified in the proposals.
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