Philenews

Larnaca: A City for Investment, But Not Necessarily for Living?

Published January 10, 2026, 06:09
Larnaca: A City for Investment, But Not Necessarily for Living?

Larnaca is experiencing significant growth in tourism and the real estate market, with increasing hotel occupancy rates and the addition of new tourist units in the coming years. However, an analysis by Ask Wire CEO, Pavlos Loizou, highlights that this development primarily serves foreign investors seeking investment returns rather than permanent residency. The lack of large private employers and limited office development do not create an attractive ecosystem for talent and do not strengthen the local economy. Boutique hotels improve the city's image, but are insufficient to create a strong tourist hub, as major and high-quality destinations remain in other areas of Cyprus. Larnaca often functions as an 'overflow' from other tourist areas, which is not a strategy for sustainable development. Growth is evident, but the question remains whether the city is evolving into a destination that offers a real life and opportunities, or simply an attractive 'girlfriend' for investments.