.
After almost four years of construction, the new Nicosia square (Eleftheria) seems that it is reaching the end and with the delivery date set for early 2019.
The square which will be the largest in Cyprus is set between the walled city and the prestigious shopping area (Makarios Avenue) erected near/over the Medieval walls amongst modern and old structures set in an imaginative architectural design.
We expect that it will do wonders for the future of Nicosia’s central area development provided of course there is a plan of exploitation of this project. Time is running out and we must consider as of now how to use/promote the square.
Without being an expert on such matters, but looking through YouTube, the square could be used for all-day periodical cultural events ranging from exhibitions, to flash mob dancers, orchestra events and so on.
It can become also a meeting place for the visiting tourists that Nicosia has, to visit the various small museums in the immediate area.
These museums range from the Medieval exhibits to the art gallery (Dakis Ioannou) the Nicosia religious gallery etc.
Due to the traffic/accessibility problems we came up with the idea to grant a permit to the now unemployed tourist guides to have electrical operating small motorbike type vehicles which can accommodate 3-4 people with free parking outside the various places to visit and drive around the old city and including the Turkish occupied part with its own attraction.
We envisage that the square will become a focal point joining the old and the new city, it offers underground parking and facilities and it is surrounded by small hotels new and old.
The ex-Holiday Inn recently sold is under renovation, we understand that the City Hotel will follow, whereas older buildings of character are now under offer to sell and convert into apartments to rent (see Airbnb) at a much lower price from the “proper” hotels.
Already a spacious plot/building was recently sold to a Bulgarian group which aims to convert it into a boutique hotel, whereas another two aged buildings/plots have been sold by the Bank of Cyprus for the same purpose.
Central localities of old cities such as Prague, Vienna, Athens are full of life and at all hours with various activities going on. We suggest following their example.
Rents of shops have shown already a very high increase at the Onasagorou and Ledra streets ranging over €30/sq.m./p.m., whereas converted/renovated units with small apartments of 1-2 bedroom have attracted artists and other mainly single or young couples with a rental of around €300-€500 p.m.
A small example of this revival is the small square which abuts onto Phaneromeni school.
Recently we even had an enquiry for the acquisition of a three-storey building of the colonial style accommodating a spacious shop at ground level, plus 6 apartments on the two floors above.
The prospective buyer fell in love with the investment. “What is €500,000”? He asked. “I intend the ground floor to become a trendy bar and the apartments on top (to be converted to 1bed units) to be let each on a monthly/daily basis/or Airbnb.
From this investment I expect to get €15,000 p.a. and from the apartments around €35,000-net in total €50,000 net”.
So, things are changing dear readers and the now abandoned and rundown buildings have a chance to show their historic architecture, as well as bringing life back to the walled city.
Overspill in commercial and residential demand is bound to cross over the Venetian moat and reach Makarios/Stasikratous/Stasandrou streets in an attempt to reach as near as possible their 2,000-year glory (the various infrastructural projects now underway in addition).
So far those who have spare cash and the capability to borrow, this is an area to examine as a real estate investment.
Buy-to-let in such a location show a return of 7%-10% on the total cost, but you must consider in addition to the cost, the time required for renovation and if tenants exist, the compensation required.
We must point out that now is the time for the Municipality to examine how to promote the square and not to wait and see if the project does not pay.
The Paphos old town renovation is an example to be avoided, since now that the project is completed, there is limited demand and only now the Municipality is trying to find ways to promote it.
This is not a job of Governmental departments/ Municipalities and this sort of job should be left to professional firms to undertake.
The value of the Nicosia central area has recently become to be appreciated by foreign investors such as Israelis, Bulgarian and Greek multibillion groups and others.
This is how it goes, and it is a historical awakening by foreign investors first and locals to follow (see Limassol promenade, Larnaca’s hotel developments and others).
We wish the Municipality of Nicosia all the best for this project.
