The government will invest €15 mln in incentives for developers to build student accommodation in the old town of Nicosia to address a shortage in the capital, announced Interior Minister Nicos Nouris.
The €15 mln is earmarked for subsidising the construction of student dormitories within the walls of the capital’s old town, with a minimum of 560 rooms. In addition, each successful applicant will be eligible for a €2 mln grant.
The incentive scheme is part of the government’s plans to inject €40 mln into revamping Nicosia’s old town within the walls, with schemes to upgrade residents’ quality of life and attract new businesses.
The remaining €25 mln is for revamping the capital’s historical centre in the Recovery and Sustainability Plan.
While it aims to provide housing options to students at reasonable and controlled costs, the scheme also upgrades the city’s historic centre by attracting students and new investments.
It provides incentives in the form of government grants to property owners or tenants of buildings (with the signed consent of the owners) to renovate their premises or construct new buildings, to create student accommodation.
The scheme is included in the Cyprus Recovery and Sustainability Plan 2021 – 2026 and is funded by the European Union Recovery and Sustainability Mechanism, the main financing tool of the NextGenerationEU plan.
The Department of Urban Planning and Housing will manage and implement the scheme.
The minimum investment (eligible cost) for converting a building into a dormitory and for constructing a new building for use as a dormitory or student rooms is €140,000.
The maximum amount of sponsorship per beneficiary is €2 mln.
A maximum of 75% of the eligible costs for converting an existing building into a dormitory will be covered under the scheme.
When it comes to building new buildings, 50% of the eligible costs will be covered.
The applications must be submitted between May 2 and November 1, 2022.
Applications can only be submitted online at: https://hippodamus.tph.moi.gov.cy/ApplicationSubmission
Applicants must meet specific criteria and conditions to be eligible are detailed in the Sponsorship Plan Guide.
The Guide and its accompanying appendices are posted on www.moi.gov.cy/sxedialefkosia
For more information, call 22409505, 22409819.