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We are trying to revive our economy dear readers, yet at the same time everybody is knocking the real estate market as being the only “baddy”, but at the same time real estate is one of the few industries that can help the economy.
Attracting foreign investments in Cyprus is not easy due to the bureaucracy that exists, notwithstanding the very accommodating stand of this Government.
We have our reservations on the latter due to the nepotism that prevails (as well as in the past). We “hear” of Government officials/even the President upon visits to Arab and other countries, are taking with them their relatives and other business connections, so that they have a first chance to benefit (hard to believe).
If this is true it is despicable when someone is trying to survive, certain past “ill doings” should be left behind for the future and not promote our country as being corrupt, notwithstanding that other E.U. countries do it.
Look at Germany with the highest black money laundering in the E.U. and now Luxemburg, the various U.K. islands with their BVIS.
We do not have anything to offer, we are afraid, other than our weather, nature and its people, the low crime rate and Cyprus E.U. membership.
If you take out the gas finds, which we feel we are mishandling (by the politicians) with all sorts of patriotic (on the Greek side) announcements, ignoring that we have our compatriots the Turkish Cypriots who should have a share. So, it is one thing to find the gas and another to take it out.
Grand schemes are announced in real estate terms which come about, with emotional announcements and good impressions for public consumption, but will they come to fruition in the end?
We have, let’s say, a racing horse, the Government but not a very good jockey (civil service). How can we win the race of recovery with such a combination?
- We planned to build a technology park on a beach site (mind you) at Pentacomo village. Are we serious to use beach property worth millions to build industrial and other structures, when we have millions of square metres in the wider area of Larnaca and Nicosia for sale/let? End result the project has failed partly due to the land cost of acquisition (it is now ended).
- Bill Gates was interested to build a research centre, but he got no reply on our part and it went to Malta.
- The Angel, a conference hall (outside Limassol) with a capacity of 4,000 people was turned down as being out of place – can we afford such rejection – yet Limassol insists that the Government should subsidize building a conference hall in the town centre – what an irony.
- We had the Qatar deal and our MPs were competing amongst themselves who could place more obstacles to it being concluded. So, who is the loser in the end?
Nicosia of course, as well as theCyprus - We had the Chinese Tycoon wanting to build an international export orientated mall – We just about labelled the investor as being a crook and we lost a 500,000 sqm project, within the Larnaca airport area, now unused.
- Yes, we tried to build a new Eleftheria Square in Nicosia using an international architectural name. End result, the specs were so high that our local contractors could not perform within a reasonable budget. Who do we think we are, using an international name for architecture, but instead we should use locals (as well), who have their feet firmly on Cyprus ground. We are not what we thought we were as in the past with endless money. The end result, a disaster for the best high street in Nicosia, Makarios Avenue and a square not being built.
- Heavily subsidized, the University of Cyprus is Greek-speaking. If we want to attract foreign students, it should have been English-speaking. Now the north has 100,000 foreign students and the Greek Cypriot side around 20,000. What a mistake.
- We cannot believe that the Aphrodite golf resort cannot acquire beach (Governmental owned) land across the road while having its guests to go to Avdimou – approximately 15 minutes away. Can we not bend the rules dear civil servants to accommodate one of the best real estate development in
Cyprus - What is all this rubbish we read about a gas terminal in
Cyprus - How about our Archbishop’s project (Eden City) of €7 bln – Nearing our national debt of €20 bln., but yet even for this far-fetched project we have problems emanating from the existing law requirements. Can we go forward? We are afraid not, due to the fact that the change of the law must go again through our “know-it-all” MPs.
- We had the crocodile farm proposal, as well as the Dolphins. Initial reaction negative, by the Greens and others, yet such theme parks exist all over the world, but being “too sensitive” we say no, much against our troubled tourist industry.
- What is happening with the old football ground in Nicosia, the ex-international exhibition centre, the bad time that we give to existing foreign business people who live in Cyprus for over 15 years, having to apply annually for a work permit, waiting in queues – what an embarrassment for them.
- Why do we keep the various new Commissioners paid by the Republic by approximately €100,000 p.a. when they themselves report the Government to the E.U.? On this, we must report a commissioner who attended a posh wedding at Aphrodite Hills, a social not a business event. The car was waiting to take them back to Nicosia – all duly paid by the Cypriot tax-payer (car, driver, waiting time etc).
So, in the end, whom do we expect to come and invest in Cyprus other than the Hedge Funds and other opportunistic companies (quite legal mind you).
The problem is not the foreign investors as such but us, who, notwithstanding the fact that we have the parameters to attract foreign investments our actions produce the opposite result.
It is therefore with interest we noted that approximately €6 bln has been invested in real estate by those seeking Cyprus passports and visas.
This is hope for some sort of recovery in real estate, but we must not place too much hope on the Chinese (lower end of the market) but mainly towards the eastern Europeans who now have their own troubles.
