News: Brit investors eye 'the other Cyprus'

Fri, 07 Sep 07

Unprecedented real estate investment potential exists in Northern Cyprus, according to Obelisk International...

Many recent significant political and judicial developments have positively affected the investment and economic climate in North Cyprus, particularly since the build up to the entry of Cyprus into the European Union back in 2004. 

If you’re still in two minds about the potential for significant capital appreciation and sustainable and strong levels of rental yield in North Cyprus, consider that in 2006 the economy in Northern Cyprus grew by an incredible 10.6%, and that this economic strength has largely been fuelled by sustainable growth in both the construction and tourism sectors. 

Naturally this bodes well for an investor interested in the fly-to-let market for example, or those interested in getting in at the project conception stage.

Strong rate of growth

Additionally, since 2003, the rate of economic growth has been averaging 10 to 11% per year. And as international efforts consistently focus on improving the standard of living in North Cyprus, local buying power has improved along with the desirability of Northern Cyprus as a fantastic yet affordable place to live, work, retire and holiday.

The most recent information reported in the country’s weekly English language newspaper is that a £250 million bid by an international consortium for the development and creation of a golf course, marina and multiple hotel resort in the stunning Karpaz region of Cyprus is receiving government scrutiny and support.

This comes at the same time as reports that Turkey is committed to an investment of £275 million into infrastructure based projects over the next few years – all of these developments are having an incredibly positive impact on real estate prices and it makes for an exciting time for property investment commitment.

Additional facts boosting property investor confidence:

  • Between 2001 and 2004 there was a 580% increase in the amount of property purchased and registered by foreign nationals.

  • The value of property sales in 2004 reached a staggering £983 million.

  • Rental yields of around 8-12% are expected ongoing from the tourism sector

  • Median property prices rose by 46% between the first half of 2003.

  • In the first half of 2006, average land values increased by a massive 417%.

Despite these impressive facts, property prices in Northern Cyprus remain low compared to Southern Cyprus, the rest of Europe and even other popular emerging markets, so there are some major returns to be made for the serious property investor.

For more information contact Obelisk International on 0808 160 0670 or visit their website http://www.obeliskinternational.com

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