The Larnaca port and marina project has got the green light from town planning authorities, allowing the concession holders to begin works.
In a press release on Monday, the transport ministry said the project has received the necessary town planning permit.
The ministry hailed the commencement of what it called “the single largest project since the establishment of the Republic.”
The total investment by the concessionaire – Kition Ocean Holdings Ltd, an Israeli-Cypriot consortium awarded the tender in 2020 – will amount to €1.2 billion.
According to the ministry, the project is expected to create some 4,000 jobs, contributing around €120 million to GDP per year.
“The chief aim of the development is to create a modern and functional commercial and passenger port with a new passenger terminal, new administration buildings and new piers.”
It involves creating a minimum of 600 berths for recreational craft, a yacht club, residential and commercial units, office space, hotels, seaside villas and “the first private island in Cyprus,” the press release said.
The initial development phase will see the construction of roads, cycling lanes, pedestrian walkways, parking space and green areas.
Over time, work will begin on the buildings infrastructure which will “soon transform Larnaca into an attractive destination for tourism and investment.”
The entire development will be divided into four phases across 12 years.
Plans for expanding and privatising the Larnaca marina had been plagued by years of delays and failure to find investors.