Middle Eastern residents second largest in race for Cyprus's citizenship scheme

Dubai, UAE: Middle Eastern residents are becoming increasingly prominent in Cyprus’ citizenship scheme; its accessibility to over 150 countries, favourable tax system and reputation as one of the safest countries in the world has made it a popular destination for GCC residents. Leptos Estates, Cyprus’ leading property developer, has revealed that Middle Eastern residents are now the second-largest consumer of Cyprus’s citizenship scheme, something that has been spurred on by the geopolitical tensions in the region and the rise of dual citizenship as a new status symbol. Only a three-hour flight from Dubai and a short hop from Lebanon, Cyprus has cemented itself as a ‘centre of excellence’ for international business.

High net worth families from the GCC contributed to a 76% increase in demand for European passports last year. Cyprus’ Passport & Permanent Resident Programmes offer Middle Eastern buyers a gateway to Europe; its full strategic location across three continents enabling increased travel freedom, better access to education and healthcare, and the right to do business and settle in an expanded set of countries.

Leptos Estates, Cyprus’ leading property developer, has noticed high net worth Middle Eastern families spending increasing amounts on Cypriot property in recent months, as wealthy purchasers look for ways to become global citizens. In particular, seafront villas and luxury new build apartments in Limassol have been popular, allowing them to appreciate the burgeoning luxury lifestyle offerings of the city. Limassol’s new DP World cruise terminal, the construction of Europe’s largest casino resort, private jet and yachting services, golf courses and new designer retail offerings are facilities and services that many Middle Eastern residents have become accustomed in their native countries.

Here, a property purchase of AED8 million or more will qualify them for a full Cypriot passport and EU citizenship, with the right to live, work, travel, stay and study anywhere in the EU, and free travel to over 155 countries including Canada, Switzerland, and Iceland. Once acquired, the Cypriot passport is valid for life, and covers their spouse, parents and any dependent children up to the age of 28 years.

“Cyprus is an EU country and EU residency and citizenship are seen as hallmarks of credibility, so it’s no surprise the residency programme here has been so popular. In particular, interest from Middle Eastern, Indian and Asian applicants has increased in recent months; these newly wealthy communities are attracted to the island’s flourishing luxury lifestyle offerings and growing economy,” Pantelis Leptos, Deputy President of Leptos Group of Companies.

“More people are looking to become global citizens, and a second passport is a great way of finding the best in healthcare, education, business and lifestyle, whilst being able to travel freely within the EU. Cyprus has an excellent standard of international schools, private hospitals and leisure facilities, and the quality of new build property is increasing each year,” added Pantelis.

For Middle Eastern entrepreneurs, full citizenship is an excellent option as it means they have access to free trade within the EU and opportunity to reach over 500 million EU citizens. The scheme does not require investors to relinquish their current passport, and there is no need to physically reside in Cyprus to qualify.

Citizens then have the right to sell their property after 5 years if they retain one at a value of Dirhams two million, and the current rate of rental returns and capital appreciation will mean investors get their initial investment back in 5 years.

Second option:

The second option for overseas investors is Cyprus’ permanent residency scheme, which can be reached through a property purchase of AED1.2 million. This option takes typically only 60 days, and although this does not allow you to take up employment in Cyprus, it does allow you to open a business. Like the citizenship scheme, this covers the entire family and does allow you to then (under the right circumstances) to apply for a Cypriot passport. Permanent residency holders are also entitled to apply for a Schengen Visa through any Schengen Embassy.

Compared to other leading countries, Cyprus offers a relatively swift and straight forward citizenship process, with applicants becoming passport holders after only 6 months, and there is no need to physically reside in Cyprus before and after approval. The USA for example, requires residency of over 2 years and the process itself can take an additional 2. The UK’s process can take 6 months; however, you need to spend at least 180 days per year in the country to qualify.

On top of this, the country’s tax system continues to entice international purchasers. The corporation tax rate for all companies is just 12.5% and estate duty has been abolished since January 2000. The first AED80,000 of earned annual income is tax-free, whilst foreign pensions above AED14,000 are taxed at 5%, both reasons why more foreigners purchased homes than Cypriots in 2018.

Leptos Estates, Cyprus’ leading property developer, has experts on the ground in over 75 countries, including dedicated citizenship teams in Dubai, Amman and Cairo.  Pantelis Leptos, Deputy President of Leptos Group of Companies, comments; “We often find buyers coming to us directly, because we offer a totally comprehensive range of services, removing the stress for our clients. From land acquisition, design and build, furnishing, property management, landscaping, to legal, financial and residency advice, we ensure our clients are skilfully guided through the process, whatever their requirements. We also help them rent and re-sell.”

-Ends-

Leptos Estates is the Leading Property Developer in Cyprus. Founded in 1960 by Michael G. Leptos, the firm now has an established international network across 75 countries, having completed over 350 projects to date. Leptos Estates also has an extensive land bank in prime locations in Cyprus and Greece for the development of prestigious residential and holiday residences, luxury hotels and resorts. Extensive in-house expertise enables Leptos Estates to offer clients a totally comprehensive service from land purchasing and architectural design through to construction and interior design. The organisation has one of the largest technical departments in Cyprus, with more than 100 civil engineers, architects, interior designers and surveyors. Today Leptos is rightly considered a guarantor of high standards.

Media Contact:
Prem Ramachandran
Managing Director 
White Water Public Relations
GSM:0097150-4537253 
prem@whitewaterpr.com                

© Press Release 2019