Program overview – Cyprus citizenship by investment program was launched in 2002 and it is by far one of the fastest options receiving European citizenship. Program is based on two-stage investment (real estate and secondary investment) and allows obtaining citizenship in only 3 months on average. In 2016 implemented new regulations allow investing 2 500 000 EUR not only through collective scheme but also individually. Extremely short application processing makes Cyprus one of the most attractive and advantageous citizenship programs in EU for those capable investing significant funds.
Total investment 2 500 000 EUR process is split into two stages. Firstly, investor must acquire residential property of at least 500 000 EUR which must be maintained for life to secure citizenship.
Country’s government is flexible towards real estate investment as any location is allowed on the Island. Required investment may be accumulated combining as many properties as desired as well as fractional ownership is allowed. Properties can be acquired also through legal entities and rented for profit.
More about the program
Second investment of 2 000 000 EUR and above may be placed in one or several options:
|deposit in bank|
|government bonds (restricted to 500 000 EUR)|
|real estate (commercial and residential properties qualifies for citizenship)|
|business with at least 5 local workers|
Capital must firstly be transferred in an escrow account which is released after application submission. Secondary investment must be kept for at least 3 years after which can be sold or refunded.
Requirements – Citizenship by investment program has several key requirements. Principal applicant must be at least 18 years old and have clean criminal record. Cypriot government does not require performing any medical and language tests, attending interviews or residing in country for any time.
Family – As part of this program every investor is entitled to include their spouse, children up to age of 28 years old and parents with additional financial commitment. Nevertheless, citizenship is transferred to all future generations by inheritance.
Living, Working, Studying and Traveling – Once citizenship is obtained investors and their families are free to live, work, study without any restrictions in EU and Schengen area. Cypriot citizens as well gain visa-free travels to more that 158 countries such as Canada, Australia, Hong Kong, Singapore and other. However, Cypriot government encourages residency inside Island offering attractive life and business infrastructure. As former British colony, Cyprus has the lowest crime rate in Europe. 80% of Island’s population speaks English (Russian language is widely used as well) and it has an affordable British quality education (2 UK universities have campuses in Cyprus).
Financials and investment
Primary investment – Minimum 500 000 EUR residential property investment is required, which must be held for life, regardless of chosen secondary investment option.
In case of investors parents’ application as dependants, government requires doubling initial real estate investment. Investor’s parents must acquire a separate housing of minimum 500 000 EUR or single family residence might be shared on condition that total value reaches or exceeds 1 000 000 EUR.
Secondary investment – Each main applicant must invest in one or several selected options: bank deposit, government bonds, real estate, business with at least 5 local workers. All funding alternatives requires investment of not less than 2 000 000 EUR in total and possession of minimum 3 years.
Currently, investment in government interest bearing bonds (2,7% a year) is restricted to 500 000 EUR and requires herewith additional placements into remaining investment options that accept unlimited amounts. Investors purchasing single villa or multiple residential properties for at least 2 500 000 EUR are not additionally required investing in secondary options.
Governmental fees of 7 000 and 80 EUR will be applied per adult and minor applicant respectively. Approximately 200 EUR of additional documentation expenses will be requested per person.
Cyprus Real Estate
Q City Center
Q City Center is situated in the very center of Larnaka – quickly developing into bustling coastal town. It provides all the resort city advantages with a quiet countryside only minutes away. Exquisitely designed to the finest detail, Center offers all the modern lifestyle amenities. Complex includes a spacious ground, designed and furnished to provide maximum comfort and aestetic pleasure at a single, double and triple-bedroom appartments or enjoy shopping in the designer boutique stores. Appartment sizes varies from 53 to 139 square meters with a price range of 300 000 – 1 000 000 EUR excluding VAT.
Atlantida Beach Front Apartments offer unique foreshore location with all the facilities and services you expect at the Coralli Shore Habitat luxury properties. Appartments are situated at the Amathounds beachfront road, close to St. Raphaels Marina Yacht Club. Three or four-bedroom appartments include security and concierge services, multipurpose court, 2 communal swimming pools, pool bar and children’s playground. Each appartment as well involves covered parking and store room. Appartment sizes varies from 170 to 230 square meters with a price range of 560 000 – 782 000 EUR including 5 and 19% VAT respectively.
Program Investment costs
*Property must be maintained for all period of citizenship by investment program.
**Secondary investment might be sold after 3-year period
***VAT depends on whether property is commercial (19%) or residential (5% on first 200 sqm)
Taxes – To encourage investment from high net worth foreigners Cypriot government exempts non-domiciled investors from taxation for personal income including dividends and interest. Together with existing income tax exemption this means that non-domiciled individuals will pay zero tax in Cyprus irrespective of whether the income is earned in Cyprus or abroad. There is no inheritance tax as well. Cyprus also offers one of the lowest corporate tax rates in Europe at just 12,5%.
Timescale and Payment Outline
Step 1 (3 – 5 days)
Pre-due diligence allows avoiding possible issues and assure eligibility. It also allows for ineligible applicants to save unnecessary costs, time and eﬀort.
Step 1 requires:
In cases of questionable pre-due diligence outcomes, enhanced background checks may be required, including possible cooperation with the relevant authorities.
Step 2 (1 month)
Collection and preparation of documentation usually takes 1 month which must be translated to Greek or English and certified if applicable. At this step is also recommended to visit Island and meet our lawyers, open bank account, view properties and authorize legal representative with local notarization to act on behalf of applicant. Residential property purchase and secondary investment placement in an escrow account must be completed.
Step 2 requires:
Step 3 (1 day)
In Phase I only main investor and his spouse are entitled to apply for citizenship simultaneously at the Ministry of Interior in person or through a legal representative. At this step application fee of 2 000 EUR per adult applicant is required.
Step 4 (2 – 3 months)
Once submitted documents at the Ministry of Interior, application processing approximately takes 2 – 3 months. Ministry of Finance reviews documents, whereas Ministry of Interior conducts due diligence and issues approval in principal or requests additional documentation.
Step 5 (10 days)
In case of success, approval in principal and Certificate of Naturalization are issued. Trip to Cyprus or Cypriot Embassy/Consulate abroad is required for signing Certificate of Naturalization. ID and Naturalization fees per person will be requested. After taking oath passport and ID will be issued.
Document collection in Cyprus usually is available the same or following day, whereas passport and ID issuance arrangements in certain Embassies/Consulates takes much longer.
Step 6 (1 day)
In Phase II, after investor receives citizenship, adult and minor dependants may apply at the Ministry of Interior. This step requires application fees of 2 000 EUR per adult and 80 EUR per minor applicant.
Step 7 (2 – 3 months)
Once submitted documents at the Ministry of Interior, application processing starts and takes 2 – 3 months. Ministry of Interior conducts due diligence, after which decision to approve or request addition documents will be issued.
Step 8 (10 days)
In case of success approval in principal and Certificate of Naturalization are issued. Trip to Cyprus or Cypriot Emabassy/Consulate abroad is required for signing Certificate of Natuzalization. ID and Naturalization fees per person will be requested. After taking oath passport and ID will be issued.