Indifference from everyone

I have noticed a growing indifference both from state officials and professionals in the real estate sector, to the extent that people involved in the industry rarely ever submit a proposal to the government, even if this may be in the form of criticism.

Over the years, I have tried to bring to the fore the weaknesses of the system that lead to a dysfunctioning construction sector. Everyone involved has a key role to play in fixing these problems by highlighting their own problems or experiences.

Over the past 20 years, my associates and I have submitted a great many suggestions and ways that could help improve the industry, some of which were considered and even adopted by government officials, while in other cases, we have been harshly criticised for just speaking aloud by the likes of the technical chamber ETEK, as was the case of their unreasonable suggestions over the Akamas plan.

Allow me to refresh everyone’s mind by re-submitting some points that should be reviewed and adopted urgently by the Interior Ministry:

The problem of the “curse” of the common expenses is due to a law that is hard to implement (discussed extensively in a recent article).

When is a swimming pool considered private and when is it public (the latter requires the mandatory presence of a lifeguard, etc.) as a result of which title deeds are not issued to development projects, making the cost of operation much higher, with the owner eventually abandoning the pool altogether.

The certificate of final approval should be replaced, in an initial stage, by a Safety Certificate to be issued by the supervising architect. This way, the property in question can be occupied regardless if the final approval has been issued, until this is done so. As it is today, all buildings (including government offices), hotels, etc. Are vulnerable to being subject to a demolition order, simply by not having the final approval.

This subject has troubled my associates and me quite a lot as it hinges on major risks that could even jeopardise the entire property sector. If, for example, a smart Alex wants to cause trouble to a hotel, he can report even a 5-star wellestablished hotel and prevent it from operating normally, resulting in an image that they are “illegal establishments” with awful repercussions caused by the cancellations by major tour operators, as if it does not yet have the final approval certificate, the courts will be obliged to issue the demolition order.

The bureaucracy involved in issuing permits and title deeds can lead to suicide. Even after practicing in this sector for 36 years, I am still puzzled by the “speed” and procedures involved. Huge problems are created causing tremendous damage to the economy, and in particular the construction sector. The latest “Doing Business Report” may have ranked Cyprus highly in other areas, but we are last on the list when it comes to issuing title deeds and certificates. I submitted by own suggestions some four years ago on how to reduce the time of issue, that remain unanswered.

What is incomprehensible in the lands policy (if one exists) is that permits are issued in some areas for a 15 or even a 35-storey building, while in other areas (Larnaca, Famagusta), officials are pushing for a reduction of the building coefficient, especially on coastal properties.

The law on protection zones must be revised. This work should be assigned to the private sector so that the coastal line is properly recorded as it is today (using aerial photography, satellite images, etc.), while at the same time there are properties that seem to be even within the sea itself, or as far as 100 metres from the shore, yet still considered in the protection zone.

The limitations that regulate the development of golf courses is an unacceptable order issued by the Minister of Interior that states that licensed projects will lose their permits if it has not progressed by 25%, as if we are being hounded by millions of potential investors. Some golf courses have been partially built and remain incomplete for various reasons. Does this mean that these should be cancelled? Is there genuine interest for any more golf courses?

The latest of ridiculous developments is the issue of titles to privateers who have development marinas, etc. on leased land and these are within or close to the shore, thus deemed as private beaches. What is the problem here? Should we abandon marinas altogether, especially the 7-10 ones that have significantly contributed to the economy? By this logic, we should cancel the Limassol Marina, the nearby fishing shelter, the Ayia Napa marina and of course the Paphos marina, while the one at St Raphael will eventually become illegal.

How can we achieve growth and development when the only good thing going for us is the tourism sector, property development, the marinas and the ports? Unfortunately, our MPs have consistently adopted the “no responsibility” syndrome and the heroic ‘No’ they blurt out every so often. After their ‘No’ that plunged the economy into the Dark Ages in 2013, came the heroic ‘No’ that prevented the state from participating in the land offer for the potential casino bidders, as a result of which we were left with a sole bidder. They have also said the big ‘No’ to the reduction of their fat salaries, as well as the double and triple pensions that current and retired MPs benefit.

At the end of the day, who is looking after the interest of the state? Everyone seems to be looking out for himself only, through micro politics and party favouritism, but the ‘public good’ remains defenseless. A shame.

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