Rent prices rose at an increasing rate in the third quarter of 2017, driven mainly by office space and residential properties, the Cyprus division of the Royal Institute of Chartered Surveyors (RICS) said.
Office rents rose 22% year-on-year in July to September last year and a quarterly 5.7%, against an increase in property values of 8.8% and 4.2% respectively, RICS said in an statement. The highest increase in rent prices was in Nicosia where they rose an annual 33% and a quarterly 9.6%. In Limassol, rent prices for offices rose 18% and 5.6% respectively.
Rents for apartments and houses rose 12% year-on-year in the third quarter of 2017 and 9.2% on a quarterly basis, RICS said. Compared to the previous quarter, rent prices rose 4.6% and 2.5% respectively.
Residential rent prices rose again the most in Limassol, where they increased an annual 36% and a quarterly 12% in the case of flats. In houses, the increase was 27% and 9.1% respectively, according to the RICS data. Larnaca was the only district in which rent prices for both houses and apartments fell in the third quarter compared to the third quarter of 2016 — 2.8% in the case of houses and 0.4% in the case of apartments. Compared to the second quarter, renting a flat became 1.2% less affordable while house rents fell 3.7%.
Retail property rents rose a quarterly 1.2% and an annual 6.1% island-wide in July to September of 2017, RICS said. The highest increase was in the Famagusta area, where they went up 11% compared to the third quarter of 2016, and 2.5% compared to the second quarter. While shop rent prices rose in all other districts, in Larnaca, they remained unchanged both on an annual and quarterly basis.
Lastly, warehouse rents rose 1.6% year-on-year in the third quarter and 0.9% compared to the second quarter, the institute said. The increase resulted from higher rent prices in mainly Nicosia and followed by Limassol. In Larnaca and Paphos, rent prices remained unchanged.
Source: Cyprus Mail