The government abandoned the joint development of the Larnaca port and marina, announcing on Thursday projects estimated at over €30 million to upgrade the marina and the surrounding area, heeding the suggestions of the city’s local stakeholders.

Speaking during a press conference, Minister of Transport, Communications and Works, Alexis Vafeades said the projects for the expansion of the port and the marina will be postponed for a later stage following studies by experts and after enquiring investor interest.

The decisions were taken after Kition Ocean Holdings terminated a contract amounting to €1.2 billion for the port and marina joint development in late-May, marking the third failure of such a grant project following 2010 and 2015, with the government and local stakeholders stating that going ahead with the two projects separately would expedite development projects for the coastal city.

“The contract termination should not deprive the city of Larnaca of these projects and our decisions on the next steps should take into account the implementation of the projects as soon as possible,” Vafeades said.

The Transport Minister announced projects of an estimated value of €25 to €30 million, for which tenders will be launched by the Ministry which will act as contracting authority in collaboration with the Municipality of Larnaca if possible.

The projects including the dredging of entrance of the 25,000-square metre marina, upgrading of its sea zone, finishing the upgrade of the preserved dock and a new area for yacht lifting, maintenance and service.

The projects also include the construction of a new Larnaca Yacht club which will also house the marina management, state services, recreation areas, in a building which will constitute “a point of reference” as Vafeades added.

Furthermore, the projects include landscaping and the creation of green areas while providing access to the public to the marina areas and the Yacht Club for recreation.

The works for the upgrading of the marina are estimated to conclude by September 2026, the Yacht Club for which an architectural competition will be launched by December 2027, whereas the works for landscaping are believed to conclude by September 2026.

On the expansion of the Port of Larnaca and of the marina, Vafeades said the Ministry agrees with the Larnaca stakeholders that this should be left for a later stage, following a study by experts, while the port will continue to serve mainly as a cruise ship port.

The development should take place as a public private partnership, after enquiring investor interest both in Cyprus and abroad, following a brief consultation period which is not expected to exceed three months and after the that an expert study will be carried out, he added.

“The state needs should be reconsidered, we need to see where we stand after twenty years and more, we should assess what the country needs today. This is why we say we separate the two (projects) to allow time for study for two projects separately, to be implemented separately and to serve the needs of not only Larnaca alone but the country as well,” Vafeades concluded.