Nicosia, Cyprus. Property market dynamics in Cyprus and internationally are increasingly shaped by infrastructure resilience, climate risk and affordability pressures, according to data released in January 2026. The data also highlighted rising sales, widening cost gaps between cities and an evolving policy framework on land acquisition.
Infrastructure as a driver of property value
The value of property is increasingly influenced by infrastructure, alongside traditional factors such as location and size, as cities face climate stress, energy pressures and social inequality.
Both visible infrastructure, including roads, networks, transport systems and urban regeneration projects, and less visible systems linked to safety and long-term resilience are playing a growing role in sustaining asset values.
International assessments of resilience and risk
International organisations have increasingly treated infrastructure resilience as a criterion for economic stability and investment security. The OECD has stated that cities investing in climate-resilient infrastructure can reduce long-term economic risk and protect asset values, including real estate.
The World Bank has identified property as the largest store of wealth in most developed economies and noted its exposure to climate risks such as floods, heatwaves and energy insecurity. The World Bank said areas lacking adequate adaptation infrastructure face higher investment risk and greater volatility in property values.
Urban regeneration and public works investment
Urban regeneration projects are increasingly viewed internationally as complex infrastructure investments. The European Investment Bank has said projects that incorporate sustainable infrastructure, green solutions and resilience can generate multiple benefits for property values and urban functionality.
Analysis by the Greek Foundation for Economic & Industrial Research (IOBE) said public works investment can act as a stabilising force in the property market, affecting the attractiveness of areas and the sustainability of investments through project maturity, design quality and consistent implementation.
Conference remarks on infrastructure and competitiveness
“Infrastructures are not just projects, they are a mechanism of protection and resilience against the climate crisis, extreme weather, supply chain dysfunctions, international competition and energy uncertainty,” Konstantinos Makedos said while speaking recently at the TMEDE Conference.
“They are a mechanism of productivity, sustainability and economic strength that shields the country and its competitiveness by ensuring the green and digital transition, social cohesion and an attractive investment environment,” Makedos added.
How do you think infrastructure resilience should be reflected in property pricing and investment decisions?
