Caramondanis: 'The new housing policy is a positive development'
12:30 - 07 November 2023
The new unified housing policy announced by the Ministry of the Interior is a positive development, as it will breathe life into the market and contribute significantly to solutions for vulnerable groups, underlines the CEO at Ayia Napa Marina & Caramondani Group of Companies, Stavros Caramondanis.
In an interview with InBusinessNews, Caramondanis points out that although the measures are a step in the right direction, it does not mean that they will solve the problem radically and forever, as the needs for additional properties will increase in the future.
At the same time, he raises another issue, that of the reduction of VAT on construction materials and raw materials, which, as he notes, if applied, will bring about results on the final price of the product.
"The reduction of VAT on construction materials and raw materials is an equally important issue. By controlling the price at the initial stage, the optimisation of the market price of the final product is achieved," he said specifically.
At the same time, Caramondanis emphasises the need for the further systematic support of the measures, that is to say, the integration of new technologies and electronic services to modernise the procedures.
What do you think of the new unified housing policy announced by the Interior Ministry? Do you think it is a step in the right or wrong direction?
The announcement of the new unified housing policy is undoubtedly a very positive development. Is seems action is beginning on an issue that preoccupied and continues to preoccupy a large portion of our fellow citizens, both in the short term and in the long term.
With an emphasis mainly on vulnerable groups, it will give them the opportunity and possibility to "take a breath" and find a solution to the chronic issue of housing through the provisions of the new housing policy.
This positive development has been widely accepted by all involved and especially the beneficiaries. Nevertheless, in my opinion and taking into account past and present data, as well as future forecasts, the needs for new housing will be even greater in a time horizon longer than five years.
Do you think that the new housing policy will alleviate the housing problem and strengthen the citizens' access to housing? What do you as a land development entrepreneur suggest?
As I mentioned above, it will give a significant breath of fresh air to the market and will significantly contribute to finding solutions for vulnerable groups. That is, to those who are really in need and will benefit from the measures. However, this does not mean that it will solve the problem radically and forever.
The need for additional properties in the future is sure to increase. Therefore, early identification of real needs is required, with numerical precision, so that a reduced housing supply can be addressed again after the end of the five years. In other words, the deadline for the measures of the recently announced unified housing policy.
From time to time I have emphasised important matters which need immediate attention. For example, VAT reduction in the prices of raw materials and construction materials, effective control mechanisms, fast and flexible procedures for all involved.
To what extent do the measures satisfy developers and land development professionals? Do you think they need some improvements?
I think that for all the parties involved to rest on their laurels will be futile and fatal. For this specific issue, constant vigilance and effective forecasting of needs, both in terms of supply and demand, is required.
In this direction, I consider it necessary to emphasise the need for further support of the measures systemically. That is, integration of new technologies and electronic services to modernise systems and processes.
For example, the licensing procedures and times for new developments must be considered a "thorn in the side", at least until now.
As I mentioned above, the reduction of VAT on construction materials and raw materials is an equally important issue. By controlling the price at the initial stage, the optimisation of the market price of the final product is achieved.
In closing, a further increase in the building factor would, I believe, work positively for all involved.