Immovable Property Commission - Funding for Compensations

Increased Activity at the Immovable Property Commission and Funding for Compensations

Enhanced Processing Speed
In recent years, particularly in 2023 and 2024, the Immovable Property Commission (IPC) has been processing Greek Cypriot applications faster.

Addressing Funding Issues
A major challenge for the IPC was the lack of funds for compensation payments. To address this, at the beginning of 2023, the Turkish Cypriot administration took several measures, including increasing property transfer taxes for foreigners in Northern Cyprus. A portion of these transfer taxes is now directed into a fund specifically for compensating Greek Cypriots who have successful claims with the Commission. Additionally, foreigners are now required to contribute to the Immovable Property Commission fund when applying for Permission to Purchase (PTP) to obtain title deeds for their properties.

Compensation Payments
In 2023 alone, GBP 12,000,000 (twelve million British pounds) was paid out to settle 32 Greek Cypriot claims. Payments continue regularly as funds are added to this dedicated budget.

Support from Authorities and Major Payment of 68 Million British Pounds
Turkish Cypriot leaders have recently reaffirmed their commitment to maintaining the effectiveness of the IPC, as recognized by the European Court of Human Rights. The resolution of applications and compensation payments are expected to continue at an increasing pace.

The Prime Minister has announced that GBP 68,000,000 (sixty-eight million British pounds) will be allocated to settle 200 finalized applications. Turkish President Recep Tayyip Erdoğan has recently emphasized that the Immovable Property Commission is the “only address for resolving property issues” in Cyprus.

About the Immovable Property Commission
The Immovable Property Commission was established under Law 67/2005 to handle claims related to abandoned properties in Northern Cyprus, following the European Court of Human Rights’ decisions in the Xenides-Arestis v. Turkey case. On March 1, 2010, the Court confirmed that this law provides an effective way to address these claims and dismissed complaints from applicants who had not utilized this remedy.

The Commission processes claims for property restitution, compensation, or exchanges based on principles from past agreements and UN plans for Cyprus. It seeks to resolve legitimate property claims while respecting the rights of the Turkish Cypriot Community.

As of July 26, 2024, the Commission has received 7,657 applications and resolved 1,834. It has awarded GBP 464,278,046 in compensation. Additionally, it has managed property exchanges and compensation in 2 cases, restitution in 5 cases, and both restitution and compensation in 8 cases. Specific decisions include restitution after a settlement and partial restitution in other cases.

NB: This guide is not legal advice. For detailed information and guidance regarding your specific situation, it is recommended to seek professional legal consultation.

Guide to Applying to the Immovable Property Commission (IPC)

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