TRNC Construction Unit Cost 2025: Official m² Values

Short answer: According to the bulletin published by the Statistical Institute in October 2026, the Northern Cyprus (TRNC) construction unit cost used for 2025 was 34.917 TL/m² for houses (buildings with one or two dwellings) and 43.408 TL/m² for apartments. Compared with 2024, these figures correspond to an increase of approximately %27 for houses and %33 for apartments. Unit cost does not include land, profit, taxes or financing; therefore, it shows only the official measure of construction cost, not the full sales price.

This article is prepared for buyers who want to understand why housing prices are rising from the cost side, those considering building their own home, and those planning to buy from a project. We explain the source of official unit costs, their five-year trend, and the other items that make up the price of a home. If you would like to compare building a house on your own land with buying a ready home, you can also read our article on the cost of building a house in the TRNC.

What is the TRNC construction unit cost and who sets it?

Unit cost is the average cost accepted for constructing one square metre of a specific building type. The Statistical Institute’s 2025 Construction and Parcel Statistics bulletin states that, when calculating the value of private sector buildings, it uses unit costs obtained from the Planning and Construction Department under the Ministry of Public Works and Transport, and from the Cyprus Turkish Chamber of Architects and Engineers.

According to the definition in the bulletin, cost is calculated by multiplying the floor area of the building by the square metre price, excluding the value of the land. Floor area is the sum of the areas of all habitable floors within the external walls; balconies are excluded, while attic floors are included. For public buildings, tender prices are taken as the basis instead of unit costs.

For this reason, unit cost should be read not as a “market price”, but as a common measure used in official statistics and valuations. The cost of an actual project may differ from this average depending on material quality, ground conditions, building height and the contractor’s procurement capacity.

2021–2025 official unit costs

Table 1 of the bulletin provides the five-year unit costs by building type and the chain index for each year compared with the previous year. The rows most relevant to home buyers are as follows:

Amounts are in TL/m²; the annual increase column is derived from the chain index in the bulletin (e.g. 127 for houses and 133 for apartments). For the full table, you can review the Statistical Institute’s 2025 bulletin.

Two conclusions emerge from the table. First, from 2021 to 2025, the unit cost for houses rose by approximately 8,7 times, and for apartments by approximately 11 times. Second, the pace of increase slowed after the peak in 2022–2023: for houses, the annual increase was %112 in 2023, %48 in 2024 and %27 in 2025. It is also noteworthy that apartments became more expensive than houses from 2024 onward; the structural system, lifts and shared installation burden of multi-storey buildings are among the possible factors explaining this difference.

Inflation and unit cost: are they moving at the same pace?

Because unit costs are stated in TL, they cannot be considered independently of general price increases. According to data published by the Statistical Institute on 5 October 2026, annual consumer inflation was %39,20 in September 2025 and %35,02 in September 2026. For 2025, the %27 unit cost increase for houses and the %33 increase for apartments remained slightly below this general inflation level.

This is a rough comparison: unit cost is a single annual value, while CPI is calculated monthly, and the two series do not cover exactly the same period. Still, the practical message is clear: construction costs in TL are rising at a high rate every year, and this increase is felt differently in properties priced in sterling or euros depending on exchange rate movements. We discussed the long-term trend of foreign-currency prices in our article on house price growth in Cyprus and the exchange rate effect. For current inflation data, you can view the September 2026 CPI announcement.

Items that make up the price of a home

The official unit cost is only one part of a home’s sales price. A contractor’s pricing usually includes the following items together:

• Construction cost: Structural works, finishing works, installations and façade. This is the part measured by the unit cost.
• Land: Not included in the unit cost. In coastal and view locations, it can be the most variable item in the total cost.
• Infrastructure and common areas: Internal site roads, swimming pool, landscaping, generator, transformer connection and sewage solution.
• Project and permit expenses: Architectural, structural and installation projects, chamber approvals, supervision services and municipal fees.
• Labour: While the minimum wage in the TRNC was gross 60.618 TL in the first half of 2026, it increased to gross 70.893 TL as of 1 July 2026; labour cost is updated twice a year.
• Financing and time: In instalment sales, the period during which the contractor finances the construction from their own resources and the risk of costs increasing during that period.
• Tax, marketing and profit margin: Other items reflected in the sales price.

In residential complex projects, the cost of non-residential buildings is also added to the total budget. According to the table in the bulletin, in 2025 the unit cost used was 21.281 TL/m² for car parks, approximately 23.000 TL/m² for garages and warehouses, and 38.703 TL/m² for restaurants. In a complex with indoor parking, social facilities or a restaurant, the cost of these areas is directly reflected in apartment prices or maintenance fees. Therefore, when comparing two projects, it is necessary to look not only at the apartment square metres but also at the scope of common areas.

Another important point is the exchange rate. In the TRNC, many new homes are priced in sterling, while a significant portion of labour and local expenses is paid in TL. During periods when the TL loses value, the cost pressure on the contractor may decrease for a home whose foreign-currency price remains the same; in periods when the exchange rate is flat but TL costs are increasing, upward pressure may arise on foreign-currency prices.

You can find details on how the minimum wage is determined and the current figures in our article on the TRNC minimum wage 2026.

Example calculation: a rough construction budget using unit cost

Official unit costs can give someone considering building a house on their own land a rough idea of a “lower limit”. The calculations below are purely examples and show only the construction part:

These amounts do not include land, pool and landscaping, project and permit expenses, infrastructure connections, VAT or financing cost. In addition, the figures are 2025 averages; someone signing a contract in 2026 should also take the intervening inflation into account. For a real budget, a quantity-based estimate should be obtained from an architect and civil engineer.

Also remember that floor area is calculated excluding balconies. Since the gross square metres in sales brochures often include balconies and a share of common areas, the two figures cannot be compared directly. We explained this difference with examples in our article on the difference between gross and net square metres.

Practical takeaways for buyers

Reading cost data correctly helps set more realistic expectations both in negotiations and when signing a contract:

1. Early-stage pricing has a rationale: If costs are rising at a high rate every year, the price fixed in an off-plan purchase creates a risk for the contractor and an advantage for the buyer. This advantage depends on the project being completed on time.
2. Check the fixed-price clause: In instalment contracts, it should be clearly stated whether a price difference can be requested due to cost increases.
3. Question cheap offers: A construction offer significantly below the official average may mean compromises on materials or supervision.
4. Separate exchange rate from cost: The TL cost of a home with a fixed sterling price may have increased, or vice versa. When interpreting price changes, consider the two effects separately.

Frequently asked questions

How much is the 2025 construction unit cost in the TRNC?

According to the Statistical Institute’s 2025 Construction and Parcel Statistics bulletin, the official unit cost is 34.917 TL/m² for houses, 43.408 TL/m² for apartments, 33.998 TL/m² for shops with mezzanines, and 65.534 TL/m² for hotels. These figures do not include land value and are the average values used for 2025.

Is unit cost the same as the sales price?

No. Unit cost only measures the official average cost of construction. The sales price also includes land, infrastructure and common areas, project and permit expenses, financing, taxes and contractor profit. Therefore, unit cost should be considered as a sub-component of the sales price.

Which institution do unit costs come from?

According to the bulletin, in the valuation of private sector buildings, the unit costs published by the Planning and Construction Department under the Ministry of Public Works and Transport and the Cyprus Turkish Chamber of Architects and Engineers are used. For public buildings, tender prices are taken as the basis.

Why do construction costs increase so much every year?

Unit costs are stated in TL, and general inflation, exchange rate movements, material prices and the minimum wage, which is updated twice a year, directly affect these figures. For example, annual consumer inflation was announced as %35,02 in September 2026. In 2025, the unit cost increase was %27 for houses and %33 for apartments.

Can I rely on unit cost when building my own home?

Only for a rough preliminary idea. Actual cost varies depending on ground conditions, material quality, building design and the contract year. In addition, land, pool, landscaping, permit expenses and VAT are not included in the unit cost. Before making a decision, obtain a quantity-based estimate and a written quotation from an architect and civil engineer.

If you would like to evaluate a project’s price together with its cost items or discuss price-fixing clauses in an instalment contract, you can contact the Akol Global team; we can answer your questions based on figures.

This article is for informational purposes only and does not constitute legal, tax or financial advice. Last updated: October 2026.