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Cost of new building for AG’s office rockets €23 million

Cyprus Mail · 2026-09-14

AI SUMMARY

• What happened: The budget for the new building of the attorney-general's office has increased to €68 million, €23 million more than the previous tender that was scrapped in 2023, which was initially set at €45 million. • Why it matters: The significant cost increase raises concerns about budgetary management and the necessity of a building designed for 400 employees when only 193 currently work at the AG's office, as highlighted by former auditor-general Odysseas Michaelides. • What to watch next: The new tender is set to begin construction in April 2027, and it will be important to monitor any further developments regarding budget adjustments and the project's execution timeline.

The new premises of the attorney-general’s offices are now costed at €23 million more than they were three years ago when the previous tender was scrapped, reports said on Monday. In 2023 a tender was launched for the new building, then costed at €45 million, not including VAT. In September of the same year, the government cancelled the tender. Today, under a new tender, the project is budgeted at €68 million – or 51 per cent more. The affair made the headlines in 2023, due to the objections raised by then auditor-general Odysseas Michaelides. Among other things, Michaelides had questioned the necessity of a building designed to house about 400 people when the number of employees working at the AG’s office came to 193 – according to figures from the state budget. Moreover, Michaelides had at the time calculated that the capital expenditure for the building came to €133,000 per employee. The former auditor-general also flagged other aspects of the intended project – such as the dimensions of some of the offices and the common areas. He also recommended considering other means of housing the AG’s premises. What is notable, said daily Politis, is that the planned building’s specifications are virtually identical – yet the price difference is €23 million. Under the 2023 tender, the building would have a total area of 23,300 square metres, of which 15,300 concerned the superstructure and the rest the basement areas. The building was to consist of 11 floors, with a capacity for 400 employees. After Michaelides’ objections became public – they were leaked to the media – that caused a spat with attorney-general George Savvides, who said the specifications were drawn up not by the AG’s office, but by the department of public works. Savvides at the time censured Michaelides for having made public his views before formally receiving comments from the involved government departments. Michaelides responded that he had not leaked this information, and in turn accused the AG of an “unprovoked attack”. Weighing into the controversy was the designated architect. The architect argued that the €45 million budget included furnishing as well as upkeep for a period of 12 years, and complained that the auditor-general was making trouble after time and resources had already been expended on the architectural competition. On September 29, 2023, the government moved to scrap the tender. The official reason given did not cite Michaelides’ objections; rather, the government attributed the cancellation to general budgetary constraints. But the project was not abandoned. In 2025 the government came back with new plans, this time with a budget of €56 million – again concerning an 11-floor building of the same area and dimensions. The effort stalled. Then in September of 2026, a new competition was launched – in all respects identical to the 2023 one. It concerns a contract for the design, construction and 12-year upkeep of an 11-floor building with a total area of 23,410 square metres. Work is planned to start in April 2027, while the design and construction are estimated to last 48 months. However, the project is now budgeted at €68 million. The Cyprus Mail was unable to reach someone at the Audit Office for a comment. It’s understood that the architectural design has been awarded to the same company – EP Architects – that landed the contract in 2023. The current premises of the AG’s offices are located in central Nicosia, near the presidential palace.

Source: Cyprus Mail
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