Athens. Ewa Künzel traded in dreams. The broker from Aschaffenburg brokered holiday properties in Northern Cyprus. Now the business has turned into a nightmare for the 51-year-old.
She has been in custody in the Republic of Cyprus since July 2024. The public prosecutor's office accuses her of brokering properties in the Turkish-controlled north that, according to the land register of the Republic of Cyprus, belong to Greek Cypriot owners. Künzel denies the allegations.
The case shows how far-reaching the risks can be when buying property in the north of the divided Mediterranean island. What seems like a cheap entry into the vacation property market for foreign buyers touches on one of Europe's most complicated unresolved property disputes.
Northern Cyprus has been considered a cheaper alternative to the south of the island by foreign buyers for years. Real estate agents and project developers also advertise holiday apartments, villas and properties in German-speaking countries. Comparatively low prices, increases in value and rental income are promised.
But for many properties the question of ownership is problematic. The background is the division of the island, which is inhabited by ethnic Greeks and a minority of Turkish origin, after the Turkish invasion of 1974. Around 160,000 Greek Cypriots fled the north or were expelled. They had to leave behind houses and land, but their property titles remained.
Regardless of the division, Turkish-occupied Northern Cyprus belongs under international law to the territory of the Republic of Cyprus and therefore to the EU. However, the internationally unrecognized Turkish Republic of Northern Cyprus issues its own ownership documents. Many properties owned by Greek Cypriot refugees there were given to Turkish settlers or real estate developers.
This creates a dilemma for buyers: they can have a local sales contract and a Northern Cypriot title - and still not be sure that they are the legal owner of the property.
The German Real Estate Association (IVD) therefore speaks of “incalculable financial and criminal risks”. Before purchasing, you should check who owned the property before 1974 and what claims still exist today. The IVD recommends consulting the old land registers of the Republic of Cyprus. They are accessible via the European e-Justice Portal.
The Foreign Office also expressly warns against purchasing and brokering real estate in the north. Due to unclear ownership, “significant legal and financial risks must be expected – including criminal prosecution and imprisonment.”
A ruling by the European Court of Justice (ECJ) from 2009 shows how far the risks extend. It affected a British couple who had bought a property in northern Cyprus and built a holiday home with a swimming pool on it. The Greek Cypriot owner, who was evicted in 1974, sued.
A Cypriot court ordered the demolition of the house, the dismantling of the pool and the return of the property. The ECJ ruled that such a judgment can be recognized and enforced in another EU member state despite the division of the island.
The judge's verdict is clear: a Northern Cypriot purchase contract does not protect against claims by the original owner. The Cypriot judiciary can also have judgments enforced in other EU countries against buyers who illegally purchase real estate in Northern Cyprus or brokers who broker them.
“Many who have bought real estate in Northern Cyprus are now facing massive problems,” reports Sandra Feldmann, a German management consultant and emigration expert in Larnaka in the south of the island. She regularly receives inquiries from buyers who, after making payments, do not know whether they will ever receive a finished house or a legally secure ownership position.
The problem is the lack of international recognition for Northern Cyprus. “This means there are no structures that buyers can rely on,” says Feldmann.
For Ewa Künzel, the risk has long since become a personal catastrophe. She remains in Nicosia Central Prison. The allegations are fraud, appropriation of other people's property and money laundering. If convicted, you could face up to 14 years in prison.
In September, a court again rejected an application for release from prison. The defense had offered 300,000 euros in bail, the surrender of the passport, a permanent stay in a hotel and daily police reports. The judges still see a risk of escape.
Künzel's lawyer Soteris Argyrou also criticizes the prison conditions. His client would be withheld from medically prescribed medication. According to him, German diplomats bring her the medicines she needs, but they are taken away again after they leave.
The treatment during the court proceedings also causes criticism. Künzel was brought to the negotiations in handcuffs. When she returns to prison, she has to undress completely and is sniffed naked by a service dog. Argyrou speaks of “targeted humiliation” intended to force his client to confess.
The German embassy in Nicosia protested to the Cypriot government about this. In a verbal note dated March 27, which was available to the Handelsblatt, she described the detention conditions as “unacceptable in terms of human rights” and a violation of the European Convention on Human Rights. Germany “expressly reserves the right to take further measures against the Republic of Cyprus”.
