Hi Marcos,
You need to bear in mind that the guaranteed rental will have been factored into the selling price - so it looks as if you're getting a good where as in fact, you're not. Here are some figures of 'typical' rental yields in the Larnaca area from the
'Global Property Guide'.
In my opinion, there are just too much buy-to-let property on the market at the moment chasing too few holidaymakers. Of course, that may change in a couple of years time when (hopefully) the credit-crunch is over and Cyprus is able to attract more holiday-makers.
If you're looking for a buy-to-let investment focus on the long-term market (one year or more). Look at apartments in residential areas that are relatively central, not densely developed with apartments, reasonably quiet and close to local amenities such as schools, shops, etc. And avoid buying an apartment in a block with shops on the ground floor.
What do you mean by 'high-end' - high price? high specification? What part of Larnaca is it?
If you do decide to go ahead, make sure you get independent legal advice from a competent lawyer. They'll need to ensure that the land on which the property is being built is not mortgaged and that all the required Planning & Building permits have been issued for its construction.
Cheers,