According to Wikipedia , In the 1970s, Famagusta was the number one tourist destination in Cyprus. To cater to the increasing number of tourists, many new high-rise buildings and hotels were constructed. During its heyday, Varosha was not only the number one tourist destination in Cyprus, but between 1970 and 1974, it was one of the most popular tourist destinations in the world, and was a favourite destination of celebrities such as Elizabeth Taylor, Richard Burton, Raquel Welch, and Brigitte Bardot.
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1974 to present day[edit]
Following the Turkish invasion of Cyprus on 20 July 1974, the Greek Cypriot army withdrew its forces to Larnaca. The Turkish army advanced as far as the Green Line, which is the present day border between the two communities. Just hours before the Turkish and Greek Cypriot armies met in military combat on the streets of Famagusta, the entire population fled, fearing a massacre. Many refugees fled south to Paralimni, Dherynia, and Larnaca. Paralimni has since become the modern day capital of the Famagusta province.
When the Turkish Army gained control of the area during the invasion, they fenced it off and have since barred admittance to anyone except Turkish military and United Nations personnel. The people living in Varosha hoped to return to their home when the situation calmed down, but the resort was fenced off by the Turkish military.
The UN Security Council Resolution 550 of 1984 ordered for Varosha to be handed over to the administration of the United Nations, and was to be resettled by no other people than the inhabitants who were forced out. The Turkish state did not comply, but has held Varosha as a "bargaining chip ever since in the hope of persuading the people of Cyprus into accepting a settlement of the Cyprus issue on their terms.