After long delays, five large tourism investments get going

Licensing procedures on a series of strategic investments worth more than a billion euros in the real estate tourism sector are picking up speed as investors remain focused on investment programs despite the pandemic, and the Ministry of Development and the government, aim to keep attracting as much direct investment as possible to accelerate the country's economic recovery.

After the upcoming start of preliminary construction work at Hellinikon, where the demolition of existing buildings will begin, a series of projects are taking place throughout the country, which had delayed for years and now, one after the other, will begin construction work, or have their licensing process completed.

One such example is the long-suffering investment of US' NCH Capital in Corfu, the first transfer of real estate completed by the HRADF (Hellenic Republic Asset Development Fund) completed almost eight years ago. 

The purpose of the land development in Kassiopi is for a tourist complex, which will include a five-star hotel, 180 beds, and tourist villas/houses in Artavani (Erimitis) in the area of​​Agios Stefanos. This is a 120-million-euro investment, which is about to start after the recent approval of a study on the roads that will surround the investment.

Another important investment on course to securing the necessary license is in Mykonos. It is the 60-million-euro Project Blue, which is being promoted by Grivalia Hospitality, in which M&G Investments Management (Prudential group) holds a 50 percent stake, while Eurobank and Eurolife FFH each hold a 25 percent stake. As announced yesterday, by the Development Ministry's general secretary of Private Investments and PPP, Nikos Matzoufas, the green light was given by the Council of State and now the process of issuing the relevant Presidential Decree has begun. The investment covers an area of 22 acres and includes the development of a five-star hotel with a 340-bed capacity. The area is located near the beach of Kalo Livadi and is owned by a local monastery.

A few days ago, a Presidential Decree was signed for another 50-millioneuro investment in Mykonos, belonging to the AGC group, which had undertaken the development and operation of Asteras Vouliagmeni. The Mykonos Project foresees the development of a complex including 95 private luxury homes on Karapetis beach in Mykonos (south of Ano Mera) and will spread over 15 acres. At the same time, a five-star unit accomodating 192 beds are also planned.

Meanwhile, a ceremony marking the start of construction for the 400 million-euro Kilada Hills project being built by Dolphin Capital Investors, is scheduled for next Friday. This project has been fully licensed since the end of 2019. At the center of Kilada Hills, which will be developed in an area covering 495 acres in the Hermione Valley (Argolida), is an 18-hole golf course, 450-500 houses, and possibly a 30,000 sq.m. hotel.

In the coming months, probably in the third quarter of the year, it is estimated that a building permit for another important tourist project in Elounda, Crete, belonging to Mirum Hellas (in which Russian real estate investor Vitaly Borisov has interests) will be issued. This is an investment that is estimated to exceed 450 million euros, includes a hotel and a variety of luxury tourist villas. Its environmental study is expected to be published soon, which, once approved, will mark the final stage of the licensing process.