Greece launches new landmark property projects, draws record investment
From the Athens Riviera to the islands of the Aegean, from the island of Crete to northern Greece, new landmark projects are buoying the country’s property market and underscoring the strong investment interest in Greek real estate.
Even amid recent volatility in real estate markets worldwide, Greece’s property market is booming. The country has become one of the leading destinations for real estate investors in Europe and is seeing across-the-board interest in every segment of the market.
In the last few weeks, Greece’s Lamda Development reported record sales of more than €200 million for its luxury residences at its flagship Ellinikon project along the Athens Riviera. On the north shore of Crete, Greece’s privatization agency this month signed the official contract for the €200 million redevelopment of a former U.S. military base just east of Heraklion. While next month luxury hotel operator Domes is set to open its fourth Greek resort in the north of the country – one of two that it plans to open this year in Greece.
According to a recent survey by Cushman & Wakefield Proprius, overall investments in Greek commercial real estate reached a record €1.65 billion in 2022 − a 40% increase compared with 2021. Hotel and office investments accounted for about two-thirds of that total, and the rest was invested in retail space, logistics facilities, industrial real estate and land. The latest official data show that net foreign direct investment in Greek real estate jumped 60% in the nine months to September last year to €1.27 billion − up from €797 million in the first nine months of 2021 and representing roughly a third of total FDI inflows.
Across Greece, dozens of flagship investments, from hotels and resorts, to industrial parks and data centers are being built. A recent Deloitte report names Greece as one of the Top 10 investment destinations for hospitality in Europe. Another report, by real estate consultancy Cushman & Wakefield, names Athens as one of the Top 10 destinations in Europe – and the only destination in Southern Europe − for data center operations thanks to the city’s access to global communications infrastructure.