Investor reduces exposure to tourism, retail trade

Real estate investor Prodea Investments has revised its business plan to build offices, and not hotels, in Athens and on Crete, given the hit tourism has taken from the coronavirus pandemic.

Specifically, a 5,300-square meter building it had acquired at the top end of Syngrou Avenue, near central Athens, and planned to turn into a hotel, will instead house office space. Prodea CEO Aris Karytinos, said transforming the building into office space will be completed by the end of the first half of 2021.

Likewise, a €50 million investment near the old town of Hania, on the island of Crete, will be revised and, instead of two hotels, will include mixed-used (retail and residence) buildings. This project is being developed with Dimand Real Estate and the European Bank for Reconstruction and Development.

There is also an ongoing project with Dimand to build 24,000 sq.m. of office space next to the InterContinental Athenaeum Hotel; this project is proceeding without changes and is expected to be completed in two years.

Altogether, Prodea is investing over €100 million in its ongoing projects.