Long one of Greece’s leading tourist destinations with more than 5 million visitors a year, foreign investors have been increasingly investing in Crete’s hospitality sector. More than half-a-dozen major hotel and resort deals have been announced in the last year, while Greece’s privatization agency is moving ahead with one of the country’s most eagerly awaited property sales on the island’s north shore.

In July, U.S. investment fund Hines was the top bidder for the Out of the Blue Capsis Elite Resort on Crete, after acquiring five hotels on the island last year. Likewise, U.S. investment fund Blackstone last month acquired the Elounda Blu hotel in Crete and Russian developer Mirum announced it was beginning work on its Elounda Hills resort project.

Investors are also showing interest in the privatization of the Gournes site, near Heraklion, which has been approved for development as a mixed use casino and resort facility. As many as 10 investors from Greece and abroad are reportedly expected to bid for the 345,000 square meter beachfront property. Privatization agency the Hellenic Republic Asset Development Fund has set Oct. 15 as the deadline for submitting binding offers.

Greek tourism prospects

Source: National Bank of Greece