Athens-based Lamda Development on Tuesday evening confirmed the signing of a MoU with the Greek state’s privatization fund (TAIPED) hours earlier, a development that propels the closely watched real estate development project at the coastal Helleniko site into a higher orbit of potential realization.
The signing of the preliminary agreement was thrust onto the national limelight this week following a demand by Greece’s institutional creditors that the MoU constitute a “prior action” for the disbursement of a loan tranche worth 7.5 billion euros.
The MoU was signed by representaives of the state-run fund, Lamda Development and Hellenikon Global I. S.A. the holding company that will actually manage the urban regeneration project and the site when it materializes.
“Today's agreement, which specifies all the basic design requirements and economic parameters of the Project is a milestone because it provides the opportunity to accelerate all procedures for commencing the project… that will become the largest urban regeneration throughout Europe for the coming years,” a Lamda press release read.
The company also reiterated its commitment to turn 42 percent of the massive tract of mostly arid lots and disused airport facilities into green space, a figure it gave as 2.6 million square meters.
“The investors undertake the financing and construction of all transport infrastructure, public facilities and utilities networks, all necessary port works, the creation of 50klm of sidewalks and bicycle paths which will create the necessary connection with the existing and the new rail networks, the underground routing of parts of (coastal) Posidonos Avenue, the renovation and operation of all listed buildings within the site, as well as the creation of a 1 kilometer beach with free-access to the public.”
“This is an important step towards the direction of investment, employment, exploitation of new opportunities and of attracting international capital in the country. The project will have multiple positive effects on other sectors and activities, it will create new expertise and a very large area will gain immense utility value for millions of Greek and foreign citizens,” was the joint statement issued by Lamda Development S.A. President Tassos Giannitsis and CEO Odisseas Athanasiou.
