A very closely watched session of Greece's influential Central Archaeological Council (KAS) ended in the early morning hours of Wednesday morning after eight hours of deliberations but without issuing a decision for the landmark Helleniko property redevelopment project.
The international consortium that has won a tender for the Helleniko site in coastal southeast Athens has submitted a comprehensive development plan and environmental impact study for the project to the council for review, as per Greek law.
The Helleniko project is billed as one of the biggest property deals in Europe and judged as a "litmus test" for the embattled Tsipras government's volition to facilitate major investments in the country, especially ones fueled by foreign direct investments (FDIs). Moreover, the specific privatization-cum-strategic investment is included as a "prior action" in the third and ongoing bailout memorandum.
Tuesday's marathon KAS session wrapped up because it had dragged on into the next day.
According to reports, KAS board members focused on whether all foreseen administrative actions have been taken so they can issue a decision, which qualifies as a weighty recommendation for the relevant culture ministry. The latter has the final decision.
Declaring a major portion of the current debris-spewed site as an archaeological area will entail increased delays, given that every phase of construction will need a special and individual license by the archaeological service. According to reports, KAS will again convene in two weeks to examine the Helleniko investment.
The current Helleniko site includes the abandoned terminals, hangars, tarmac and runway of the one-time Athens airport, a handful of outdoor venues used for the Athens 2004 Olympic Games, a small air force base, a police precinct, the Athens FIR headquarters and dozens of concrete-laden or weed-filled acres of empty lots.
The multi-billion-euro project has faced concerted opposition and Greece's proverbial "red tape" since its inception, with the current ruling party, leftist SYRIZA, included as among its most vocal opponents when the latter was in the opposition prior to 2015.
On the administrative level, another culture ministry-affiliated council at one point this year tried to designate three airport structures, including a large shed, as "modern architectural monuments". In May 2017 a state-run forestry service designated roughly 3.6 hectares of land within the 620.5-hectare Helleniko expanse as entailing "forest characteristics". The decision was signed by the forestry service director of Piraeus, which has jurisdiction over site in coastal southeastern Athens.
In justifying the decision, the Piraeus forestry director pointed to the "1937-39 period", where he refers to a "major portion (of the total site) as being low-land grassland, while sparse vegetation and sparse scattered trees and tree lines are visible..."
A consortium declared the winner of the tender for the Helleniko site is led by Athens-based Lamda Development, but also includes China's Fosun and Eagle Hills, which is headquartered in Abu Dhabi.
