Dimand and Piraeus Bank announce new mega real estate project in Lavrio

A major building project worth nearly 300 million euros, aimed at developing residential and office spaces, is progressing in Lavrio through a joint venture between Dimand and Piraeus. It was announced that this project is part of four projects that are being launched jointly.

The major project involves the development of the Aegean Textile property and will have as its primary objective the urban expansion of the city of Lavrio. In conjunction with the anticipated concession of Lavrio Port and the planned expansion of the Suburban Railway, it will play a central role in the new face of the city.

As emphasized by the two leaders of Piraeus and Dimand, Christos Megalou and Dimitris Andriopoulos, the goal is a new chapter for the city. “We want to create value for the city and its residents,” stated Mr. Megalou, while Mr. Andriopoulos noted that the city of Lavrio will grow.

The property belongs to Euroterra, which is controlled by Strix Holdings, a Piraeus company based in Ireland. Both GEK TERNA and Kekrops (part of the Intracom Group) hold 10% stakes. In the next phase, Dimand will also enter the share capital.

At the moment, the property is undergoing maturation with the necessary studies that will determine its new uses. The most likely scenario is that it will have mixed uses, both residential and commercial, as the port of Lavrio is expected to attract businesses through the ongoing concession process.

Overall, as estimated by Mr. Andriopoulos, it will take 4 to 6 years to complete and make the property operational, which means around 2030. This, of course, will depend on the final plan, the interest that emerges, as well as the advancement of the port and the expansion of the Suburban Railway, which was emphasized many times at yesterday’s event.

The significant property has an area of 97,262 square meters, and the General Urban Plan and land use designation have been completed. The project is estimated to start around 2026, initially with the demolition of buildings, and in 2027 with the commencement of construction works. According to sources, there might be an increase in the area through a merger with an adjacent property in the region.

The Suburban Railway and the Port

As mentioned above, the entire project is also based on the expansion of the Suburban Railway to the area, as well as the privatization of the port, which is currently underway by the Hellenic Republic Asset Development Fund (HRADF).

On July 8th, the bids for participation in the HRADF’s tender will open for acquiring a majority stake (at least 50% plus one share) in the share capital of the Lavrio Port Organization.

Overall, eight investment groups have submitted Expressions of Interest. The groups are as follows:

• GEK TERNA S.A.
• INTRAKAT S.A.
• Consortium of individuals JET PLAN SHIPPING Co LTD – AKTOR PARACHORISEIS S.A.
• Consortium GPH CRUISE PORT FINANCE LTD – PROMARINE S.A.
• Consortium OLYMPIC MARINE S.A. – MSC CRUISES S.A.
• GULFTAINER COMPANY LTD
• IOTC INVESTMENTS S.C.S.
• ISRAEL SHIPYARDS INDUSTRIES LTD

For the expansion of the Suburban Railway, a competition is underway with the participation of GEK TERNA-INTRAKAT, AB Vassilopoulos-ALSTOM, and AKTOR-METKA.

With the new line, the port of Lavrio will be connected to Athens International Airport “Eleftherios Venizelos” in approximately 20 minutes, to the center of Athens in about 50 minutes, and to the port of Piraeus in approximately 70 minutes. The most significant aspect is that it adequately covers the developing area of Lavreotiki and integrates with the city’s mass transit network.

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