Athens-listed property management company Grivalia Properties is expected to make its first investment move in the hotel and tourism sector at the start of 2017. Sources say the firm will sign a deal for the development of a tourism property abroad – and not in Greece where it had originally focused its efforts.
Upon full development, the sizable and luxurious property in question is expected to reach a value of 500 million euros, and will be implemented via the company’s wholly owned subsidiary in Luxembourg, Grivalia Hospitality.
For the last 18 months Grivalia had been looking for the right building in Greece to invest in, to no avail, so its first move concerns an investment abroad.
Grivalia Hospitality’s ultimate aim is to evolve into a tourism property management company based in Greece. However, the way the current tax system is in this country, this is unlikely to happen soon.
It is in the context of this expansion into tourism properties that the enterprise reached a 50-million-euro financing agreement with the International Finance Corporation (IFC), which is a member of the World Bank Group. This cooperation is set to expand, as both sides intend to proceed to greater loans in the long term. Notably, this was the first loan that the World Bank has issued directly to a Greece-based company.