ECONOMY

Firm plans major tourism investment

firm-plans-major-tourism-investment

Grivalia Properties REIC is planning a total of 100 million euros in investments in hotel and tourism real estate through a new subsidiary company recently set up in Luxembourg.

The new company, Grivalia Hospitality SA, will take the form of a consortium in which Grivalia will contribute 25 million euros in capital. Foreign investors will provide an additional 75 million euros. The bulk of investors will come from existing shareholders of the parent company.

George Chryssikos, CEO of Grivalia Properties, said that the goal is to pave the way for other investors from Greece and abroad to invest capital in such projects. The company plans to invest via acquisitions, refurbishments and real estate development to create new jobs and add value to the local economy.

Plots suitable for tourism development will also be part of the plan, as will luxury hotel complexes. Despite the upcoming snap elections, the removal of the threat of a Greek exit from the eurozone has provided the green light for the first steps of the investment plan.

The company said that Luxembourg has been chosen as its base due to the relative ease of depositing and transferring capital there in light of Greece’s capital controls.