Piraeus Port lease at 50 million plus rent

Piraeus Port Authority, Greece’s biggest port, wants the winning bidder for its container terminals to make a one-time 50-million-euro ($74 million) payment and pay performance-based rent over the contract period. The contract will require a minimum annual rent, Merchant Marine Minister Giorgos Voulgarakis told lawmakers yesterday, according to a transcript of his speech on the Parliament’s website. Piraeus and the contractor will also split annual profits if the operator’s return-on-assets ratio exceeds 15 percent, according to the minister. Greece’s government is seeking private operators for container terminals at Piraeus and Thessaloniki, the country’s two biggest ports, to improve cargo-handling capacity. State- controlled Piraeus port invited bids to run Piers 2 and 3 for 30 years with an option to extend the contract five years. «There has been huge interest, particularly from all the great global operators,» Voulgarakis said yesterday without naming any bidders. Bids are due on March 18. (Bloomberg)