One of Greece?s best-known hotels and a Thessaloniki landmark, the Makedonia Palace is to set to reopen on January 14 after the IKA social security fund, which owns the building, and the hotel managers reached a deal to keep the operation going for a few more months.
The Daskalantonakis Group, which manages the hotel issued a statement in November saying that it had failed to reach an agreement with IKA to renew the lease.
However, the sides have agreed on a compromise for Daskalantonakis to keep operating the hotel until October next year while IKA seeks someone willing to sign a long-term lease.
The deal also means that 95 percent of the staff ? reported to number about 120 people ? will retain their jobs until October.
The Makedonia Palace, which is situated on the Thessaloniki promenade just a few meters from the northern city?s famous White Tower, has almost 300 rooms.
It is the temporary home of the Greek prime minister and cabinet when they attend the Thessaloniki International Fair each year, and the resting place for celebrities from the world of cinema who attend the city?s annual film festival.