Goldman Sachs is investing between €150 million to €200 million in three seaside resorts in the Halkidiki region of northern Greece, the Wall Street Journal has reported.
Spearheaded by the bank's asset-management division, the investment aims to rejuvenate the currently shuttered properties – bought last October - with the intention of welcoming guests within the next few years.
Goldman Sachs is also actively seeking additional properties in Greece and beyond as part of a wider plan to establish a brand for its hotel portfolio.
Why it matters
The bank’s plan to renovate and reopen closed hotels indicates a potential for increasing accommodation capacity and quality in the region, with its interest in Halkidiki highlighting the potential for growth in emerging tourism markets.
In 2019, Russian billionaire Ivan Savvidis invested €400 million in the development of Mirum Hellas, a luxury hotel and residential complex in Elounda, Crete and in 2021, Hotel Investment Partners, a subsidiary of Blackstone Real Estate, acquired the Elounda Blu hotel in Crete with plans to invest over €6 million to upgrade, transform and reposition the hotel to a 5-star internationally branded resort.
In 2022, Mediterranean Hospitality Venture (MHV), a joint venture of Papalekas Group, Prodea Investments and Invel Real Estate acquired the 4-star hotel Porto Paros on the island of Paros for over €50 million.
Foreign investment in the sector hit an all-time high in 2022, illustrating the increased interest in the country.