Greek real estate company Lamda Development has sold a significant portion of land within its Ellinikon urban regeneration project to Skiti Enterprises Company for €120 mln.
The transaction involves land plots zoned for residential, office, and educational development in Athens, Greece.
The land plots near the Glyfada Golf Club have a total maximum allowed buildable area of 85,658 m2. The permitted uses include residential development (30,000 m2), office space (35,658 m2), and an international curriculum school (20,000 m2).
Additionally, the agreement stipulates that the buyer will cover the cost of infrastructure development within the land plots, in addition to the construction costs of the educational institution.
George Prokopiou, the owner of Skiti Enterprises Company, said: ‘The key features of our investment will be based on our sensitivity towards construction design, respecting the Greek architecture as well as the existing design of the Ellinikon project. We wish to contribute to the company's vision of creating a paradigm lifestyle for The Ellinikon residents, with open green areas, in a smart city that fosters tranquility through sustainable, environmentally focused designs.’
Odisseas Athanasiou, CEO of Lamda Development, added: ‘We are particularly happy to have completed the second part of our strategic cooperation with George Prokopiou who shares our vision for The Ellinikon, the new smart, green, and modern city which we are already developing.’
As of 30 June 2024, the Lamda Development Group's land plots had a total book value of approximately €37 mln.
This transaction is expected to accelerate the pace of development at Ellinikon and contribute to the project's overall profitability. Lamda Development anticipates recognizing an accounting profit before taxes of approximately €82 mln from the sale.
The total book value of the land plots at the Lamda Development Group level on 30 June 2024 amounted to approximately €37m.
In July 2024, Lamda Development sold five residential plots, which takes the cumulative cash proceeds from property sales to €226 mln, with a total accounting gain of €158 mln.
