The rebirth of Piraeus: What’s next for the port city and investors
New investments in the area of Piraeus are building on the transformation the area has seen in recent years.
The next wave of infrastructure projects set to take place in the port district, some 10 kilometers southwest of the city center, is adding to Piraeus’ appeal.
Among the next batch of ventures in the pipeline is the construction of new sports and cultural facilities, along with housing projects, following the recent introduction of key transport infrastructure projects.
The building of three new underground metro stations – Maniatika, Piraeus and Municipal Theater (Dimotiko Theatro) – in Piraeus has sharply shortened commuting times for those travelling from the port district to the city center and the Athens International Airport. The Metro system may be the preferred mode of public transport in Athens but Piraeus is also served by buses, the ISAP urban train to Kifissia, the suburban Proastiakos railway and the tram network.
These projects not only helped improve access to the area but also reduced traffic in one of the busiest parts of Attica (broader Athens).
From industrialisation to trendy hotspot
Piraeus, which accommodates the country’s largest port, was once heavily industrialized. Many local and small businesses focused on shipbuilding, manufacturing, textiles and food industries but have since shut down. After being dismissed by many as being only a transit point for travelling to the country’s islands, Piraeus has now shaped a new identity.
Among the first investments that helped put Piraeus back on the map was the Piraeus Port Plaza in Agios Dionysios. Here the former facilities of tobacco company Papastratos were turned into a mixed-use site including sustainable and innovative offices. It was one of the first major real estate developments to be completed as the country emerged from its debt crisis and the site provided a major boost to the broader area.
More major property projects quickly followed such as the renovation of the Piraeus Tower, Greece’s second-tallest building, and investors were paying close attention.
Knock on effect, residential boom
As one would expect, Piraeus’ growth as a business hub has created fresh demand for residential quarters. This is a segment of the market which has seen a strong increase in business activity strengthened by a growing number of entertainment, sporting and education options at hand.
Piraeus is home to private international schools (International School of Greece and the International School of Piraeus) and the University of Piraeus while healthcare options are also available at Tzaneio Hospital (public) and Metropolitan Hospital (private).
Waterfront cafes, picturesque marinas and a buzzing cultural scene are attracting more and more people to an area where apartment prices, however, remain below levels seen elsewhere in Athens.
Selling prices range between 2,000-2,500 euros per sq/m in Piraeus, second quarter data shows, rising by up to 7.5% on an annual basis. This compares with 4,052 euros per sq/m in the nearby southern suburbs and 3,296 euros per sq/m in northern Athens.
Buying opportunities, asset management
Piraeus is also proving to be popular with non-EU residents applying for Greece’s Golden Visa program. The large number of properties being switched from industrial to residential use provides opportunities for foreign buyers looking to take advantage of the lower investment threshold offered by the Greek program. Greek law specifies that non-EU residents can benefit from the country’s residency-for-investment program from as low as 250,000 euros if the purpose of the asset being invested in is switched to residential use.
Otherwise, those opting for real estate in high-demand areas, such as Attica and Thessaloniki, as well as Greek islands with a population of over 3,100 inhabitants are required to make a minimum investment of 800,000 euros to qualify for the program. Outside of these districts the minimum investment amount has been set at 400,000 euros.
Varnavas Law Firm has been expertly helping clients navigate through this process for more than 45 years. We also provide asset management services to our clients from more than 50 countries, helping them get maximum value out of their investment on a long-term basis.
More changes to take place
Another key investment that is being closely watched is the expansion of the Piraeus port facilities to accommodate larger cruise ships. The southern extension of the port’s passenger terminal will create two berths for the new generation of cruises, each over 280 meters in length, in an investment exceeding 130 million euros.
Also in progress is the construction of new courts in Agios Dionysios – a key project expected to provide the broader area with a lift. It will house nine courtrooms, accommodating some 1,200 staff members in an 80 million euro project expected to be completed around the middle of 2026.
Furthermore, the revamping of the Votsalakia beach area was completed this summer in an investment that included the construction of new sports venues (five-a-side football pitch, tennis courts and beach volleyball). This comes after the port of Mikrolimano – an area which attracts many local and international visitors – was recently made more user-friendly with the addition of more pedestrianised areas and the reduction of traffic.
Please contact our team for any inquiries about the Greek Golden Visa and how you can start your process.
