Lamda Development has announced it is issuing a cash call for up to 650 million euros to take over the “Hellinikon Project” making it 100% Greek-owned after international investors withdrew interest in the new development at Athens former airport.
Lamda Development plans to turn the abandoned site in Greece’s capital into a complex of luxury residences, hotels, a yachting marina and casino at a total cost of about 8 billion euros.
The Greek development company had previously said it was in discussion with Chinese and Gulf potential investors, however, on Wednesday they announced plans to call an extraordinary shareholders meeting for a share capital increase up to 650 million euros.
“The national character of this project and the management control structure it involves, in conjunction with the demanding timetable for the commencement of the development, did not allow an agreement to be reached,” Lamda said in a statement.
“Therefore, Lamda Development undertakes 100 percent of the visionary Hellenikon Project. Strategic partnerships in relation to the shareholder structure or individual developments will be announced in the future as part of the ongoing strategy of the company and the international scale of the project.”
Lamda Development stressed it is ready for the commencement of the largest urban development project in Europe, with significant impact on the Greek economy, entrepreneurship and local communities.
According to the company’s vision, the Hellinikon is much more than an investment, it is a big step forward for Greece, a project that will turn Athens into a global investment, tourism, entertainment, and cultural destination.
The landmark project had faced several bureaucratic hurdles in recent years, however, Greece’s newly elected New Democracy Party announced the government will take all the necessary steps to ensure the project moves along quickly.