Greece Enters the Global Tech Map
Greece is taking a significant step in innovation and technology through a strategic partnership between Lamda Development and global fintech powerhouse ION Group. The investment, expected to exceed €1.5 billion by 2030, positions the Ellinikon project as a major technological hub in Southeastern Europe.
The deal involves the creation of an International Research and Innovation Center at the former Athens airport, aiming to transform Attica’s coastline into a Mediterranean “Bay Area”—a vibrant center of tech and entrepreneurship.
A Next-Gen Campus at The Ellinikon
The new ION Group technology campus will host approximately 2,000 professionals from 44 countries, spread across two separate zones within the broader Ellinikon development, with total buildable space reaching up to 250,000 sq.m.
- Office & Event Spaces: At least 50,000 sq.m. will be dedicated to modern office facilities and a 1,000-seat auditorium designed for international events, located in the northern part of the site.
- Residential Zones: Around 200,000 sq.m. of residential developments will be built in distinct plots to house ION employees, further expanding the urban fabric of the new smart city.
The preparation, permitting, and planning of the plots will be handled by Lamda Development. These new residential units will be in addition to the 1,000 homes already planned in the project’s first phase.
lamda
Beyond Real Estate: The Ellinikon as a Hub for Innovation
This agreement marks a shift in the identity of The Ellinikon—from a real estate development to a destination for innovation and tech investment. Sources indicate ION Group aims to attract further international capital, potentially catalyzing more developments across the site.
The deal is seen as the foundation for Ellinikon’s future Business District, fulfilling a key objective of the project’s original masterplan.
Why Pignataro Chose Ellinikon
Italian billionaire Andrea Pignataro, founder of ION Group with a net worth of $35.7 billion (Forbes), considered multiple sites along the Athenian Riviera, including Anavyssos, but ultimately chose Ellinikon due to the maturity of the project and Lamda Development’s strong outlook.
Key factors behind the decision:
- New tax incentives for R&D and innovation introduced in late 2024
- Microsoft’s Data Center Region investment in Eastern Attica
- Growing international investor confidence in Greece’s tech ecosystem
Financial Impact: Strong Cash Inflow for Lamda
The agreement will bring €450 million in fresh capital to Lamda Development, strengthening its liquidity position, which stood at €652 million as of end-May.
ION Group will invest over €1 billion to develop the campus within the next five years and will also acquire a 2% equity stake in Lamda Development—a clear vote of confidence in the megaproject.
According to Axia Ventures, Lamda is expected to realize a net profit of approximately €250 million from the transaction, or €1.41 per share, while maintaining a target price of €11.50 per share and reiterating its “Buy” recommendation.
Land Value Dynamics in Ellinikon
The deal underscores rising land values within the Ellinikon development:
- Average sale price so far: €2,250/sq.m.
- Previous deal with shipping magnate George Prokopiou (Sept. 2024):
- Residential plots: €2,100/sq.m.
- Office plots: €1,150/sq.m.
Axia notes that while land plot sales were already part of its financial assumptions, “the ION Group agreement is significantly larger than expected and will positively impact our cash flow projections, project valuation, and Lamda’s share price target.”
Source: pagenews.gr