Greece: Real Estate Value Can Underpin Greek Recovery
December 1, 2011
The economic difficulties in Greece have been high on the news agenda over the past couple of months. Whilst the eurozone leaders and the IMF agreed to provide financial support, Greece had to make a firm commitment to reform and has already created a new coalition Government.
George Kaburopulos, Dorian Capital Partners Principal, and ULI National Council Chair Greece & Cyprus, said: “We are committed to the Euro, we are committed to cutting public expenditure and we are committed to privatising some of our public organisations. The part that public real estate will play in this is immense. The proposals currently focus on the sale of public real estate valued at between 200 and 300 billion euros, and it could be even more.
“Attracting investment will not be difficult. We are already in discussion with investors from the Middle East and from Northern Europe, but the success of this will depend on finding the right joint venture partners, and maximising the opportunities that we are being offered.
“Private Public Partnerships are a good vehicle for boosting investment, and backed up by local communities they can have a direct and positive impact on living standards, job creation and growth. They are being financed by the Jessica program and other EIB financing tools with participation from the private sector and together with the influence of foreign investment, they could potentially allow Greece to rebuild its economic engine, pay its debts and bring real benefits to local communities.
I am reminded of the discussion hosted by Greg Clark at the ULI Investing in Cities Conference in Athens in September, which amongst its conclusions found that during times of crisis some of the best urban regeneration projects have been implemented. Ultimately this crisis will enable us to compete as a credible European nation on the world stage.”