Hospitality Newsletter

According to the latest data from the Bank of Greece (up to November 2024), Greece welcomed 35 million international tourists, marking an increase of 9.7% compared to 2023 and 28.7% compared to 2022. These visitors spent € 20.2 billion (excluding the cruise sector), surpassing the € 20 billion threshold for the first time. This represents a 3.8% increase compared to 2023 and 18.5% compared to 2022. Spring and autumn were particularly strong periods for tourism.

The cruise sector contributed an estimated €1.1 billion in travel receipts, reflecting a 31% increase YoY. Preliminary data from Greece’s largest cruise port, Piraeus, indicates 810 cruise ship calls and 1.7 million cruise passengers in 2024, of which 1 million were homeport passengers.

International tourists primarily arrive by air. In 2024, 29.2 million international passengers arrived at Greek airports, reflecting a 9.8% increase from 2023 and 23.9% from 2019. About 38% of these passengers arrived at Athens International Airport. However, not all were foreign visitors: ~28% were Greek residents, leaving approximately 8 million non-resident passengers. This group recorded double-digit growth YoY (2024/23), except during June, July, and October.

According to Eurostat, the Athens International Airport ranked 8th among EU airports in terms of commercial flights, with Amsterdam at the top, followed by Paris (Charles de Gaulle), Frankfurt, Madrid, Barcelona, Munich, and Rome (Fiumicino).

The top 10 airports depicted below account for 94% of total international traffic. In 2024, Athens and Rhodes recorded double-digit growth in international arrivals compared to 2023, while Heraklion and Zakynthos saw double-digit growth in domestic arrivals, which includes international tourists transferring from other Greek airports. Mykonos was the only airport to experience a decline in international arrivals (-4% YoY, 2024/23).

Arrivals by road increased by 15% YTD November 2024 compared to 2023, according to INSETE. However, road arrivals remain 2.7% below 2019 levels. It is noted that this year after 13 years waiting, Bulgaria and Romania have become full members of the Schengen zone. The two countries partially joined the Schengen area in March 2024, but open travel was restricted to those arriving by air or sea.

Based on our monthly hotel performance surveys, covering nearly 8 million room nights and € 1.8 billion in room revenue for city hotels and total revenue for resorts, room nights increased by 0.6% in 2024 compared to 2023, while revenue grew by 11.1%.

In Athens, the RevPAR increase was driven primarily by higher room rates and a moderate rise in occupancy. In Thessaloniki, RevPAR rose by 9.0% (2024/23), mainly due to increases in ADR. Other city hotels experienced a slight drop in occupancy, with mild ADR growth, leading to a RevPAR increase of just 1.3%.

Resort hotels recorded a 3.4% increase in occupancy (2024/23), while Total Daily Revenue per Occupied Room (POR) rose by 12.0%. Total revenue grew by 10.6% compared to 2023.

In January 2025 a new tourism bill was passed on the “establishment of specifications for short-term rental properties, environmental classification of accommodations, simplification of the process of establishing tourism businesses and more specific provisions for controlling and strengthening the framework of tourism infrastructure”.

The hotel sector remains critical of the new law, arguing that the STR market should either be classified as a corporate activity and subject to the same regulations as hotels (ensuring a level playing field), or be recognized as part of the sharing economy, where private owners can rent out a limited number of properties for a restricted period as per article 111 of law 4446/2016: 90 days per year or 60 days for islands with less than 10,000 inhabitants.

At the end of January 2025 it was reported that the E-Geo Easy Living Resort, previously known as the Atlantica Holiday Village Kos, will become part of Akti Hotels, a group controlled by Nikolaos Koutras. The 4-star resort, located in Marmari on the island of Kos has been renamed Akti Coast Club. The all-inclusive resort offers 4 restaurants, 5 bars, 4 outdoor pools, splash park and 342 rooms on 2 floors in 21 building blocks. The resort will be upgraded to 5-star. Total investment will reach € 58 million.

In December 2024, Goldair announced the acquisition of the Mykonos Flow Hotel through its subsidiary Sunrise Properties, which was established in the of summer 2024. The total investment amounted to € 12 million, with potential for future expansion. The 5-star hotel, located on Super Paradise Beach in Mykonos, sits on a 2.2-stremma plot and features 21 suites with private pools, a restaurant/bar, and a wellness center with a spa and gym. The hotel is managed by Hotel Brain.

Following the acquisition of the 5-star Grand Hyatt for € 235 million, Blackstone and Hotel Investment Partners (HIP) acquired the 4-star, 208-room Alexander The Great Beach Hotel in Halkidiki, which will be operated by Mitsis, marking their first presence in Halkidiki. Additionally, in November 2024, they announced the acquisition of the 5-star, 174-room Sunprime Miramare Beach in Rhodes, bringing HIP’s portfolio to 10 hotels across Crete, Corfu, Zakynthos, Halkidiki, and Athens, with a total room count of 2,639. It is noted that in the summer of 2024, the Nordic Leisure Travel Group (NLTG) entered a sale-and-leaseback agreement with Premia Properties, including the Sunwing Kallithea Beach Hotel in Rhodes and Sunwing Makrigialos & Ocean Beach Club in Crete.

In October 2024 it was reported that shipowner George Procopiou acquired a 33.75% stake in Apollo Investment Holdco SA for about € 150 million. Apollo investment is the owner of the luxury 303-rooms Four Seasons Astir Palace on the Athenian Riviera.

The Karatzis Group reached an agreement at the end of October 2024 for the acquisition of the 5-star, 413-room Aldemar Knossos Royal resort in Hersonissos, Crete for € 80 million. The resort is set to undergo renovations, to be completed by 2026.