Housing prices in the residential project “Little Athens” Lamda Development kept on a steady upward course, reflecting dynamic demand for real estate in the Metropolitan Pole of Elliniko. Specifically, the price per square meter has increased by approximately EUR 1,000 compared to previous estimates, now reaching EUR 8,500, from EUR 7,600 in the previous presentation of the project.
The delay in the movement of new units, due to the redesign resulting from changes to the building regulation, has given the company the opportunity to optimize sales prices, taking advantage of the positive market potential, according to Apostolos Zafolias, Chief Strategy & IR Officer.
Group profit margins at Little Athens move at particularly high levels, between 36% and 44% before taxes and over -deduction of land and infrastructure, even exceeding the coastal zone. Despite the challenges created by increased demand and limited availability of workforce in the construction market, work is undergoing normally, with projects implemented by the company’s subsidiary, CBU presenting advanced timetable, thanks to effective internal management and flexibility. CBU has undertaken four projects within Masterplan, including Promenade Heights and three at Little Athens.
All of the sales and lease agreements in Elliniko correspond to revenue of € 1.77 billion, of which about € 900 million are expected to be collected by 2028 by projects already on the market. So far, cumulative revenue from residential and plot sales reach € 1.43 billion, up € 1.38 billion in the previous quarter and € 1.31 billion at the end of 2024, stressing the continued flow of proceeds.
The residential sector remains the main pillar of revenue, with revenue amounting to 790 million euros, while out -of -home sales and leases were raised to 390 million euros. The revenue of shopping malls, valued at € 240 million, remain steady.
As far as the implementation of the projects are concerned, the residential complexes in Elliniko are in full swing. The first housing complexes are expected to be completed by the end of 2026, with traditions starting in 2027 and continuing in succession in 2028, as new projects are gradually entering the market. A slight delay of 3-4 months in the new developments planned for May and June 2025 is attributed to changes in the Greek building regulation, which led to the redesign of the projects. Although this temporarily affected the rate of absorption of the units, the company is gradual to normalize, as Mr Zafolias stressed.
Significant investments have also been made in the area of infrastructure and building facilities, with a total CAPEX 644 million euros until the first quarter of 2025. Of these, 196 million euros have been directed to infrastructure projects, such as the underground crossing of Poseidon Avenue, while EUR 449 million is included in the construction of EUR 449 million. Experience Center (Hangar C) and the buildings for people with disabilities. At the same time, work on flagship projects such as the Riviera Tower Tower, the luxurious homes The Coves Residences, the Little Athens, the Sports Center and the Metropolitan Park are in full swing.
Finally, Lamda Development maintains a bank lending strategy steady, with its cash position already amounting to € 650 million, sufficient to finance current and future projects. Although debate on borrowing may be done for specific projects, such as shopping malls, at present the company is mainly based on strong cash flow from real estate.