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Last Update2025-06-30
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Positive Impacts (7)
Event Overview
Goldman Sachs has divested its investments in three luxury seaside resorts on Greece's Halkidiki peninsula, citing rising costs and permit delays. The properties, purchased in 2022 for 100 million euros, were sold at a loss. Meanwhile, Sani/Ikos Group, backed by Singapore's GIC, acquired the resorts to develop Ikos Kassandra, a 750-room all-inclusive luxury resort, as part of a 1 billion euro expansion plan. The move reflects post-pandemic demand for premium tourism.
Event Timeline
Goldman Sachs Exits Greek Hotel Investments as Sani/Ikos Group Expands Luxury Hospitality
Goldman Sachs has officially exited its investment in three seaside resorts located on the Halkidiki peninsula in northern Greece, marking a significant retreat from the luxury hospitality sector. This divestment is indicative of broader trends affecting institutional investors as they reassess underperforming real estate ventures amid rising construction costs and shifting market dynamics. The hotels, which include Athos Palace, Pallini Beach, and Theophano Imperial, were initially purchased by Goldman in 2022 for around 100 million euros, with plans to transform them into a luxury resort complex. However, by April 2025, Goldman faced insurmountable challenges such as inflation in renovation costs and prolonged delays in obtaining necessary permits, leading to a sharp increase in projected expenses, which stifled profitability. Ultimately, they sold these resorts at a loss, having barely broken even on their original investment.
Simultaneously, the Sani/Ikos Group has seized the opportunity to acquire these resorts, representing a strategic shift towards valuedriven sectors within the luxury tourism market. Backed by Singapore's GIC sovereign wealth fund, Sani/Ikos plans to redevelop the properties into the Ikos Kassandra, a luxurious all-inclusive resort boasting 750 rooms, scheduled for opening in 2029, as part of a broader 1 billion euro expansion plan over five years. This move exemplifies the potential for growth in the luxury segment, reflecting increased post-pandemic demand for premium tourism, evidenced by a 52% occupancy growth reported at existing Sani/Ikos resorts in 2022 compared to 2021. With a focus on sustainability and cost efficiency through an all-inclusive model, Sani/Ikos is poised to capitalize on the evolving hospitality landscape as it moves forward with its expansion plans.