Greek Islands for Sale: Oh, Not Again…. tagged: , , , , , , , ,

Greek Islands for Sale: Oh, Not Again….

Posted by keeptalkinggreece in Economy

Long before German MP proposed the Greek state should sell islands to overcome the huge debt, some private investors had already this idea and tried to materialize it. Bloomberg’s Businessweek argues that all these “I-buy-Greek-island” initiatives failed due to legendary Greek bureaucracy. 

“6,000 sun-soaked islands, most of them in private hands and a value between €3 million and €150 million” claims  Bloomberg discouraging you to invest at the same time, then you would need some “2,500 licences ”.

Bloomberg cites the example of multimillionaire Antoine Maalouf, who “ arrived at the offices of the Greek Tourism Minister with an unusual request: He wanted to buy a Greek island. The 63-year-old general director of the Monaco-based investment company MMC Group slid €15 billion, in the form of guarantees issued by some of the largest financial institutions in the U.S. and Europe, across the mahogany conference table, right under the minister’s nose.”

Greek Minister: My Blessing, Mister!

Antoine Maalouf wanted to buy the island Patroklos, called “Donkey-Island” by fishermen. Maalouf also wanted a guarantee letter by then Tourism Minister Fani Palli-Petralia of former Karamanlis-government.  Here is the dialogue they had:

““All I needed to start was a letter that promised government assistance in overcoming Greece’s ridiculous bureaucracy,” Maalouf says. “I wanted commitment, an official written commitment.”

In response, Maalouf claims, Tourism Minister Fani Palli-Petralia said: “The Greek government gives you its full support,” and, “you have our blessing.”

“So, you will give me the letter?” Maalouf repeated.

“What?” Palli-Petralia asked him. “You don’t trust the government of Greece?” 

Another Greek  Las – Vegas project

Long before Qatar’s controversial plans to turn the Hellinikon area into a Greek Las-Vegas, Antoine Maalouf  had a similar idea.

“Maalouf’s idea was simple. He and his investor group would pay €120 million for Patroklos Island—a barren 1,000-acre strip in the Saronic Gulf nicknamed “Donkey Island” by fisherman—and construct a Las Vegas-style theme park. It was a short boat ride from Athens, and Maalouf planned to pack it with casinos, golf courses, luxury accommodations for 50,000 people, and a marina for thousands of yachts. The project would employ 8,000 Greeks at a time when the country was hurting for jobs. Donatella Versace had signed on to build a luxury hotel.”

But Maalouf’s  Donkey- Las Vegas  development project died…

What I learned out of this story? That Antoine Maalouf is a development pioneer but he failed in terms of  development … diplomacy!

As I hate to comment on several pages long internet articles, please, read further For Sale: Greek Islands

If you insist on buying a Greek island to help our poor economy, check here