Lamda Development reports contract breach in Athens Hellinikon project
"The company remains, from the beginning, committed to the conventional texts it has signed with the Greek State. The company has no other choice but to demand the same from the other parties, as this is the only safe way for the successful completion of all the sects and the start of the project," Lamda Development noted in a statement released on Friday.
In the announcement, referring to developments in the Hellinikon project, the company stressed: "Continuous overturning of the agreed and ratified by the Parliament framework or the continuous rise of new barriers creates a climate of endless and incomplete negotiation, violates the necessary climate of trust and raises multiple and legitimate questions about several issues."
As per the recent Decisions of the Ministry of Culture regarding the delimitation of the archaeological area and the enforcement of sixteen conditions for the Integrated Development Plan (IDP) to be approved, Lamda Development S.A. (the Company) announced the following:
"Concerning the archaeological area:
All the archaeological findings located within the site had been previously communicated to the nine prospective investors that participated in the International Public Tender that took place in 2011. Subject findings resulted from the works that were conducted up to this point, both during the Airport construction and also during the deployment of the Olympic Games facilities, the Metro and Tram construction.
The result of the above mentioned works was the delimitation of the archeological area solely in the area of Agios Kosmas. The Company took all the above into serious consideration and included the listed archaeological findings in the development plan, aiming to protect and promote them, as required for an investment of this magnitude. Simultaneously, the Contract, as was ratified by the Greek Parliament in September 2016, includes specific arrangements in case of new archaeological findings, while at the same time the laws pertaining to archaeological monuments still prevail.
Nevertheless, besides the fact that there are no new findings, the Ministry of Culture declared a new archaeological area.
Therefore, even if the first Contract (November 2014) and the Amendment Contract (July 2016) have been signed and ratified by the Greek Parliament in September 2016, the Company faces an unexpected change in the contractual agreed terms, which adversely affects the Integrated Development Plan (IDP).
This change essentially affects an integral part of the development, it escalates materially and in a non-predicable way the perils from bureaucracy, while it creates further significant obstacles and does not promote further investments.
The uncertainty from the above described situation is further worsened given that the Ministerial Decision practically cancels the already signed "Memorandum of Understanding" that had been previously approved by eleven Ministers participated in the Government Cabinet of Financial Policy.
With respect to the enforcement of sixteen conditions on the Integrated Development Plan (IDP):
The Contract, ratified by the Greek Parliament explicitly mandates as a prerequisite for the transfer completion of the shares of Hellinikon SA, the approval of the Integrated Development Plan "in the exact form as was submitted" by the Company during the Public Tender process. The Ministerial Decision imposes sixteen (16) new conditions. Thus, further overthrows, gaps and ambiguities are being raised and set the ground for future arbitrary interpretations of the law (irrespective of their origin).
It is evident that the investment cannot be materialized as long as continuous setbacks and new obstacles lead to amendments in the Development Plan in various ways that are not provisioned in the Contract.
More specifically, the Ministerial Decision includes terms and conditions pertaining to buildings? height constraints. While the legislation based on which the Development was designed, allowed for the construction of a significant number of tall buildings, with no height constraints, the Ministerial Decision demands the review of the buildings? height and thus alters the commitment of the laws to the Investors. It is important to mention that the tall buildings of the envisaged development constitute one of its landmark elements, aiming to render Athens into a major modern tourist destination.
As expected, all the above-mentioned reversals and inconsistencies and the constant creation of new obstacles, overturn the necessary trust between the parties. Simultaneously, they raise concerns regarding the possibility of the materialization of the development, the necessity of which is officially declared by the State and it is undoubtedly regarded crucial from all parties.
In conclusion, the Company remains committed to the signed contractual documentation with the Greek State. The Company has no other option but to require the necessary commitment from the other parties since this constitutes the only safe roadmap for the satisfaction of all the prerequisites and the Project launch. The continuous overturn of the already agreed and ratified by the Greek Parliament framework, and the new obstacles raised, set the basis for a continuous and never-ending negotiation, violates the necessary trust between the parties and further raises arguments for a series of matters."
Read more here.
RELATED TOPICS: Greece, Greek tourism news, Tourism in Greece, Greek islands, Hotels in Greece, Travel to Greece, Greek destinations , Greek travel market, Greek tourism statistics, Greek tourism report
Source: ANA-MPA
- 1) Thessaloniki Port: Performance growth for 2023 with record container throughput
- 2) LAMDA Development malls and marinas reach new record high
- 3) IOBE: Construction sector in Greece records robust growth and good prospects
- 4) PM at Economic Club of Canada: Greece is an attractive investment destination
19/04 01:29
Athens State Orchestra presents 'St. Matthew's Passion' by Bach on April 30th
18/04 21:49
Greek Climate Change Minister signs memorandum for Attica fire protection zones
18/04 20:32
'Easter Basket' and 'Godparents basket' to be put into effect next week in Greece
18/04 20:17
18/04 17:40
17/04 21:06
Thessaloniki Port: Performance growth for 2023 with record container throughput
17/04 20:57
Traffic regulations imposed in Athens for the 41st Peace Marathon on Sunday
17/04 20:52
17/04 18:15
Greek Foreign Minister addresses the 9th Our Ocean Conference in Athens
17/04 17:12
16/04 21:02
NHM hosts the Trial of Pericles at the Harris Theater in Chicago on April 17
16/04 20:17
Greece will invest $830 million to protect marine biodiversity
16/04 01:46
New York Greek Independence Parade honors 1821 and solemn Cyprus Anniversary
16/04 01:35
Olympic Games Paris 2024: Olympic Flame to be lit at Ancient Olympia in Greece
16/04 00:29
European Committee of Regions and UN release study on Rural Tourism
15/04 20:41
15/04 19:58
Minister: Greece is transforming into a hub for exporting quality agri-food products
15/04 18:51
Greek Environment Minister meets Chinese Deputy Minister of Natural Resources
13/04 00:13
UN Tourism and Croatia to launch Research Centre for Sustainable Tourism
12/04 00:03
2024 marks a critical year in the enduring strength of Greek-German relations
12/04 00:00
11/04 22:07
Ambassador: US committed to upgrade of Greek military and support NATO's SE flank
11/04 19:40
Hellenic Pride on display at rainy Chicago Greek Independence Day Parade
11/04 02:06
Delphi Economic Forum IX: Energy collaboration a 'key' in Greek-Bulgarian relations
11/04 01:58
UN Tourism launches investment guidelines for Albania sector
10/04 19:01
Greek FinMin: New package of economic measures in 2025 to lower taxes, raise pensions
10/04 18:25
Greek city of Nafplion hosts Mediterranean Yacht Show for ninth year running
09/04 23:57
Greek PM on Tilos: Innovative projects for a cyclical economy are of key significance
09/04 23:55
UN Tourism members promote agenda for Europe as region leads global recovery
09/04 23:46
HFS presents 1968, Rousing Docudrama about Greece’s First European Cup April 21
09/04 22:48
Stolen 7th-century BC oenochoe returned to Greece by Hanover museum, municipality
09/04 22:42
Greek civil servants confederation ADEDY to strike on May 21
09/04 21:55
Greek Migration Minister meets Senior US Coordinator for Lawful Migration
08/04 23:48
08/04 23:41
Elliniko-Argyroupoli Mayor marches in Greek Independence Philadelphia Parade
08/04 21:53
Project Voria casino complex in Maroussi moving ahead after environmental report
08/04 21:36
Minister: Up to 120 delegations to take part in 9th Our Ocean Conference in Athens
08/04 19:22
Direct flight from Shanghai to Athens offers access to key tourism market for Greece
08/04 18:31
AI conference to attract distinguished speakers to Thessaloniki on April 25-27
04/04 23:28
City of San Jose marks March 25 with 16th Annual Greek Flag Raising Event
04/04 22:16
Urban plans published for seven townships in Thessaloniki and Attica of Greece
04/04 17:24
FinMin: The new EU economic and fiscal framework is good for Greece
04/04 15:30
Greek PM meets with the chiefs of the international pharmaceutical manufacturers
04/04 00:15
Deputy Minister for Macedonia-Thrace meets US Embassy Deputy Mission Chief
03/04 20:12
Syracuse AHEPA Chapter 37 marks March 25th Greek Independence Day
03/04 18:10
Greece's Delphi Economic Forum on April 10-13 to focus on 'The Great Transition'
03/04 16:42
Minister: Industrial production has returned to the pre-crisis levels in Greece
02/04 18:06
30/03 23:21
Eleni Gatzoyiannis scholarship offered to Greek students at Boston University
29/03 16:44
3rd edition of 'This is Athens - City Festival' with 250+ events from May 1 until June 2
29/03 15:53
Athens Metro station Aghia Varvara to stay closed on Saturday and Sunday
29/03 13:55
Greek Foreign Minister for Economic Diplomacy concludes visit to Montenegro
29/03 12:00
29/03 11:51
28/03 18:41
Attica Region to channel 640 bln euros to services of vulnerable and disadvantaged groups
28/03 17:32
Greece to auction three-month T-bills on April 3, 2024 in a book entry form
28/03 15:46
Greece's Meteora Pyli Geopark added to UNESCO Global Geoparks network
28/03 14:44
IPTO announces framework agreement tender for undersea power cables in Greece
28/03 11:49
IOBE: Construction sector in Greece records robust growth and good prospects
26/03 23:51
St. Thomas Hellenic School honors 1821 and the Feast of the Annunciation in NJ
26/03 21:59
PM at Economic Club of Canada: Greece is an attractive investment destination
26/03 17:56
Greek State budget primary balance reaches a surplus of 3,378 million euros
26/03 11:45
Ancient Messene to get upgraded visitors' facilities after approval by Council
23/03 17:43
New requirements for 'Golden Visa' program to kick in on March 31
23/03 16:49
Athenians continue to head out of the Greek Capital for March 25 long weekend
23/03 16:47
Greek Parliament lights to be turned off for Earth Hour 8:30-9:30 pm
22/03 21:54
US President on Greek Independence Day: Alliance with Greece stronger than ever
22/03 19:51
High diplomacy and geopolitics at Delphi Economic Forum IX in Greece
22/03 19:32
Tax authorities enable payments with foreign bank cards in Greece
22/03 14:19
22/03 00:24
Greece ranks first on list of countries with fastest business environment progress
22/03 00:02
Hellenic Police acquires first electric VAN-type highway patrol vehicle
21/03 22:41
21/03 15:33
Unseen Museum presents "The stele of the twin babies" exhibition in Athens
20/03 22:48
Health Minister: 95% of Greek hospitals to perform afternoon surgeries
20/03 21:52
Greek Deputy Minister of Justice meets delegation from US Embassy in Athens
20/03 21:44
Greek Interior Minister to visit United States and Canada on postal vote
20/03 20:55
Philadelphia Icarians mark 85th Anniversary and organize Apokriatiko Dance
20/03 18:01
Development Minister: We continue the battle against high prices in Greece
19/03 22:28
President of the Hellenic Republic meets her Ethiopian counterpart in Athens
19/03 20:57
19/03 20:25
FinMIn: Moody’s analysis records significant progress in the Greek economy
19/03 11:15
Sector chiefs report: Good news for Greek tourism in 2024 at ITB Berlin
18/03 22:20
American Hellenic Educational Progressive Association honors Past Supreme President
16/03 13:01
Greek Deputy Foreign Μinister meets her Slovenian counterpart in Athens
16/03 12:56
Greek-Canadian Diaspora to welcome Greek Prime Minister to Toronto
16/03 11:28
Greek Migration Minister visits refugee hosting facilities in Kavala, Drama and Serres
15/03 21:50
Greek Minister announces conference on defence ecosystem in Athens from Lithuania
15/03 13:45
PM: More than 80 hospitals and 156 health centres being upgraded in Greece
15/03 12:55
Piraeus Port and Genoa Chambers of Commerce ink memorandum of cooperation
14/03 23:43
President of Hellenic Republic meets Prime Minister of Slovakia in Bratislava
14/03 22:58
American Express report highlights Global Travel Trends during 2024
14/03 22:52
Four hospitals in Attica Region already organizing afternoon surgical procedures
14/03 22:49
US Ambassador to Athens: More flights from the United States to Greece and Thessaloniki
14/03 22:43
Greek archaeologists discover ten ancient shipwrecks off Aegean island of Kasos
14/03 19:32
No new intubations for Covid-19 recorded in Greece for the first time
14/03 18:36
Extra road safety measures adopted for Greek pre-lent carnival and Clean Monday
14/03 14:48
14/03 12:54
Electric buses to be deployed on the streets of Athens and Thessaloniki by May
13/03 22:23
'Easter Basket' and 'Godparents basket' to be put into effect next week in Greece
Greek Climate Change Minister signs memorandum for Attica fire protection zones
Athens State Orchestra presents 'St. Matthew's Passion' by Bach on April 30th
Traffic regulations imposed in Athens for the 41st Peace Marathon on Sunday
Greek Foreign Minister addresses the 9th Our Ocean Conference in Athens
Thessaloniki Port: Performance growth for 2023 with record container throughput
Olympic Games Paris 2024: Olympic Flame to be lit at Ancient Olympia in Greece
Greek Environment Minister meets Chinese Deputy Minister of Natural Resources
Greek Deputy Transport Minister flies in first test seaplane flight from Lavrio port
Greece will invest $830 million to protect marine biodiversity
NHM hosts the Trial of Pericles at the Harris Theater in Chicago on April 17
Greek Deputy Culture Minister and Indian ambassador talk cooperation in film sector
Minister: Greece to support Bulgaria and Romania in joining the Schengen zone
Greek tax service AADE launches updated website new section on expatriates
Hellenic Film Society organizes traditional Vasilopita Cutting on January 28
European Committee of Regions and UN release study on Rural Tourism
Sailing from ports of Piraeus and Lavrio back to normal after high-velocity winds end
St. Thomas Hellenic Afternoon School marked the Feast Day of the Three Hierarchs
Yale University students visit The Εllinikon Experience Center in Greece
Weather with heavy rain and storms in Greece as of Sunday night