Greece seals 100-mln-euro project on Corfu island

ATHENS. February 2. KAZINFORM Greece sealed a 100-million-euro (136 million U.S. dollars) investment project on a seafront property on Corfu island, as part of a wider privatization program of state assets, aiming to resolve the country's debt crisis, according to Xinhua.

The Hellenic Republic Asset Development Fund (HRADF) announced on Friday the end of an international tender for the exploitation of the 500,000 square meters property at Kassiopi area on western Greece.

The U.S. based NCH Capital investment fund won the tender, offering 23 million euros for a 99-year concession of the right of surface to develop the real estate. The Greek state retains the ownership of the property, while NCH is bound to invest an additional sum of some 75 million euros for the development project.

Corfu is a traditional major tourism destination and the property's development is expected to create new jobs and boost the local economy, according to HRADF officials.

The total number of foreign visitors to Corfu exceeds 700,000 on an annual basis, according to the Greek Chamber of Hotels.

The successful agreement on the Kassiopi property is the first one HRADF strikes regarding large public real estate properties in the context of the privatization program and wider efforts to overcome the debt crisis which since 2009 brought Greece to the brink of default.

Greece's government intends to push through at least 11 sell-off projects by mid-summer 2013 to raise revenues and boost development under bailout deals with international lenders.

The debt-laden country aims to secure about 50 billion euros by 2020 through the privatization program.

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