Hellinikon Project Facing More Delays Due To Government Change

Plans for the first Greek integrated casino resort outside Athens received both green and red light this month. The good news is followed by the bad ones, but the Greek government promises to resolve the issue promptly.

According to plans, the project entails the building of the €8b integrated resort on the site of Athens’ former international airport. It will be the first resort for gamblers outside the capital, but its development has hit a few bumps in the road.

At the beginning of the year, the Greek Gaming Commission updated regulations, but that doesn’t affect the current events regarding Hellinikon. The main issue is the change in the country’s government which caused yet another delay.

The Bright Side

Last week, the Council of State, who is the country’s highest istrative court, rejected a series of objections filed against the project.

Local residents are opposing this ambitious venture…

… claiming that buildings will spoil their ocean view.

Since the project consists of six ‘landmark’ buildings, each of which will top out at around 200 meters tall, the resident antagonism isn’t surprising.

Greece’s Archaeological Service also filed a complaint, invoking the right to veto certain aspects of the project.

However, the court also rejected those objections. Its explanation was that the former airport doesn’t hold any special aesthetic or historic importance.

Not Good News

While rejecting the objections is good news for the Hellinikon project, there is also some major bad news which can further delay the project.

The issue is confirmation that tender for the project’s lone casino license will now be extended through August, maybe even into September. The original deadline for casino operators to submit their bids was originally April 22. This date has repeatedly pushed back four times now.

The most recent deadline was July 31, but the country’s snap national election on July 7 changed that course. New Democracy party winning an outright majority, and Development Minister, Adonis Georgiadis, said the new government would do what it takes to ensure the project got underway this year.

Georgiadis said his department was cooperating closely with his counterparts in the Ministry of State in order to eliminate the remaining obstacles, including the long-delayed release of the three ministerial decisions required for the project to go forward.

Throwing the Ball in the Other Court

The previous government tried to blame the delays of the project to its developer, Lamda. An allegation was made that the company’s CEO strongly rejected, emphasizing that Lamda had submitted all its required paperwork back in February.

Georgiadis said the government’s goal was to issue the ministerial decisions in August “to be followed by a tender for the casino.”

The Minister also added that the new government remained “optimistic” …

… as well as that it would be completely able to deliver on its promises.

Despite the complexity of the issues facing it, he is certain that new establishment will be more than capable to resolve them promptly.

So far, the only casino operator to have formally declared its Hellinikon intentions is Mohegan Gaming & Entertainment (MGE). The operator announced a t venture bid with Greek construction giant, GEK Terna, for the 30-year monopoly casino license.

While the Hellinikon wait for the new government to take charge and “push” the project into the right direction, residents are happy about every delay, hoping that will prolong or even stop this venture completely.

Source:

“New Greek gov’t promises swift action on Hellinikon casino project”, calvinayre.com, July 23, 2019.