Premia Properties: Investments of EUR 300 million – How Project Skyline progresses

Premia Properties ran over EUR 300 million in 2023, which was even 13% higher than last year. At the same time, the company, although having increased turnover by 26%, had a significant profit reduction, as of the 15.86m euros in 2022, reached 7.24m euros, decreasing 54%. At the time that the Skyline project has entered the final line, as well as the conversion of the former Athens Heart shopping centre into a “green” office building. Premia currently has a total of 41 properties of a total value of 260 million euros and another 10 school units of a total area of 36,505 sq mi, managed by the subsidiary JPA SA through a PPP contract, with the total value of the financial assets under the PPP Convention amounting to 36,79 million euros. The most important projects that AEPAP is currently running are the conversion of a former Athens Heart shopping centre into a new green building which will then be leased entirely to AADE. This project will be completed by June, while the investment will reach 30m euros. At the same time, a small piece of land has been acquired, on which another office space is already erected, which will communicate with the main building via bridge. It will host the highest management of AADE, while in the large complex there will be – beyond the offices – dining areas, even a gymnasium. By the end of the first semester the Project Skyline will also be completed in which the SNEAP participates. In Skyline Real Estate, which has been set up for the exploitation of a portfolio of 500 properties of Alpha Bank, Alpha Bank participates with 35%, while the remaining 65% is divided between Dimand, Premia Properties and most recently EBRD. The latter invested 15m euros last October in obtaining 9.75% of the new company. Accordingly, Premia has 16.25%, while the largest shareholder with 39% is Dimand, who will also take over the role of “maturation” of the relevant reconstruction and upgrade projects that will remain under Skyline Real Estate control. At the same time, the 102 serviced apartments will soon be officially completed after the reconstruction of the student home building, acquired by Premia at the end of 2022 in the city of Xanthi. It is a property of a total area of 5.253 sq.m. whose ground floor of the property will function as a commercial store. Also, important construction work was carried out on the properties located in Oraiokastro Thessaloniki with Leroy Merlin and Paiania with Pepco as a tenant. However, Premia recently came to the news, as she went into strategic cooperation with TEMES, focusing on wine tourism in Messinia. As announced, TEMES and Premia Properties agreed to create through a new investment of EUR 10 million a standard and modern winery, which is expected to operate within the next two years. In the first months of 2024, AEPAP went on to purchase a parcel in Mantineia Arcadia 2.135 sq.m. for a price of 20,000 euros. He also signed a contract for the sale of two plots in Paros for a price of 600,000 euros, while bought two properties in Tripoli and Athens for a price of 1.55m euros, through the newly established subsidiary of PANFIN S.A. With regard to the reduction in net profits by 54%, the report on financial results states that this is due to the lower gains from adjusting investment in real estate at fair value, as well as to higher financial costs and increased investment tax due to the increase in interest rates.