REDS: Development of real estate portfolio is a priority

REDS CEO George Konstantinidis estimates that the capitalization of REDS, the subsidiary of the Ellactor group in the development and management of real estate, can be tripled from the current 110 million euros.

During the first press conference he gave after taking office, the head of the company noted the fact that the value of the listed company’s share is at the level of 2 euros, something that “hadn’t happened for many years,” as he noted. He attributed the comeback to the change of the image for the company by the investors after the changes in Ellactor but also to the issuance of the Presidential Decree for the utilization of the Kampas estate in the Mesogeia area.

As for the specific project, according to Mr. Konstantinidis, the investments in five years, when it will be fully developed will range from 150 to 200 million euros, while the administration has started the process of updating the master plan as five years have passed since it was first prepared. Mr. Konstantinidis made it known that in four to five months from today it will have been updated, clarifying that it will not concern the uses but the way of their utilization. Following the announcement of the final master plan, he estimated that it would take a year for the licenses and the project would be completed in a total of four years from the aforementioned stage.

The CEO of REDS claimed that both Kampas and the other properties that the company intends to develop will be financed by banks as well as by other investors to whom the Ellactor subsidiary will turn for collaboration.

“Our primary goal is the development of the existing portfolio of projects”, stressed Mr. Konstantinidis, but without ruling out the use of other opportunities. In fact, when asked if REDS is interested in participating in the HRADF tender for the concession of the property in Gournes, Heraklion, he replied that “we are interested and we are considering our participation”.

He also referred to the work of the Alimos Marina that REDS has undertaken after the contract signed with the HRADF, noting that the works are in full swing: “For two years the landscaping of the Marina is foreseen and for the next two years the completion of the investment”, noting that “the project will be a reference point on the developing ‘Riviera’ of the coastal front of Attica”.

Regarding the sale of the property in Romania, Mr. Konstantinidis said that “the decision is valid”, noting that “its availability is being considered from the beginning”, leaving open the possibility of discussions with more investors.

Regarding the property at Plato’s Academy, the CEO said that the company is waiting for the decisions of the government and the Ministry of Culture for the expropriation.

Finally, regarding the course of Smart Park, Mr. Konstantinidis said that after the removal of the lockdown, the turnover of the stores is returning. As he said, the traffic has multiplied. 8,000 visitors visit the venue daily and 20,000 on Saturdays and Sundays.