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The New Faceof OLP(PIRAEUS PORT AUTHORITIES S.A.)Investor interest is expected toincrease after a ú35 million face-liftin the central port area surroundingPiraeus Port Authorities S.A (OLP)conference center is completed.Major Public Works Projects at Piraeus PortProjectEstimated Date of CompletionTrain station 2004Tramline May 2004Peace and Friendship Stadium interchange April 2004Tzanio Hospital (addition and structural support) December 2003Peace and Friendship Stadium (restoration) December 2003Underground parking lot (700 parking spaces) July 2004Port landscaping March 2004Port water supply network (modernization) December 2003New passenger station December 2003Hotel (Palataki) December 2004company wants to use the area surroundingthe marina as a recreationarea for residents and visitors. Themarina will have a capacity of 670boats through the use of floating piers.The Piraeus real estate marketFollowing the trend in other urbanGreek areas, in the last 30 years Piraeushas become a densely populatedcity, with 19,000 inhabitants persquare kilometer. In Stockholm, bycomparison, there are 4,000 inhabitantsper square kilometer. The denseconstruction, lack of open areas, andnewly-constructed blocks of flats, inaddition to traffic problems, have keptmarket demand for real estate in thecity center low. Prices have also remainedstagnant. The saturation ofbuilding in the area and changes in theport's suburbs have turned buyer interestto areas such as Keratsini,Drapetsona, Korydallos, Nikaia andNeapoli. On average, newly builtapartments cost ú1,600 to ú1,760 persquare meter in the more desirablewestern regions. Business premises inthe area are relatively low-priced, andinterest is primarily on the main arterialroads (Pireos, Kifissia, Thivon,Petrou Rali, and Iera).Although prices are low comparedwith Athens, these areas are nowstarting to gain ground in the real estatemarket. Moreover, large investmentgroups have expressed interest inthe area. One example is the GreekNational Bank, which plans to createone of the largest theme parks inSoutheast Europe in an old fertilizerplant in nearby Drapetsona.● In the central port, and the areasurrounding the OLP exhibition andconference center, companies involvedin a wide range of port activities aresuffocating. Illegal parking and streetpeddlers create extensive traffic jams,poor air quality, and noise pollution.● Current works attempt to bring aradical change to the OLP area.Construction projects, includingparking lots, entrance gates to thefacility, recreation areas, and ticketbooths, are expected to easecongestion and drive peddlers away.● The value of these projects is estimatedat ú35.2 million, the majority of whichwill be covered by European Unionfunds and the remainder by OLP. Thefirst phase of renovation in the centralport has been concluded at a cost ofabout ú5.8 million.● Experts believe that with the OLPrenovation and the completion ofimportant infrastructure worksconnected with the Olympic Games,Piraeus will again be in the position toattract investment interest.● Office premises in the center ofPiraeus have been suffering from lowdemand and correspondingly lowprices in recent years. Poorinfrastructure has prompted manyshipping companies, which hadtraditionally been headquartered in thearea, to locate elsewhere.SPRING 2003 AEGEAN NEWS 15