The German-Greek consortium set to assume the management and operation of 14 regional airports around Greece, which include the best-known tourism destinations iin the country, this week unveiled its plan for modernizing and upgrading the facilities.
Fraport Greece said the 330-million-euro investment plan through 2012 – as mandated in a concession contract - aims to improve customer services and to meet an expected increase in passenger and flight traffic. Nevertheless, the consortium added that the possible total investment over the 40-year duration of the concession could reach one billion euros.
Among others, Fraport plans to build five new passenger terminals at the airports of Thessaloniki and on the island facilities of Corfu, Kefalonia, Kos, and Lesvos. A wholesale modernization of other terminals is also planned. Moreover, upgrades and maintenance will be implemented at all 14 runways that Fraport will manage.
Fraport Greece bills the airport concession deal as the biggest investment in Greece’s all-important tourism sector to date.
The state-managed Hellenic Republic Asset Development Fund (HRADF), Greece’s memorandum-mandated privatization agency, selected the Fraport-Copelouzos consortium as a preferred bidder in November 2014 for the 40-year operating concessions, for both Clusters A and B, based on the highest bid of 1.234 billion euros for both clusters.
Fraport and Copelouzos Group established their joint company, Fraport Greece, in 2015 to act as the concessionaire for the two concessions.
On Dec. 14, 2015, Fraport Greece signed contracts with the HRADF and the Greek state for the 40-year concessions for the two clusters. The contracts are based exactly on the same bid submitted by Fraport-Copelouzos and selected by HRADF in Nov. 2014.