Now you can help save Greece: Athens to sell off some of its islands in desperate attempt to raise cash

Daily Mail, By KATE LOVEYS, 25th June 2010

Greece is selling off some of its islands in a desperate attempt to repay its mounting debts, it emerged yesterday.

Parts of sun-soaked Mediterranean tourist hot spots Mykonos and Rhodes are among the land to be offered for sale, or on long-term leases.

Affluent Russian and Chinese investors are believed to have expressed an interest, it is reported. Among them is believed to be Roman Abramovich, although his spokesman denied he is about to invest.

Parts of the Greek islands of Rhodes, above, and Mykonos, below, are believed to be for sale, though it is not clear which parts

Greece has embarked on the desperate measures after being pushed into a €110billion (£91billlion) bail out by the European Union and the International Monetary Fund last month, following a decade of over spending and after jittery investors raised borrowing costs to unbearable levels.

It is hoped the sales, or the earnings from long-term leases, will help boost the country's coffers and pay for basic utility infrastructure and police, attract investment and generate jobs on the islands.

While some of the islands offered for sale are more little more than tiny rocky islets on the market for €2million (£1.65million) - less than a town house in Mayfair or Chelsea - others are more vast.

The 1,235-acre Nafsika, in the Ionian sea, is on the market for €15million (£12.4million).

An area in Mykonos is one of the sites for sale . It is one-third owned by the government, which is looking for a buyer willing to inject capital and develop a luxury tourism complex, according to the Guardian.

Greece has 6,000 islands, only 227 of which are populated. The land currently offered for sale is listed on The Private Islands website.

'I am sad – selling off your islands or areas that belong to the people of Greece should be used as the last resort,' Makis Perdikaris, director of Greek Island Properties.

'But the first thing is to develop the economy and attract foreign domestic investment to create the necessary infrastructure. The point is to get money.'

Greece is also planning to sell its rail and water companies to raise funds. Chinese investors are understood to be interested in the Greek train system, as they already control some of the ports.

In a deal announced earlier this month, the Greek government also agreed to export olive oil to China.

A number of the super-rich already own islands, including Sir Richard Branson who has Neckar in the Caribbean, and the billionaire Barclay brothers who own Brecqhou in the Channel Islands.

Related Article:

Greek gov't denies report on sales of islands, large estate properties to Chinese, Russian