The Canadian government has sold its former embassy building in Athens, Greece for €4 million, or roughly $4.4 million.
According to the Wall Street Journal, this is a "rare deal" in Greek real estate, considering the political uncertainty the country has experienced these recent years. The 15,000-square-foot building, located only 2 miles from the Acropolis, was bought by MK Mykonos Hotel Company SA, a subsidiary of Dogus Holding, a Turkish conglomerate.
According to the report, the sale price is small compared to commercial deals in other European Union cities. In fact, in 2013, Canada has sold its former embassy building in London for $405 million.
The government of Canada hired Colliers International to help seal the deal. Ana Vukovic, managing director for Greece and Serbia of the real estate company, told WSJ that due to the country's political problems, it has been difficult to sell the property.
"There was nothing moving in Greece," she said. "It was amazing we got this done."
According to Forbes, the overall price of real estate in Greece has fallen by 40 percent since 2008. With its current economic woes and a growing international debt, Greece's stock market has also plummeted.
"Also playing a big role in the economic slowdown is the tightening of credit which has hampered investment to a large degree," the report states. "Today, the real estate market is roughly 95% cash when it comes to investments. This narrowing of the real estate market to mostly those who have cash has meant that many real estate agents in Greece are closing up shop."
In September, Greece conducted its elections, and the country is hopeful for a more stable economy. Just last month, re-elected Prime Minister Alexis Tsipras approved a package of economic changes that allows the country to receive $2.3 billion from its $98 billion international bailout program. According to the New York Times, Tsipras is hopeful that this can rescue Greece's failing economy and get the country back in shape.
