Tornos News | Sbokos and Vassilakis Make Strategic €121.11 Million Investment in Southern Crete

Exciting Developments in South Heraklion: A New Luxury Tourist Complex

A new chapter in luxury tourism is unfolding in South Heraklion, Greece, as the prestigious Phāea Resorts group, led by the accomplished sisters Kostantza and Agapi Sbokou along with Eftychios Vassilakis, embarks on an ambitious project. The aim is to develop a cutting-edge luxury tourist complex under the title “PHĀEA– South Crete: Integrated Tourism Development Plan.” This initiative represents a significant investment in the region’s tourism infrastructure, promising to elevate the standard of luxury accommodations in Crete.

Strategic Location

Located in the municipality of Viannos, the new complex will occupy an impressive 155-acre privately owned area in the appealing Skouros location. Strategically situated just 40 minutes from the new airport in Kastelli, this site has been chosen not only for its natural beauty but also for its accessibility, making it an attractive destination for both international travelers and those exploring Greece’s stunning landscapes.

Project Features

The luxury complex will feature a plethora of amenities designed to cater to the discerning tastes of modern travelers. Key highlights of the development include:

• A 5-Star Hotel: With 140 elegantly designed rooms that ensure a high level of comfort and service.
• Furnished Tourist Residences: The complex will boast 30 ready-to-rent tourist residences, appealing to families or groups looking for a more home-like environment during their stay.
• Wellness and Fitness Spa: An emphasis on health and relaxation will be central to the complex, with a dedicated wellness and fitness spa.
• Dining Areas: Multiple dining options will cater to varied cuisines, ensuring guests can enjoy the local flavors of Cretan gastronomy.
• Organic Gardens: Surrounding garden areas dedicated to the production of organic products will not only beautify the complex but also align with sustainable tourism practices.

The substantial investment for this project is budgeted at approximately €121.11 million (excluding VAT), with the promise of creating at least 83 new Annual Work Units, thus contributing positively to the local economy.

Commitment to Sustainability

A key feature of the proposed development is its commitment to sustainability. The investment plan is crafted to create a luxurious environment that respects and enhances the natural and man-made characteristics of the area. Adherence to international green hotel standards is a cornerstone of the project, emphasizing the importance of eco-friendly practices in today’s tourism landscape. Future guests can look forward to a luxurious experience that is as environmentally conscious as it is indulgent.

Fast-Track Incentives and Community Consultation

To ensure a smooth and efficient pathway to launch, the developers are seeking inclusion in the "Strategic Investment-1" category, which qualifies them for fast-track licensing, land use, and specific benefits under Law 4864/2021. As part of the development’s commitment to transparency and community involvement, a public consultation period will be active until March 17, 2025, allowing stakeholders and residents to voice their opinions and insights on the project.

Phāea Resorts’ Growing Portfolio

Phāea Resorts is not a newcomer in the luxury tourism market. The group is currently embarking on various expansion initiatives, including the approved upgrade plan for the renowned Blue Palace in Elounda. This particular development is set to include three 5-star hotel complexes and 44 furnished residences, amounting to a total capacity of 743 beds, inclusive of extensive wellness facilities. Slated to reopen in 2026 under the name "Rosewood Blue Palace," this project signifies the group’s commitment to enhancing Crete’s status as a premier travel destination.

The Sbokos Legacy in Cretan Tourism

The Sbokos family’s influence in the Cretan hospitality industry traces back to 1976 when Yannis Sbokos co-founded the Sbokos Hotel Group (SHG). Today, his daughters Agapi and Kostantza spearhead the Phāea Resorts group, which successfully manages a portfolio of noteworthy establishments including Phaea Blue Palace, Koutouloufari Village Holiday Club, and Cretan Malia Park. Their legacy is characterized by a deep-rooted dedication to quality and service, setting the bar for hospitality in the region.

Final Thoughts

The development of the new luxury tourist complex in South Heraklion by Phāea Resorts marks a significant investment in the future of Cretan tourism. Emphasizing luxury, sustainability, and community involvement, this project is set to redefine the hospitality landscape in Greece while boosting the local economy. With its commitment to excellence and environmental stewardship, the upcoming complex holds the promise of transforming South Heraklion into a must-visit destination for travelers around the globe.