Omonia Square and the surrounding streets served as the first gateway for Israeli hotel groups entering Greece. Old hotels and long-dormant buildings found new purpose, as investors recognized Athens’ potential as a year-round destination beneath what were then remarkably low property values. Today, however, their ambitions extend far beyond the city center — reaching Rhodes, Halkidiki, Argolida, Corinthia, Evia, Paros, and even the western coastline of Kalamata.
Starting from Omonia, they conquered the resorts: which Israeli groups are investing millions in hotels
This trajectory reflects a clear shift — from renovating urban properties to acquiring established resorts and launching large-scale mixed-use developments that combine hotels with holiday residences. Leading the charge are Fattal, Isrotel, and Israel Canada, while Prima Hotels Israel has also carved out a smaller but notable presence.
The driving forces behind this interest are Greece’s strong tourism performance, the geographic proximity between the two countries, and the ability to operate many properties beyond the summer season. Property prices — particularly when this investment cycle began — played a decisive role. Following the outbreak of war in the Middle East, the need to geographically diversify capital and operations added yet another incentive to accelerate expansion.
Fattal Hotel Group
Fattal Hotel Group is currently the most aggressive Israeli hotel investor in Greece. Through Leonardo Hotels & Resorts Mediterranean, it has built a portfolio of six properties. The journey began with the Leonardo Kolymbia Resort in Rhodes in 2018, followed by the former Esperia Palace on Stadiou Street — leased from Greece’s social security fund (EFKA), renovated at a cost of approximately €25 million, and relaunched as the NYX Esperia Palace Athens.
The NYX Esperia Palace Athens, operated by Leonardo Hotels & Resorts Mediterranean
In Thessaloniki, Fattal invested a further €25 million to open the 130-room NYX Hotel Thessaloniki. The group also added the former Kandia’s Castle in Argolida to its portfolio, now operating as the SEAFOS Luxury Resort & Spa. In January 2026, it acquired the Cora Resort & Spa in Afytos, Halkidiki, from Bain Capital — the 181-room property was repositioned as the Meravia Hotel. This was followed by the acquisition of the Great Athens Hotel near Omonia, which now operates as the Leonardo Hotel Athens City Center. By summer 2025, Fattal’s total investment in Greece was estimated at approximately €200 million — before these last two deals were finalized.
NYX Esperia Palace Athens
Isrotel
The second major force is Isrotel, one of Israel’s largest hotel companies. Operating through Aluma Hotels & Resorts, it has invested around €100 million, using Athens as the launchpad for its international expansion. Its portfolio includes the Skylark at Omonia — formerly La Mirage — the Anise in the Psyrri district, and the five-star Adia Aluma Athens, Curio Collection by Hilton, with 215 rooms.
Aluma is preparing an additional hotel adjacent to the Anise, along with the redevelopment of the listed former Vienne Hotel on Egnatia Street in Thessaloniki. Its next move, however, is expected to take it beyond urban centers, as it explores opportunities in Crete, Corfu, and Rhodes.
Brown Hotels
Israel Canada Hotels’ acquisition of Brown Hotels reshaped the competitive landscape. The deal brought eight Greek properties under the new group: Brown Acropol, Villa Brown Ermou, Brown Beach Chalkida, Brown Beach Evia, Isla Brown Corinthia, and the Play Theatrou, Play Psyrri, and Play Paros properties. In most cases, this involved acquiring hotel operations and assuming lease agreements rather than purchasing the real estate outright. That said, Israel Canada did move into direct property ownership with the purchase of Brown Acropol for approximately €13 million. The group is also expanding Play Theatrou and Villa Brown Ermou, planning a new five-star boutique hotel on Lykurgou Street, and scouting properties in Psyrri, Thessaloniki, Crete, Rhodes, and Corfu. Its target is to reach 1,500 rooms in Greece by 2027 and 3,000 by 2030. Prima Hotels Israel maintains a more modest presence, having also chosen Athens for its first European venture — operating the Boss Boutique, Breeze Boutique, and Delphi Art Hotel, all in the wider Omonia area.
The Marathon Beach Resort, part of the Brown Hotels portfolio
IDM Capital
The next chapter is being written on a much larger scale, along Greece’s coastline. IDM Capital, led by Israeli entrepreneur Pinni Sarfati, is advancing the Nika Bay Kalamata project — a €136.5 million development on the city’s western seafront. Still under review as a Strategic Investment, the project includes a 140-room five-star hotel, 248 branded residences, and dining, wellness, and leisure facilities. What is taking shape, therefore, is not simply a collection of opportunistic acquisitions. Israeli groups initially capitalized on Athens’ lower valuations and idle buildings, gained deep operational knowledge of the Greek market, and are now pursuing larger, more premium, and more complex hospitality assets.
Published in Parapolitika
