A new page opens for the iconic building “Asani” in the old town of Corfu, as the tender for the long-term concession of the property by the Hellenic Public Properties Co. (HPPC) has been completed. This development brings to the fore the possibility of the property being converted into a short-term tourist accommodation, boosting the market for alternative accommodation on the island.
The historic building, with a total area of 867 sqm and six levels, is located in a privileged location, in the Town Hall Square, in the centre of Corfu’s old town – an area that is part of the UNESCO World Heritage Site and is of particular tourist importance.
A restoration project with multiple possibilities
The long-term lease of the building for 30 years, with the possibility of extension for another 10 years, was awarded to KONTOS CONCREATE S.A., which submitted the highest bid of 33,502 euros, winning out of a total of four potential investors. With this concession, the company undertakes the complete restoration and renovation of the property, which has remained closed and abandoned for more than 15 years.
The investment plan provides for work to remove the building’s dangerousness within two years of the signing of the contract, while all costs for its restoration and future operation will be borne solely by the tenant. The permitted uses must respect the monumental character of the building and be approved by the competent services of the Ministry of Culture. The development of the property may include the creation of a boutique hotel, luxury suites or – of particular interest to the alternative accommodation market – short or long-term rental units.
New prospects for the short term rental market in Corfu
The possibility of the Asani building being converted into short-term rental units enhances the dynamics of the short-term rentals market in the old town of Corfu, which is among the most popular tourist destinations of the island, with high demand from both Greek and foreign visitors.
The unique architectural identity of the area, combined with the saturation of existing accommodation, creates significant opportunities for investment in renovated, high aesthetic properties that can offer authentic accommodation experiences. In this context, the Asani building has all the characteristics to become a sought-after short-stay destination, if properly adapted to the needs of the modern traveller.
At the same time, the demand for premium short term rentals in Corfu has increased in recent years, with travellers seeking quality, well-renovated accommodation within the historic fabric. The Asani building can fill this gap in the market, while contributing to the regeneration of the area and the restoration of an important cultural monument.
Real estate development strategy by the HPPC
The concession of the Asani building is part of the broader strategic planning of the HPPC for the development of public properties that have historical and cultural value but have been left abandoned. This investment comes to address a long-standing pending issue, as the building had been considered dangerous and had been the subject of several concerns of the local community and authorities due to its condition.
The HPPC gives priority to upgrading such properties, while offering growth opportunities in the tourism market, both through hotel and alternative forms of hospitality, such as short-term rentals.
The reopening of the Asani building can be a model investment for the development of historic properties with respect to cultural heritage and at the same time enhance the offer of quality short-term rentals in the centre of Corfu. For the alternative accommodation market, such projects offer significant opportunities to diversify and attract visitors of higher purchasing power, upgrading the overall tourism product of the island.
