This trend is being reinforced both by the lower acquisition cost of commercial properties and by the opportunities to capitalize on them through investment schemes and short-term rental platforms such as Airbnb. However, despite the potential returns, the process involves significant legal and urban planning considerations.
As market professionals note to RED, the primary driver of increased demand is the substantial price gap observed between commercial premises and residential properties. In many cases, purchasing a shop or office and converting it into a residence can prove more cost-effective than directly acquiring an apartment, particularly in urban centers and high-demand areas.
According to the same sources, the areas most frequently selected are central Athens and the southern suburbs.
The historic center and the commercial triangle of Athens were the first locations where conversions began to take place—not only of retail units but also of entire buildings into residential use—given the large number of small, outdated office spaces that no longer meet modern professional standards. Urban regeneration projects and tourism demand (especially for short-term rental accommodation) have brought the once-neglected city center back to the forefront of the domestic real estate market.
The southern suburbs are also attracting increased investment interest. Areas with commercial properties such as Kallithea, Nea Smyrni, and Alimos—particularly along Syngrou Avenue and Poseidonos Avenue—are experiencing heightened demand, largely due to the major redevelopment project underway at Ellinikon.
According to market professionals, in addition to residential conversions in these areas, changes of use into parking facilities are also being observed.
Old industrial facilities converted into loft-style apartments
Another dynamic segment of the property market concerns former industrial zones of Athens, such as Tavros, Rouf, and Votanikos. These areas, which developed industrially during the 20th century, feature large buildings with high ceilings, exposed steel or concrete beams, and expansive open-plan layouts. With deindustrialization and the relocation of production units outside the city center, many of these properties became inactive, creating a stock of space available at relatively low prices per square meter.
In recent years, investors and private buyers have been capitalizing on these opportunities by converting former factories and warehouses into modern loft-style residences. The industrial design aesthetic—exposed concrete, large openings, and minimalist layouts—is considered particularly appealing to young professionals, artists, and individuals working in the creative sector.