Four bidders advance in €421M government park PPP project

According to the minister, who spoke at the “Dialogues for Athens: From Myth to the Modern City” conference organised by the newspaper To Vima, the tender process has now entered its second phase, with four consortia having been shortlisted. The candidates have until the end of November to submit detailed proposals for the project.

“This will happen; the project is already underway,” Mr. Pierrakakis said, stressing that the project is not simply about relocating civil servants, but constitutes a broader urban intervention that could act as a catalyst for the area and generate economic and social value.

The Major PPP for the New Government Administrative Campus

The project involves the financing, design, construction, operation and maintenance of a new administrative office complex on the site of the former PYRKAL facilities in the Municipality of Dafni-Ymittos, covering a total area of 154.8 hectares.

The “Andreas Lentakis Government Park” will accommodate the services of nine ministries of the Greek Government — the Ministries of National Economy and Finance; Development and Investments; Environment and Energy; Labour and Social Affairs; Rural Development and Food; Health; Tourism; Culture and Sports; and Interior — as well as various public bodies, including the Independent Authority for Public Revenue (AADE), the Hellenic Corporation of Assets and Participations (HCAP), the Hellenic Republic Asset Development Fund (HRADF) and the Hellenic Public Properties Company (ETAD).

These services are currently dispersed, primarily across central Athens, while certain departments and services are also located in Piraeus, Marousi and Cholargos.

The Private Partnership Entity will be responsible for preparing the necessary studies, securing the required permits, constructing the new infrastructure, procuring and installing the equipment, and subsequently operating and maintaining the complex.

The private partner’s scope of work now explicitly includes a significant transport infrastructure intervention: the construction of an underground pedestrian tunnel connecting the Government Park with Dafni Metro station.

The connection is particularly important given the scale of the new administrative hub and the daily commuting it is expected to generate. Approximately 14,000 civil servants are expected to relocate to the new complex from more than 100 different locations where ministries and public services are currently housed.

The project also includes a large urban park, public spaces, new infrastructure and the adaptive reuse of part of the existing industrial building stock.

According to the minister, “it is important for a government to have a government centre, a place of governance, not for all ministries, but for many of them.”

€421 Million in Availability Payments

The Government Park is structured as a non-revenue-generating project for the private partner. This means that the contractor will not acquire commercial exploitation rights over the facilities and will not generate revenues from end users. Its investment return will derive exclusively from availability payments made by the State throughout the term of the contract, provided that the project and the associated services meet the agreed performance specifications.

These payments have been indicatively estimated, in net present value terms, at approximately €421 million. This calculation does not take into account any potential public-sector contribution towards financing the construction cost.

The exact duration of the Partnership Agreement, as well as the individual deadlines, will be finalised in the Invitation to Submit Binding Offers. The initial estimate envisages a period of approximately 30 years, making the project a long-term commitment for both the private partner and the State.