Hellenic Rail Estate reports €30M profit as major railway property projects advance

According to its annual financial statements, the company, a member of the National Development Fund, reported net profits after tax of €30.04 million, compared with €24.19 million in 2024, representing an increase of approximately 24%. Pre-tax profits reached €31.24 million, while turnover amounted to €20.04 million.

The company’s cash position was also particularly strong, with cash and cash equivalents reaching €80.37 million at the end of 2025. Other key strengths of its financial position include zero bank borrowing and a solid capital base, providing scope for the implementation of its investment strategy.

Rental Income Increases by 26%

The increase in revenue from the company’s core activity, namely the leasing and commercial exploitation of real estate, is particularly significant for Hellenic Rail Estate’s new business direction.

Rental income rose by 26%, reaching €7.81 million in 2025, compared with €6.22 million in the previous year. This growth reflects both the signing of new lease agreements and adjustments to existing rental rates.

More active portfolio management played a decisive role in improving the company’s performance, including the implementation of its first Leasing Regulation and the organisation of electronic tenders for property rentals. Meanwhile, negotiations during lease renewals resulted in higher rental rates, further improving the returns generated by its real estate assets.

The value of the management and exploitation rights over investment properties reached €176.1 million at the end of 2025, up from €167.4 million in 2024 and €153.2 million in 2023. This increase reflects the gradual appreciation of the portfolio and the growing importance of its commercial exploitation to the company’s financial performance.

Major Railway Stations Take Centre Stage

The next major challenge for Hellenic Rail Estate concerns the development of some of the most significant properties across Greece’s railway network, with the stations of Athens, Piraeus and Thessaloniki at the centre of its strategy.

2025 marked a year of progress in preparing these assets for development, through the completion of studies, the advancement of urban planning procedures and the assessment of investor interest. Other properties being promoted for commercial exploitation include the railway stations of Larissa, Katakolo and Platamonas, as well as the historic Peloponnese Station, for which restoration and development procedures are also progressing.

The focus is now shifting from project preparation towards implementation. According to the company’s plans, tender procedures for the development of major railway station properties are expected to begin gradually during 2026, with the aim of attracting private investment.

The objective is to transform railway stations into multifunctional destinations hosting a broader range of economic, commercial, social and cultural activities. In this way, properties that are currently inactive or underutilised can be reintegrated into the urban fabric and become new development hubs for their respective cities.

Thriasio, Gonos and Larissa on the Map of Logistics Investments

Alongside its urban real estate portfolio, Hellenic Rail Estate is placing significant emphasis on the development of logistics and business infrastructure, with three projects standing out: the Thriasio Freight Centre, the former Gonos Military Camp in Thessaloniki and the proposed Business Park in Larissa.

At Thriasio, procedures for implementing the concession agreement are progressing, while the tender for the former Gonos Military Camp has reached an advanced competitive dialogue stage. Both projects are particularly important for strengthening Greece’s freight handling capacity and improving the integration of railway transport with other components of the supply chain.

In Larissa, Hellenic Rail Estate is promoting the development of a Business Park on a site covering approximately 400 acres. Following the positive response to the expression of interest invitation launched in 2025, the next step involves preparing the necessary studies to advance the project towards implementation.

The development of these three infrastructure projects forms part of a broader strategy to establish modern business facilities, attract private investment and strengthen Greece’s position in the regional logistics and multimodal transport market.

The Transformation of Former GAIAOSE

The company’s new strategy is directly linked to its organisational and operational transformation. In October 2025, the transfer of its rolling stock management activities to Hellenic Railways was completed, while in 2026 the company adopted its new corporate identity, Hellenic Rail Estate.

Following these changes, the company is now exclusively focused on managing, developing and commercially exploiting railway real estate, seeking to move beyond its traditional role as a manager of public property and establish itself as an active real estate and infrastructure development organisation.

As part of this transformation, its digital upgrade is also progressing, involving the modernisation of information systems, the adoption of artificial intelligence applications and the strengthening of corporate governance procedures. These initiatives aim to improve operational efficiency and enhance the monitoring and management of an extensive property portfolio.

The next chapter for Hellenic Rail Estate will largely depend on its ability to transform the assets under its management into investment-ready projects, generating measurable financial returns and tangible benefits for local communities.

With net profits of approximately €30 million, cash reserves exceeding €80 million, zero bank borrowing and an investment property portfolio valued at €176.1 million, the company has a solid financial foundation from which to pursue its development strategy.

The key challenge ahead will be to move from urban planning and investment preparation to the launch of tenders, the attraction of investors and the commencement of projects capable of repositioning Greece’s railway real estate as a driver of national economic development.