Moda Bagno enters hospitality sector with €3.925M investment

The listed company announced that, on September 15, it signed an agreement with the existing shareholders of Estia JJC Société Anonyme for Real Estate Development, Cyril-Lucien-Alexandre Bernard and Skopos SAS, a company affiliated with Jamil Cherkaoui. Moda Bagno acquired a 75% stake through participation in a share capital increase, contributing a total of €3,925,120.

As part of the transaction, Moda Bagno also obtained the right to appoint the majority of the members of Estia JJC’s Board of Directors and, consequently, assumed corporate control of the company. Moda Bagno stated that the transaction forms part of its strategy to expand into the tourism and hospitality sectors.

The 1876 Property

Estia JJC’s principal asset is the historic Estia property at 7 Anthimou Gazi Street, located a short distance from Syntagma Square. According to the Ephorate of Antiquities of the City of Athens, the neoclassical building dates back to 1876, has a total area of 918 sq m, and for many years housed the offices, printing presses and printing facilities of the historic newspaper. In 2024, the building was officially designated as a monument, as a representative example of neoclassical architecture from the second half of the 19th century.

Estia JJC acquired the property in 2023 with the aim of restoring and converting it into a hotel. The plan submitted at the time provided for a change of use to a four-star hotel, together with broader interventions to the building complex. More specifically, the previous design envisaged the restoration of the historic building, the demolition of the adjacent non-listed building, the preservation of the protected façade on Karytsi Street 8, and the construction of a new six-storey building with a basement and a rooftop terrace featuring a swimming pool.

The initial studies were rejected by the Ministry of Culture, which determined that the proposed interventions would adversely affect the monument. The Ministry requested that the studies be redrafted and resubmitted so that the development of the new section towards Karytsi Street would comply with the applicable protection regime and building regulations.

Moda Bagno plans to renovate and convert the property into a luxury hotel and restaurant, while preserving its historic character and making use of its architectural features. The relevant studies will need to be revised accordingly in order to align them with the requirements of the competent authorities.

From Design to Hospitality

The transaction adds a new dimension to Moda Bagno’s activities, a company primarily associated with the equipment and design of residential and commercial spaces. Through the acquisition of a 75% stake in Estia JJC, the listed company is not directly purchasing the property for €3.9 million; rather, it is acquiring a controlling interest in the company that owns the property by injecting capital into Estia JJC.

The project also forms part of the ongoing transformation of former office buildings, commercial properties and historic assets in central Athens into hospitality facilities.

For Moda Bagno, the next step will be to advance the revised studies and secure the necessary approvals for a property where the monument’s protected status imposes specific limitations on any interventions.

The €3.925 million agreement now gives the Varveris family control of the company behind the project. The final design, total investment amount, number of rooms, development timeline and brand under which the hotel will operate have not yet been announced.