Athens’ Psyrri Quarter Evolving into Airbnb Neighborhood

Photo © Spyros Lazaris

The once buzzing Athens neighborhood of Psyrri is coming back to life as more and more buyers invest in short-term rentals, boutique hotels and accommodation facilities.

In the last few months, Psyrri is seeing a revived investor interest with three properties already licensed to operate as accommodation facilities. Among these a 1.3-million-euro project carried out by Russian property firm Tranio on Athinas St, which includes the revamp of a 12-apartment building with the goal to sell to buyers for short-term rentals with an estimated annual return of 8 percent.

According to property market insiders in the last year, the Psyrri quarter has made a comeback with local and foreign investors buying properties, mostly abandoned, with the aim to refurbish and rent. The public sector, which also has many properties in the area, is also considering the sale of its assets for short-term rentals.

Investor interest has peaked thanks to Athens’ increased tourism flows. There are currently 1,467 properties open for short-term lease in the historic center alone, which according to AirDna, generate on average 1,100 euros per month in the low season and 1,700 euros at peak season.

Prices for properties in Psyrri start from 3,000 euros per square meter.

In the meantime, according to Hellenic Chamber of Hotels data, some 239 hotels with 15,576 rooms and 28,936 beds operated in the center of Athens in 2018, with experts expecting the addition of 5,000 new rooms in the immediate future.