Investing in Elounda is more appealing than ever, offering promising potential returns from its luxury real estate market, which reinforces its reputation as a premier Mediterranean luxury destination. Located on the northeastern coast of Crete, within the municipality of Agios Nikolaos, Elounda has transformed from a modest fishing village into a “meeting place of the famous,” one of the Mediterranean’s most exclusive luxury destinations. Nestled between rolling hills and the azure waters of Mirabello Bay, Elounda features a captivating blend of authentic Cretan charm and upscale luxury. Visitors often seek not only privacy and natural beauty in this picturesque setting but also the historical significance of the area. Let’s explore what contributes to Elounda’s unique appeal for investors.
A Historical Gem
Elounda is steeped in history that traces back to the ancient city of Olous, also referred to as Olounda. Archaeological findings indicate that the Elounda area has been inhabited since Minoan times, with the city-state of Olous, celebrated in Homer’s epics, emerging later in its storied past. Situated on a site known as Poros, ancient Olous was strategically positioned along the narrow strip of land connecting Elounda to the peninsula of Kolokytha. However, the city eventually succumbed to the sea, its ruins surfacing on calm days as a testament to its past. Today, adventurous visitors can explore the remnants of the Sunken City of Olous through snorkeling or diving, offering an exhilarating opportunity to connect with this significant history.
Adjacent to Elounda lies the renowned Spinalonga Island, adding another layer of historical intrigue. Once a fortified stronghold, this island served as a leper colony from 1903 until 1957, isolating those afflicted by the disease within its protective walls. Current visitors to Spinalonga can wander the well-preserved Venetian fortress, which stands as one of the most significant bastion-type coastal fortifications in the Mediterranean and a designated UNESCO World Heritage Site. The meticulously crafted stone buildings and remnants of the leper hospital tell poignant stories of resilience and isolation. Just a short boat ride from Elounda leads travelers to Spinalonga, where they can stroll through narrow streets and absorb panoramic views of the azure sea. This historical site not only enriches Elounda’s allure but also provides profound insights into the region’s complex past, making it an essential stop for anyone keen on exploring the captivating narrative of Cretan history.
The Evolution of Elounda
Where it all started
Elounda has transformed from a modest fishing area into a luxury hotspot, supported by the vision of the Kokotos family. Spyros and Eliana Kokotos established a legacy in hospitality, beginning with the opening of the Elounda Mare Hotel in 1982, which was the first Greek hotel to join the prestigious association of Relais & Châteaux in 1987. They continued to innovate with the development of the Porto Elounda Golf & Spa Resort and the Elounda Peninsula All Suite Hotel, both of which introduced new luxury standards in the region. The family further expanded their offerings with the esteemed Six Senses Spa and the Elounda Peninsula Diamond Residences, catering to high-end clientele and promoting year-round tourism. Today, Elounda is recognized as a premier luxury destination in Greece, attracting royalty and celebrities alike, and has become synonymous with opulence and exclusivity.
Other Luxury Hotels in Elounda
Domes of Elounda, Autograph Collection Hotels. Emerging gracefully from the hillside, this iconic beachfront resort in Elounda, Crete, offers a seamless blend of intimacy and expansive luxury. Designed as a small retreat with all the amenities of a premier spa resort, it features a selection of suites and villas, each equipped with its own private pool or jacuzzi. Guests can indulge in culinary delights at four signature restaurants and bars, each showcasing a distinctive culinary theme.
Phāea Blue Palace, a member of SLH (soon to become part of the Rosewood Blue Palace complex). Phāea Blue Palace is nestled between the charming fishing village of Plaka and the sophisticated port of Elounda. With its own private beach, guests can enjoy stunning views of Spinalonga Island, which stands between them and the infinite blue Mediterranean horizon. Merging a distinctive local character with genuine Greek hospitality, this boutique hotel invites travelers to the legendary birthplace of Zeus for an unforgettable experience.
Elounda Gulf Villas & Suites. This beach resort is designed for those seeking to explore their adventurous side while enjoying a luxurious experience. It strikes a balance between sophisticated elegance and vibrant local character, harmonizing classic design with the beauty of nature and artisanal craftsmanship. The resort features a variety of unique suites and villas, along with immersive activities and diverse dining options.
High-Profile Developments Enhancing Elounda’s Appeal
Recent substantial investments further highlight Elounda’s reputation as a luxury destination. Key developments include:
1. Mirum Hellas, Elounda Hills Resort: The Mirum Group project for Elounda Hills Resort is a significant investment endeavor anticipated to be completed before 2032, with substantial progress expected in the first phase—particularly the marina—by 2027. The construction, which began in 2022, is divided into two parts: the first part involves building a luxury hotel with 135 rooms, a marina hotel with 13 rooms, the marina itself, branded villas, apartments, and necessary infrastructure; the second part includes additional branded and non-branded residential properties, a botanical garden, an amphitheater, and utility networks. Approximately 260 branded properties will be constructed for sale in these initial stages, with the total estimated project cost reaching around €800 million, funded through Mirum’s own capital, bank loans, and ongoing property pre-sales.
Elounda Hills Resort
An integrated luxury 138-acre resort in the sought-after area of Elounda on the northeast coast of Crete, less than an hour from Heraklion International Airport and just a 20-minute drive from Kastelli International Airport (opening in 2027). Developed in collaboration with 5* eco-hotelier 1Hotels, this landmark resort is primed to become the leading ultra-luxury «green» resort in the Mediterranean. Image depicts a scale model of the final resort design. Image Credit: mirum.gr
2. Phāea (Golf Residences SA) / Sbokos Hotel Group, Rosewood Blue Palace: The Sbokos family’s investment in Elounda has been approved by the Environment and Spatial Planning Committee of the Region of Crete. This project involves transforming two existing 5-star hotels—the Phāea Blue Palace, with 452 rooms, and another hotel with 99 rooms—into a comprehensive tourist complex with a total capacity of 743 beds. The development will feature three 5-star hotels totaling 573 rooms, along with forty-four furnished tourist residences and two wellness centers designed for 100 visitors. Located in Plaka, Elounda, the plans include necessary supporting infrastructure, and the project will be overseen by Golf Residences S.A. Upon completion, the complex will be rebranded as the Rosewood Blue Palace and is scheduled to open in 2026 under the Rosewood Hotels & Resorts brand. Note that Phāea Resorts (Golf Residences SA) represents the evolution of the Sbokos Hotel Group, active in Greek tourism since 1974 and one of the largest hotel groups in Greece.
Kastelli Airport and Its Impact on Elounda’s Real Estate
The new International Airport of Heraklion, Crete, in Kastelli is scheduled for completion by February 2027. This significant infrastructure initiative is expected to profoundly impact real estate investments across the island, particularly in Elounda, which will be just a 30-minute drive away. Once operational, the airport is anticipated to handle 10 million passengers annually by 2030, with plans to expand its capacity to 14 million.
The expected increase in tourist arrivals is likely to stimulate demand for various accommodations, including hotels, resorts, and vacation rentals. Existing properties are well-positioned to benefit from this demand, while new real estate development opportunities are anticipated to emerge. As Elounda evolves into an even more vibrant destination, it is becoming increasingly appealing to investors seeking to capitalize on its growth potential.
With the anticipated growth in tourism driven by the new airport and the development of luxury accommodations and enhanced infrastructure, Elounda is set to welcome a larger influx of visitors. This surge in tourist activity will elevate the local economy and create promising opportunities for real estate development. As property values rise, investors seeking attractive options in a stunning location will find Elounda to be an appealing choice for sustainable and profitable investments.
Recreation of the future terminal at Kastelli new airport. Image Credit: Ineco
An Exceptional Opportunity to Invest in Elounda with Delta Prime Properties
As Elounda continues to flourish, fueled by significant investment in infrastructure and luxury accommodations, now is the perfect moment for discerning investors to explore lucrative opportunities in this vibrant destination. One such opportunity is an exquisite hotel currently for sale through Delta Prime Properties. Situated in an idyllic setting, this hotel embodies the elegance and charm that defines Elounda. With its unique characteristics and prime location, this property offers a rare chance to be part of a thriving market, making it an ideal investment for those looking to embrace the future of hospitality in one of Greece’s most coveted locales. Don’t miss the chance to own a piece of Elounda’s enchanting landscape! For more information, please visit the Delta Prime Properties website.
