How Greece Is Offering EU Residency for €250,000 by Turning Commercial Space into Homes

Greece’s conversion strategy: cheap Golden Visas and a housing fix

The real estate Greece market is at an unusual crossroads: roughly 700,000 vacant properties sit across the country while urban demand is growing fast. The government has kept a €250,000 Golden Visa route specifically for commercial-to-residential conversions, creating an entry point that combines residency, rental income and capital appreciation for international buyers. That policy detail has reshaped investor behaviour and the allocation of foreign direct investment into Greek housing.

In the pages that follow we unpack what this means for buyers, investors and expats who want a foothold in Athens and other hot zones. We explain the mechanics of the conversion pathway, show where value is emerging, examine the risks, and offer a practical checklist for anyone considering a purchase under the Golden Visa framework.

Why conversions matter now

Greece faces a paradox: a sizeable empty-stock problem and pressure on rental markets in the same moment. Key figures from recent reporting and central bank projections paint the picture:

• 700,000 vacant properties nationwide.
• Rental growth of 10.9% year-on-year in May 2025.
• Annual housing demand of 35,000 units, while new construction delivers 30,000 units per year.

These numbers explain the logic behind the policy: convert underused commercial space into housing to deliver units where they are needed most—urban centres near transit and jobs—without expanding the urban footprint. The government has chosen to use incentives rather than rent control to tackle supply shortages, and the preserved €250,000 Golden Visa threshold for conversions is the clearest expression of that strategy.

How the Golden Visa conversion route differs

While direct residential investment thresholds rose to €800,000 in Athens, Thessaloniki and select islands, the government retained the €250,000 threshold only for projects that convert commercial buildings into residential units. That creates a two-tier system:

• €250,000 conversion pathway: targets investors who fund the repurposing of commercial assets into long-term housing.
• €800,000 direct-purchase threshold: applies in hot urban and island markets for conventional residential transactions.

This policy nudges capital toward urban renewal, and it keeps Greece competitive among European residency programs where thresholds are often higher.

Where conversion demand is already driving price growth

Some districts exhibit what happens when policy, infrastructure and developer capacity meet market demand. Piraeus is the clearest example. Over the past year the area saw a 39.9% rise in sale prices, and property values across greater Piraeus increased 84% between 2019 and 2024—making it the fastest-growing market in Attica.

Developers with experience in conversions are moving first. MIBS Group’s Etolikou 11 project—158 serviced apartments in central Piraeus—is one example cited by market reporting. MIBS’s series of Riviera Residence projects across the Athens Riviera also targets suburbs benefitting from proximity to both the city centre and coastal amenities.

Other price signals across the market include:

• Average residential property values at €292,700 (November 2024).
• Market forecasts projecting €364,500 by 2029.
• Athens residential prices up 7.6% year-on-year in Q1 2025, outpacing the national urban average of 6.19%.
• Current Athens average price €2,480 per sq m, projected toward €2,580–€2,630 per sq m through 2026.

Central neighborhoods—Koukaki, Neos Kosmos and Pangrati—are expected to outperform because of persistent demand and limited new supply.

The scale: how many homes can conversions deliver?

The Bank of Greece projects that commercial-to-residential conversions will produce 3,000 to 5,000 homes in the Athens metropolitan area by 2027, and 1,000 to 2,000 apartments are close to market entry already. Given an annual housing gap of several thousand units, these conversions can make a measurable difference at the neighbourhood level.

But conversions are not a silver bullet. They work best where buildings are structurally suitable, zoning allows residential use, and developers can secure permits and finance. Where those conditions don't exist, the empty-stock problem will persist.

Capital flows and regulatory context

Foreign direct investment highlights the international appetite for Greek real estate:

• €5.98 billion in real estate FDI in 2024.
• More than €3 billion directed to residential and commercial properties in 2024.
• Q1 2025 real estate FDI at €520 million, representing 43% of inbound foreign investment.
• Golden Visa permits issued: 9,411 in 2024; nearly 16,000 properties acquired through the programme by end-2024, with ~15,000 immediately entering the long-term rental market.

One policy change worth noting: new legislation prohibits properties obtained through the Golden Visa from being used for short-term lettings. That measure channels supply into the long-term rental market, which supports households and reduces the chance that conversion-driven supply will exacerbate tourist-season volatility.

Processing times for Golden Visa applications also improved dramatically. Some applicants now receive approvals in under 30 days, compared with application backlogs that once extended to 18 months in 2024. Administrative streamlining matters—especially for international buyers whose plans depend on residency timelines.

Practical considerations for investors and buyers

The conversion pathway looks attractive, but execution matters. From our reporting and conversations with industry players, here are the practical points investors should weigh.

Key legal and technical checks

• Confirm zoning and permitted use: municipal rules differ by neighbourhood.
• Secure building permits and understand the timeline for approvals.
• Assess seismic retrofit needs and the cost of structural upgrades.
• Demand an energy performance certificate; conversions should meet modern efficiency standards.
• Verify the property’s eligibility for the Golden Visa and the residency rules, including the ban on short-term letting.

Financial and market due diligence

• Compare prices against new-construction equivalents.