Agricultural Real Estate in Greece: An Overview

Property in Greece is divided into two main categories: Real estate outside urban development plans and real estate within urban development plans. Real estate outside urban plans is mainly divided into two further categories: agricultural land and agricultural land that has been built on with real estate. In this context, there are plots of land that have been allocated by the Greek state as agricultural plots for the resettlement of farmers who do not own land. This system was introduced to accommodate the arrival of refugees in Greece from 1922 onwards, which in turn meant that such plots had to be used with the aim of developing the agricultural economy. The plot is often larger and one of its most important features is the legal prohibition to divide the plot into smaller parts.

Agricultural land is real estate outside urban development plans that is inherently used for agricultural purposes and the production of natural products.

On the other hand, real estate within urban development plans is generally classified as building land. Building land consists of a plot of land located within an approved street plan or within the boundaries of a settlement, even if it does not have an approved street plan.

Unlike other jurisdictions, Greek law generally permits the construction of buildings in real estate outside of urban building plans. Depending on the type of building to be constructed and its intended use, there are urban planning regulations that allow the construction of buildings depending on the size of the property in question. For example, it is generally permitted to construct buildings of up to 200 square metres on agricultural land of 4,000 square metres or more.

Of course, much more flexible urban planning regulations apply to building sites, as they are for the construction of buildings.

There are two key concepts that must be considered when acquiring real estate in Greece: "conformity" and "buildability" (in Greek, "artio" and "ikodomisimo"). A property is compliant if it is possible to construct a building according to the legal requirements that are suitable for building. Therefore, all properties must conform in size and dimension.

The choice of the right property in the countryside depends primarily on the particular needs of the individual or legal entity and the desired use of the property. A property can be used as a residence, for private use, for agricultural use, for professional use or for commercial use.

Since the construction of buildings outside urban development plans is permitted, properties outside urban development plans can also be used for private housing. Both plots of land and agricultural land can be used for agricultural purposes. Real estate to be used for agricultural purposes is usually cheaper. If the investor is not interested in a location near major cities, he can find a larger property in the countryside at a much lower price.

Property used for professional or business purposes can be found either outside city plans or within city plans, depending on the activities and type of business of the particular investor. Such activities or types of business may include:

• Offices in multi-apartment buildings
• Real estate outside urban construction plans on which commercial shops, factories, manufacturing areas, storage areas or shopping centres are built.
• Real estate suitable for the installation of facilities for the generation of energy from renewable sources (e.g. solar panels, wind turbines, etc.).
• Real estate suitable for transport activities (logistics centres, etc.)