New Law on Small Settlements in Greece: How It Will Change the Land Market and What It Means for Investors

Changes in Greek Urban Planning Legislation

The Greek government is preparing changes to urban planning legislation affecting thousands of settlements with populations of up to 2,000 residents. For the real estate market, this is one of the most significant reforms in recent years, as these villages contain a large number of land plots suitable for building villas, residential complexes, and investment projects.

Following decisions by the Council of State of Greece, some plots were at risk of losing their building rights due to the revision of settlement boundaries. The new law aims to resolve this issue, establish new rules for territorial development, and preserve development prospects for small villages.

What This Means for Investors

For investors, this brings greater legal certainty. However, it is essential to understand that even after the law is passed, not every plot of land will automatically become buildable. Before purchasing, it is necessary to verify:

• Urban planning restrictions
• Road access
• Utility connection possibilities
• Other legal parameters

This is why AILIT Group recommends starting with a professional analysis of the plot. Read more about this in the article “Why Only About 30% of Land Plots in Greece Are Buildable”.

Impact on Crete and Investment Attractiveness

The new law will have a particularly noticeable impact on Crete, where most sought-after areas — Apokoronas, Vamos, Almyrida, Plaka, Kokkino Chorio, and others — are classified as small settlements. With the right plot selection, legislative changes can positively affect investment attractiveness.

Development and Co-Investing with AILIT Group

For those considering participation in development projects, we invite you to read the article “How to Invest in Greece Development Projects with AILIT Group”.

If you want to understand why international investors choose AILIT Group, read “Why Investors Choose AILIT Group”.

AILIT Group also offers various formats for co-investing in real estate construction. Learn more in the article “Investing with AILIT Group”.

All active company projects are available in the Projects section.

Professional Transaction Support

If you plan to acquire a land plot in Greece or are considering building your own project, it is now especially important to conduct a professional legal and technical due diligence of the property before buying. AILIT Group specialists accompany clients at all stages — from plot selection and document analysis to obtaining building permits, project execution, and subsequent property sale or management.

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Article reviewed by Alexey Fatuev — expert in real estate construction and development in Greece.