Transforming University Campuses: €95 Million Boost for Green Student Housing and Modern Academic Facilities

Transforming University Campuses: €95 Million Boost for Green Student Housing and Modern Academic Facilities

(IN BRIEF) The University of Crete is set to undergo a significant expansion and upgrade of its student housing and academic facilities through a €95 million financing deal from the European Investment Bank (EIB), under a pioneering Public-Private Partnership with the AKTOR Group. Funded by the InvestEU programme, the project will extend campuses in Heraklion and Rethymno by constructing 2,833 new rooms and apartments that will provide up to 4,846 beds, while also developing over 109,000 square meters of infrastructure, including a new 800-seat amphitheatre. The new facilities are designed to be highly energy efficient, surpassing Greece’s NZEB standards, and include advanced climate adaptation measures. This initiative is part of a broader strategy that includes additional technical assistance from the EIB in areas such as energy efficiency, PPP best practices, and project management. The financing forms part of a larger €190 million PPP project co-funded by the EIB and Piraeus Bank, and it aligns with national efforts, led by the Ministry of Education, Religious Affairs and Sports, to significantly upgrade public university housing in Greece. The project not only aims to provide affordable and sustainable housing for students but also supports broader economic and social growth, reinforcing the importance of modern, green campus infrastructure for future generations. This development is complemented by the EIB Group’s larger housing initiative, which plans to invest around €10 billion over the next two years to create or renovate 1.5 million housing units across Europe.

(PRESS RELEASE) LUXEMBOURG, 1-Apr-2025 — /EuropaWire/ — The University of Crete in Greece is set to transform its campus facilities with a €95 million financing package from the European Investment Bank (EIB), aimed at constructing affordable student housing and enhancing academic spaces through a groundbreaking Public-Private Partnership (PPP) with the AKTOR Group. Funded under the InvestEU programme, this initiative will expand campuses in Heraklion and Rethymno by adding 2,833 new rooms and apartments, thereby creating up to 4,846 beds. In total, more than 109,000 square meters of new infrastructure will be developed, including an 800-seat amphitheatre at the Rethymnon campus. The new constructions will exceed the energy efficiency standards set by Greece’s Nearly Zero Energy Building (NZEB) regulations and incorporate advanced climate adaptation measures.

EIB Vice-President Yannis Tsakiris highlighted that investing in university infrastructure goes beyond building physical structures—it is about fostering innovation, securing the future of education, and addressing the growing shortage of sustainable, affordable student housing across Europe. Sofia Zacharaki, Greece’s Minister of Education, Religious Affairs and Sports, underscored that this project, part of a broader €700 million plan to upgrade public university housing nationwide, is pivotal for ensuring long-term quality, accessibility, and maintenance of student residences, thereby safeguarding public investments and supporting educational progress.

Implemented through a 30-year PPP agreement awarded to the AKTOR Group and executed via its subsidiary Talaia Estia SA, the project benefits from a total long-term financing of €190 million, equally co-financed by the EIB and Piraeus Bank. In addition to financial support, the EIB is delivering technical assistance in key areas: enhancing energy efficiency and climate adaptation features, developing best practices for PPP contractual frameworks in collaboration with the Greek PPP Unit, and equipping the university’s contract management team with capacity building tools—all supported by InvestEU advisory funding. Alexandros Exarchou, Chairman and CEO of the AKTOR Group, stated that the project represents an important milestone for Greece, promising state-of-the-art, green infrastructure that will empower students and drive social progress. Piraeus Bank’s Theodore Tzouros added that this initiative not only addresses the critical need for affordable student housing but also bolsters the local community and economic growth in Greece. This announcement follows the EIB Group’s wider commitment to housing, which includes plans to invest around €10 billion in new and renovated housing across Europe over the next two years, aiming to deliver 1.5 million housing units.

Background information  

EIB

The European Investment Bank (ElB) is the long-term lending institution of the European Union, owned by its Member States. Built around eight core priorities, we finance investments that contribute to EU policy objectives by bolstering climate action and the environment, digitalisation and technological innovation, security and defence, cohesion, agriculture and bioeconomy, social infrastructure, high-impact investments outside the European Union, and the capital markets union.

The EIB Group, which also includes the European Investment Fund (EIF), signed nearly €89 billion in new financing for over 900 high-impact projects in 2024, boosting Europe’s competitiveness and security.

All projects financed by the EIB Group are in line with the Paris Climate Agreement, as pledged in our Climate Bank Roadmap. Almost 60% of the EIB Group’s annual financing supports projects directly contributing to climate change mitigation, adaptation, and a healthier environment.

Fostering market integration and mobilising investment, the Group supported a record of over €100 billion in new investment for Europe’s energy security in 2024 and mobilised €110 billion in growth capital for startups, scale-ups and European pioneers. Approximately half of the EIB’s financing within the European Union is directed towards cohesion regions, where per capita income is lower than the EU average.

High-quality, up-to-date photos of our headquarters for media use are available here.

Media Contact:

Press Office

press@eib.org
+352 43791

SOURCE: European Investment Bank