August 31st, 2005

Yesterday's agreement between the Mayor of Athens and Panathinaikos marks the beginning of the end of the long-lasting saga that goes by the name "Panathinaikos New Stadium". Following several months of negotiations, the main points of the memorandum that was signed yesterday are the following:

- The new sports centre will be constructed in the industrial area of Eleonas, in Votanikos, about 3 km west of the Athens city centre.

- It will include a football stadium with a capacity of 35,000 to 40,000 and an indoor arena for basketball with a capacity of 6,000 to 8,000. It will also include areas for other sports (e.g. swimming pool, halls for indoor sports such as boxing etc).

- A shopping centre will be constructed next to the sports facilities.

- Financing will come through a Special Purpose Entity (SPE), to be jointly established by the City of Athens and the National Bank of Greece. Both parties currently own parts of the area on which the project will be constructed.

- Panathinaikos are granted exclusive use of the new stadium for 49 years. They will have to pay 15 per cent of gate revenues to the SPE. They will also have to pay a yearly rent of €3.3 million for 20 years (amount to be adjusted according to the EURIBOR fluctuations).

- The old stadium of Panathinaikos (Apostolos Nikolaidis) in the centre of Athens will be demolished and the area is to be converted into a park.

- Construction of the new stadium will commence in October 2006 and is scheduled to be finished by the summer of 2008. Construction of the new indoor arena will commence 5 years after the completion of the football ground.

Related articles:
Plans of new Panathinaikos stadium at Leoforos revealed (24/10/03)
Proposal for total reconstruction of Apostolos Nikolaidis Stadium (20/2/03)
Apostolos Nikolaidis (Leoforos) Stadium may be expanded (31/10/01)
Panathinaikos will build their new stadium at Hellinikon (1/9/01)
New site proposed for Panathinaikos's new stadium (12/8/01)
Panathinaikos demand an area to build their new stadium (7/7/01)