The island of Crete is looking forward to a number of new hotel openings and developments, as it shares in the upside being felt across the Greek hotel market.
Recent strong performances underline the full recovery of the country’s tourism sector. And that strong uplift is garnering the attention of major hotel brand groups, along with seasoned hospitality investors. Outside the mainland, many island markets are characterised by small hotels, which can present a challenge for the brands seeking efficient, larger scale operations.
Growing Visitor Numbers
According to figures from the Bank of Greece, international arrivals were up 4.1% year on year, for the 12 months to August 2025. The peak summer season was particularly strong, with arrivals up 6.4% in July, and up 8.1% in August. At Thessaloniki airport, international traffic was up 10% year on year. Largest source markets for leisure travellers are the UK, Germany and Italy.
As one of the larger Greek islands, Crete has long been a tourist destination. Now, however, the big international brands are looking for, and finding, opportunities to bring more luxury brand offerings to travellers.
During 2025, there were several notable openings. In June, the JW Marriott Crete Resort & Spa launched near Chania, the brand’s first Mediterranean hotel. The following month the five star boutique Tella Thera hotel opened in Kissamos.
In May 2026, Spanish hotel group Melia will open its Innside hotel in Elounda. The new five star lifestyle resort on the north coast of the island will be owned and managed by Melia’s local partner, Zeus Hotels. The hotel will have 86 rooms, the majority of which will enjoy sea views. Of the total, 18 will be deluxe suites with private pools.
Also in Elounda, Rosewood Hotels will open in 2026, following the repositioning of the Blue Palace hotel. The new Rosewood, the group’s first Greek property, will have 154 rooms, of which 85 will have private pools.
In Chania, investment partners Brookfield and Domes announced plans at the end of 2025, to transform the Domes Zeen Chania Hotel. Brookfield will acquire a majority stake in the property, and back the injection of EUR40 million in upgrades. Currently, the beachfront property has 105 rooms, and operates as part of Marriott’s Luxury Collection.
New Investors Emerge
While Brookfield is a seasoned investor in the hospitality space, across the US and Europe, this will be the group’s first investment in the Greek market. “With Domes now a stabilized platform supported by a strong brand, we look forward to working with Brookfield to embark on our next phase,” said Domes CEO, George Spanos.
Currently in the planning stage, Tsiledakis Group is planning to build a new four star hotel in Georgioupoli, Chania. The 150 room property is likely to be operated under an international brand, with local media noting Tsiledakis Group already collaborates with Hilton at another property.
