Fraport Greece looks to expand airport portfolio as traffic nears 39 million

Fraport Greece is preparing to take over Kalamata Airport and build a new terminal capable of handling more than one million passengers annually, while also pursuing the concession of a further 22 regional airports across the country.

Speaking to Air Service One at World Routes in Frankfurt, Fraport Greece CEO Alexander Zinell outlined the company’s expansion plans, its efforts to extend the Greek tourism season and a cautiously optimistic outlook for 2027.

Fraport Greece, which currently manages fourteen regional airports, will assume responsibility for Kalamata on 6 November 2026. The addition marks an important geographical expansion into the Peloponnese, a region Zinell believes has considerable untapped tourism potential.

“For us, the Peloponnese was a big blank spot. Kalamata is the main, and we believe it will become in the future, the main airport serving the whole Peloponnese”, Zinell said. He described the region as diverse, offering coastlines, mountains and agricultural attractions, but remaining relatively underdeveloped.

The company plans to construct an entirely new terminal, expand the aircraft apron and increase capacity to comfortably accommodate more than one million passengers annually. Kalamata is expected to handle between 380,000 and 400,000 passengers this year. Construction is scheduled to begin in early 2027, with the new facilities potentially ready for summer 2028 and completion targeted no later than summer 2029.

The investment follows sustained growth across Fraport Greece’s existing portfolio. Passenger numbers are expected to approach 39 million in 2026, compared with approximately 25 million in the year preceding the company’s takeover of the fourteen airports in April 2017. During that period, terminal space has increased by 50%, from 200,000 to 300,000 square metres.

“Greece is driving growth”, Zinell said. “What really is driving growth is the investment in hotels, in experiences, in the upgrade of the Greek touristic experience”. He added that the country’s popularity and value-for-money proposition have supported continued increases in demand.

However, the highly seasonal nature of Greek tourism remains a challenge. Passenger numbers across Fraport Greece’s airports can fluctuate from approximately 700,000 per month during January and February to seven million in peak summer months.

To encourage more balanced traffic throughout the year, the company has introduced winter and shoulder-season incentives, including discounts of around 50% on passenger service charges for qualifying winter operations. The measures have helped extend services at destinations such as Chania, where some airlines now operate into November rather than ending their schedules in October.

“This can only work together in conjunction with the community”, Zinell explained, emphasising the importance of hotels, restaurants and other tourism businesses remaining open beyond the traditional summer season.

He nevertheless acknowledged that reducing seasonality would require long-term investment across the wider tourism industry, particularly on islands where much of the accommodation infrastructure is designed primarily for summer use.

Further airport concessions and a cautious 2027 outlook

Beyond Kalamata, Fraport Greece is seeking to expand its portfolio through the potential concession of another 22 regional airports currently operated by the public sector. The company’s shareholders submitted an expression of interest in September.

The proposed concession presents a different commercial proposition from the company’s existing airports. The 22 facilities collectively handle approximately 2.5 million passengers annually, meaning government support would be necessary to ensure their long-term viability.

“We think that we can add more airports to this platform”, he explained. However, Zinell expects the concession process to take another two to three years, with the government yet to determine the financial framework and terms.

Meanwhile, Fraport Greece is approaching 2027 with caution despite stronger-than-expected traffic growth this year. Passenger numbers are currently increasing by 4.8%, approximately three percentage points above the company’s original forecast.

Zinell identified uncertainty surrounding fuel prices, geopolitical developments and economic conditions in major source markets, particularly the United Kingdom, Germany and France, as key risks. Scheduled seat capacity for 2027 is expected to remain broadly in line with this year’s levels.

“The priority is to run a tight ship in terms of operating expenses, to be ready for growth should it kick in, but to be rather cautiously optimistic and be prepared should there be a stagnation or maybe even a slight downturn”, Zinell concluded.