Israel Canada Hotels (IC Hotels) has invested more than €30 million in Greece since April 2025, when it acquired the operations of Brown Hotels, with the aim of expanding its portfolio and upgrading its existing hotels.
By 2028, Brown Hotels plans to expand its presence in Greece further, increasing its portfolio to 15 hotels, six of which will be owned by the company. The investment plan of the company, which aims to strengthen its presence in Greece’s hotel sector, centres on new projects in Attica, Aegina and Corfu.
“Greece is an excellent market, with significant potential for growth in both the resort and city hotel sectors,” Reuven Elkes, group CEO and partner at Israel Canada, said, among other things, during a press briefing.
Brown Hotels’ expansion is not limited to the Greek market. The company is broadening its presence in Europe, focusing on Germany and Italy, both through its own brand and by managing hotels owned by third parties.
Expansion in Greece
From nine hotels today, the Israeli-owned group’s Greek portfolio is expected to grow to 15 by 2028.
A significant part of the investment plan is focused on Athens, where Brown Hotels is advancing new projects and renovating existing properties.
In the Psyrri district, the company plans to develop Brown Theatrou, a new four-star hotel with 49 rooms on Theatrou Street. The new hotel, to be developed at 6 Theatrou Street, will effectively complement the existing PLAY Theatrou Athens, which operates at number 5.
The company’s plans also include the redevelopment of a neoclassical property on Lykourgou Street in central Athens, where it plans to open the Lykourgou Hotel, with 34 rooms and suites.
The hotel is expected to open in 2028. According to Brown Hotels’ management, it is a complex project requiring lengthy procedures. In addition to these two hotels, the company is also in talks to acquire another property in the same area.
The Brown Acropol, the chain’s first hotel in Greece, is also included in a programme to upgrade existing properties. The planned renovation covers the hotel’s reception areas, rooms and rooftop. The property has 164 rooms and suites.
Outside central Athens, Brown Hotels is in the final stages of acquiring the Marathon Beach Resort in Nea Makri, which it currently manages. The 160-room resort is due to be upgraded by 2027, with the aim of repositioning it in the market as a four-star hotel complex under the Brown Hotels brand.
In Aegina, Brown Hotels is expanding its portfolio through a management agreement for a new hotel in Agia Marina. The Aurablu Aegina is a four-star hotel with 58 rooms, currently under construction, and is scheduled to open in May 2027.
In Corfu, the company is strengthening its presence in the Barbati area, where it has taken over management of Ionian Crown Suites. The complex currently has 21 suites and is being expanded, with the aim of reaching 76 accommodation units in 2027 and 177 by the end of 2028. Plans include the development of private villas and new facilities, with the aim of creating a larger resort complex.
“Everything we announced last year has been implemented. Our plan has progressed as originally envisaged, and we have managed to strengthen the company’s international profile,” said Spiros Ioannou (pictured), chief executive officer of Brown Hotels in Greece and Cyprus.
Beyond these projects, the management of IC Hotels, which is listed on the Tel Aviv Stock Exchange, is considering additional investment opportunities in Thessaloniki, Crete and Rhodes, while continuing to focus on Athens.
“I just want to say how proud I am of this team. I am proud that the Brown brand is growing,” said Leon Avigad, founder of Brown Hotels.
A new growth model
Brown Hotels’ portfolio expansion under IC Hotels’ ownership is accompanied by a shift in its growth model, with greater emphasis on managing hotels owned by third parties, alongside its own properties.
As part of this approach, the group is expanding its partnerships with owners and investors, taking on both hotels repositioned in the market under the Brown Hotels brand and independent properties through white-label agreements, without changing their commercial identity.
The strategy is also reflected in the company’s financial performance in 2026, with revenue up 7.6% year on year and EBITDA rising by 9.7%, according to Sp. Ioannou.
Despite the difficulties faced by the Athens market in April and May, the company managed to meet its targets, and management is optimistic about 2027, particularly regarding the performance of its resorts.
Expansion in Germany and Italy
International growth is the group’s second main strategic focus, with Brown Hotels accelerating its expansion in Germany and Italy and aiming to grow its European portfolio to more than 20 hotels in 2027. The development programme includes, among other projects, seven new hotels in Germany and a 148-room property in Milan, adding more than 2,500 rooms to the group’s international portfolio.
Company profile
Brown Hotels was founded in Israel in 2010, while Israel Canada Hotels was established in 2019 as the hotel arm of Israel Canada, one of the country’s largest real estate groups.