The Sani/Ikos Group is raising the total value of its investments and acquisitions in Crete to more than €400m, continuing its investment drive on the island with the acquisition of Out of the Blue Resort in Agia Pelagia, near Heraklion.
The latest deal, which is understood to be worth around €125m, comes just hours after the official announcement that listed company Dimand had acquired the 34.6-hectare coastal site at Gournes for €72.5m, taking the combined value of the two latest deals in Heraklion to about €200m.
Including the investment of more than €220m in the first phase of development of Ikos Kissamos in Chania, the group’s investments in Crete disclosed to date exceed €417m. This figure does not include additional costs for building the new resort at Gournes, carrying out a major refurbishment of Out of the Blue or the planned expansion of Ikos Kissamos.
Investment plan
With the two latest acquisitions, Sani/Ikos is expanding its presence in the luxury hospitality market and establishing a significant investment footprint in the wider Heraklion area. Its plans call for the development of two new Ikos Resorts, with a combined capacity of about 1,100 rooms, suites and villas. Together with Ikos Kissamos, they will form a portfolio of three luxury resorts under the Ikos brand on the island.
The group’s investment plan for Out of the Blue Resort, on a private coastal peninsula of about 140,000 sq m in Agia Pelagia, includes an extensive refurbishment and upgrade to transform it into a new Ikos Resort, with about 500 rooms and suites.
The second new resort, with about 600 rooms, suites and villas, is planned for Gournes. The two Heraklion projects are expected to be completed in 2031 - 2032.
The story behind the acquisition
Out of the Blue is one of the best-known hotel resorts in the wider Heraklion area, with a long history in Crete’s tourism sector. The property occupies a private peninsula with direct access to the sea and includes hotel facilities, rooms, suites and villas. Its area of about 140,000 sq m and distinctive location are key assets as the property enters a new phase of development.
For decades, the resort was associated with the Kapsis family, which had built a significant presence in Crete’s hotel industry. It later came under the control of an investment vehicle backed by Hines and Henderson Park, before being acquired by Sani/Ikos.
The planned repositioning of Out of the Blue under the Ikos Resorts brand is part of the group’s strategy to develop luxury all-inclusive resorts, with a focus on high-end services.
This acquisition differs from the Gournes deal because it involves an existing hotel resort that will be upgraded and repositioned under a new brand, whereas the Gournes project calls for the development of a new hotel.
International portfolio
With these deals, the Sani/Ikos Group is significantly expanding its presence across Crete. Its arrival on the island came through Ikos Kissamos, in Chania, which welcomed its first guests in spring 2026.
Once the two new investments in Heraklion and the expansion at Kissamos are complete, Sani/Ikos’s portfolio on the island will comprise three luxury resorts under the Ikos brand, with a combined capacity of about 1,620 rooms, suites, bungalows and villas.
The two acquisitions in Heraklion add to the Sani/Ikos Group’s wider investment programme, which exceeds €1bn and includes the development of new hotels and the upgrading of existing facilities in Greece, Spain and Portugal.
The group currently owns 13 resorts, with a combined capacity of 3,991 rooms and suites. Three more Ikos Resorts, with a total of 1,550 rooms, suites and villas, are under development in Halkidiki, Marbella in Spain and the Algarve in Portugal, and are due to open by 2029. The current Ikos Resorts portfolio includes properties in Halkidiki, Corfu, Kos, Crete and Spain.
The group is also carrying out an upgrade programme at existing hotels. This includes a complete refurbishment of the 290 rooms and suites at Ikos Oceania in Halkidiki, a major renovation of the luxury three-bedroom villas at Ikos Dassia in Corfu, as well as upgrades and an expansion at Porto Sani and the phased refurbishment of Sani Beach, with completion targeted for 2028.
Singapore’s sovereign wealth fund GIC is the Sani/Ikos Group’s main shareholder. It acquired a majority stake in 2022 in a deal that valued the hotel group at €2.3bn.