The approval of a building permit for a five-star hotel complex in the Sarakiniko area of Milos, developed by the company Unique Development, has prompted an immediate response from the Ministry of Environment and Energy.

As Environment and Energy Minister Theodoros Skylakakis tells protothema.gr, the legality of this tourism investment is now under scrutiny by the relevant authorities, as it must be assessed by the Milos Urban Planning Office. “We cannot accept this kind of development in this area,” states Mr. Skylakakis, adding that the Ministry of Environment has already forwarded a document to the National Transparency Authority to investigate the validity of the building permit. This is necessary because the Ministry of Environment does not have the authority to conduct such checks, as Urban Planning Offices (ΥΔΟΜ) fall under the jurisdiction of the Ministry of the Interior. The next immediate step is to suspend all construction work on the project until the terms and conditions for granting the permit are fully clarified by the ΥΔΟΜ.

According to the building permit, the company Unique Developments ATEE (owned by Mr. Dionysis Koumoudos) plans to construct a new two-story hotel complex with a basement and swimming pools in the “Kaminia” area of Milos, spanning a total area of 19,000 square meters.

The under-construction five-star hotel will have a built-up area of 2,974 square meters and will be just a stone’s throw from one of the island’s stunning beaches.

The case came to light today through protothema.gr, which published photos and official documents related to the project.

See what protothema.gr reported today:

These days, the surreal coastline of Sarakiniko in Milos has been overtaken by excavation machinery and trucks. As unbelievable as it may seem, the beach—one of the most famous and photographed in Greece, ranked the seventh most beautiful place on the planet by Condé Nast Traveller—is now being dug up to make way for a five-star hotel. Who authorized the excavation of the unique, snow-white volcanic rocks, which contain fossils millions of years old?

“Certainly not us,” says the mayor of Milos, Manolis Mikelis, in a statement to protothema.gr. Today, he is expected to request a suspension of all building permits (currently, 15 five-star hotels are being constructed on Milos, some in areas of unique natural or historical significance, as residents protest) until the approval of special urban planning regulations. The municipality has already requested that in a 100-150 meter zone from the coastline, in areas like Sarakiniko, no construction work should be allowed.

Aerial photo of the construction site in progress

Digging up “the most beautiful place on Earth”

The local community of Milos is outraged, watching construction equipment come and go as a worksite is set up to excavate the prehistoric fossil-filled volcanic rocks of the area—rocks that, according to some locals, serve as a refuge for the Mediterranean monk seal and (should be) protected.

“Not even under the Junta were such monstrosities built,” some residents say, referring to the infamous Development Law 395/68, which effectively deregulated construction and allowed for the cementing over of beaches, forests, and mountains. Amid this climate of unrest, some islanders have already begun organizing to prevent the hotel from being built on the famous beach. Are they overreacting?

Think about it: for the residents of Milos, the destruction of the world-renowned, breathtaking beach of Sarakiniko (named after the Saracen pirates who once took refuge there) and its replacement with villas and pools is akin to Athenians watching the Acropolis rock being excavated to build luxury residences. Or to turning the equally famous Navagio Beach in Zakynthos into a resort with bungalows, or digging up Balos or Elafonissi in Crete, Vlychada in Santorini, Xi Beach in Kefalonia, and many more. If it can happen in Sarakiniko, why wouldn’t someone decide to develop Navagio next?

See exactly where construction has begun

According to the Building Terms and Approvals Certificate for the construction permit, the company Unique Developments ATEE (owned by a business family from Kefalonia, headed by hotel entrepreneur Dionysis Koumoudos, who returned from South Africa) purchased the land and is set to build a “new two-story hotel complex with a basement and pools” in the Kaminia area of Milos. This is part of the broader Sarakiniko area, which has different local names in various spots.

The under-construction five-star hotel will have a total area of over 2,000 square meters, according to its building permit, and will be located just a stone’s throw from one of the most photographed places on Earth—the very beach that Greece uses to promote its natural beauty worldwide.

The construction company, as shown in the project’s design plan, has envisioned four rows of semi-underground villas with private pools, plus a central hotel unit with a large, terraced pool offering an uninterrupted view of the turquoise waters, almost directly on the shoreline. Naturally, to make this vision a reality, they will need to carve into the rocks—destroying them—and cover them with cement.

The blueprint of shame: This is how the hotel will look when completed

The damage has already begun, as the first excavations on the rocks—hailed as a “coastal wonder” for their surreal, moon-like beauty—are underway. This raises many pressing questions: How is it possible to permanently destroy a landscape that took millions of years of geological processes to form? Who decides whether or not it is “destruction” to dig up, cement over, and build on a one-of-a-kind, globally significant natural monument? Who has verified that the environmental impact on protected marine mammals will be minimal when constructing in one of their last remaining refuges?

Another major concern is whether this structure will extend onto the coastline and beach itself. Here, the answer is particularly complex—just like the beach itself. Both residents and visitors know that depending on wind conditions, the waves crash differently along the shore. This means that when the hotel is built, waves could very well reach right up to its fence whenever the northern winds blow.

In red: The stunning Sarakiniko. In blue: The location where the hotel is being built

Milos “rises up”

The start of excavation work on Sarakiniko’s white volcanic rocks has not exactly been welcomed with enthusiasm by the people of Milos. On the contrary, the island is up in arms, with some residents already organizing to take legal action both in court and before relevant government authorities. They are determined not to allow the destruction of their world-famous landscape.

Milos’ mayor acknowledges the widespread outrage and is determined to protect the island. However, he also argues that major reforms are needed to empower local communities.

“I don’t know how these boundaries were set. It doesn’t take much, though—since the financial crisis, laws have changed, and now someone can simply submit environmental impact reports and riverbed adjustments to get approval for their plans. There are powerful business interests offering big money to buy land and submit permits to an understaffed planning office,” says Mikelis.

Manolis Mikelis, Mayor of Milos

Milos has only one town planner, and if she falls ill, there’s no one to replace her. But the problem goes beyond that. “The local community is merely a spectator—our municipal council doesn’t even have the right to give an opinion,” Mikelis tells protothema.gr.

“We want to support tourism and investment, but not at the cost of turning the island into concrete and erasing its culture and identity. Milos has space, we have room for development, so we are not against construction per se. However, there must be thorough inspections—permits shouldn’t just be rubber-stamped. Every place has its unique character, and that must be protected. Some areas should be officially designated as landscapes of outstanding natural beauty and safeguarded.”

The issue is escalating, as beyond the Ministry of Environment—expected to suspend all construction work and review environmental regulations today—mayors from neighboring islands are also planning to meet in the coming days to discuss unregulated development and the rapid transformation of their landscapes.