A local family realised the importance of an area of unspoilt nature and purchased it to protect it by developing a tourism use to fund its conservation. Families are more likely to think long-term, motivated to leave something for their children and grandchildren. It makes sense as a business strategy with 45% repeat bookings. It is an exclusive resort, avoiding becoming a “tragedy of the commons”, but the sign-posted forest trails are “experienced and enjoyed by guests and the local community.”
Sani is exceptional
As I wrote here last week, overtourism is a classic “tragedy of the commons” problem. “Overtourism describes destinations where hosts or guests, locals or visitors feel that there are too many visitors and that the quality of life in the area, or the quality of the experience, has deteriorated unacceptably.” The problem is that destinations have great difficulty in preventing too many visitors arriving, they are “common pool resources.” The indoor and outdoor public spaces in destinations are free to use, and there is no mechanism readily available to limit numbers too often, resulting in a tragedy of the commons.
If you played the video, you will recall that I was asked for my view of Disneyland and that I am enthusiastic about it. Disney is not my thing. In 2021 Disneyland Paris had 3.5 million visitors. Within the destination, Disney manages the visitors, maintains the attractions, provides and cleans the toilets, and picks up the litter. Disney can control visitor flows. It is a gated attraction with all the advantages of not being a “common pool resource.”
The Sani Resort comprises 1,000 acres of Greece’s Kassandra Peninsula. Opened in 1971, it has grown to include five hotels surrounded by a private forest, a bird sanctuary and white sand beaches; 24 restaurants, 22 shops, 20 bars and five themed spas; and a private yacht marina. Co-founded by the brothers Anastasios and Stavros Andreadis, the company has attracted investment from Mathieu Guillemin, Oaktree Capital Management, Goldman Sachs Asset Management and Hermes GPE. “It’s like a small town,” Andreadis explains. “We are not only hotel operators; we are more like mayors running a dream municipality. We have to manage every aspect.”
It is a very successful business with high year-round occupancy, Sani allocates 3% to 4% of revenue to ensure properties stay fresh. “We invest heavily in keeping our assets completely brand new,” Andreadis says. “When the client enters the room, every fabric is fresh, every piece of furniture looks like it was just built. Every year we add new things — a new pool, a new club, another restaurant… Our customers love to see we are reinvesting in our properties.”
Quite so, private ownership makes it exclusive, five luxury hotels in the hands of the Andreadis family provide the fance to secure the future of the 1,000-acre nature reserve, the Sani wetlands, pine forests and seven exclusive Blue Flag beaches. Now running on 100% renewable energy Sani is managed for longevity and earns enough to deliver it through sustainable hospitality operations, protecting and enhancing biodiversity on the property and supporting the local community through employment, staff and community development and sourcing local produce.
Back in January, I had the opportunity to record an interview with Eleni Andreadis, their Group Director of Sustainability and CSR.
