London-based interior design company, MKV Design has begun work on the second phase of development for the Grand Resort Lagonissi, 40km from Athens.

Part of Helios Hotels and Resorts, the resort's six-year development scheme began in 2000 with the refurbishment of the 60 existing villas and public areas and the building of two new restaurants.

The new phase involves the creation of a conference and function space including a ballroom, outdoor ballroom and nightclub. The three venues will each will cover 1,500sq m and hold up to 3,600 people between them.

There will also be an amphitheatre, boardrooms and conference and meeting rooms.

MKV will also oversee the final stage of the development, which will involve the fit out of a new spa and is currently beginning concept work for a new boutique hotel for the resort.

Further villas and restaurant will also be built before the project is completed in 2006.

"This is a very exciting time for hotel and leisure designers working in Greece," said Maria Vafiadis, founder of MKV Design.

"Stimulated by the Olympic Games, but also by a wider confidence in Greece of the role it can play as a modern European country, world class resorts are now being developed to cater for both national and international travellers." Details: www.mkvdesign.com