Georgia welcomes 8 new projects worth $574m

A $6 billion USD private investment fund – the Georgian Co-Investment Fund (GCF) – announced an "unprecedented initiative” today that involves implementing eight large-scale investment projects in Georgia.

The initiator and investor of the eight projects was former Prime Minister of Georgia, billionaire Bidzina Ivanishvili.

Ivanishvili will initially fund the cost of establishing the projects however he would hand over the projects to investors at any stage of the project’s development, said GCF. However Ivanishvili would continue to support investors and would keep investing in the projects without any profit or commercial interests. The profit and commercial interest would go to the new investor, said GCF.

The deal between Ivanishvili and investors would be achieved if investors successfully implement the projects within the deadline.

These projects are:

1. Hotel Shekvetili

Artist impression by GCF. 

The Hotel Shekvetili will be built in Shekhevtili, located on eastern Georgia’s Black Sea coast. The investment sum of this project is $77 million USD. The project is expected to be completed in late 2016. 

2. Hotel at Erekle II Square 

Artist impression by GCF.

In total $9 million USD will be invested to build the hotel, which should open in 2017.

3. Hotel at Erekle II Square

Artist impression by GCF.

A second hotel with the same name in the same location will be built, worth $40 million USD. This must be opened in 2019.

4. Hotel Freedom Square

Artist impression by GCF.

This hotel should open in 2018 and will cost $90 million to build.

5. Hotel Sololaki

Artist impression by GCF.

The hotel will open in capital Tbilisi in 2019. The investment sum of this project was $200 million USD.

6. Hotel Ganmukhuri

Artist impression by GCF.

The hotel will open in Georgia's Black Sea village Ganmukhuri in 2018 and will cost $40 million USD.

7. Magnolia recreational complex

Artist impression by GCF.

This $80 million USD project must be completed in 2019.

8. Tabori project

This project will be implemented on Tabori mountain in Tbilisi, near Mtatsminda. It will cost $40 million USD and should open in 2018.

In total $574 million USD will be spent on the eight projects in Georgia. As of today 216 million GEL (about $98 million/ €86 million*) has been invested in the eight initiatives.