Suspended hotel project will shortly resume in Georgia

After seven years of suspended construction, the former Agriculture Ministry building in Georgia’s capital will be transformed into a luxury hotel.

Plans showed the central Tbilisi building would be renovated into a new hotel within the next few years.

The Georgian Government exempt investor firm Georgian Property from its existing fines, which were earlier imposed on the company for "not meeting investment obligations”.

The agreement to open a five-star hotel in the building was signed by the company and the previous government in 2007. However construction of the luxury hotel, located near Tbilisi Concert Hall, was suspended due to August 2008 war between Russia and Georgia.

Yesterday the current Government made amendments to the agreement, which stated Georgian Property was obliged to build a 120-room five-star hotel within 48 months of signing an agreement.

The agreement has not yet been signed.

Georgian Property is expected to invest $20 million USD to build the high-quality hotel.