Bakuriani- | Entertainment Facilities; Hotel Market 2014 Bakurani

Foreword

Georgia, located at the crossroads of Europe and Asia, is a combination of uniqueness and diversity. The country, known as ”the cradle of wine”, offers the Caucasus mountain range, Black Sea coastline, diverse climate and highly acclaimed mineral waters. There are stunning national parks, UNESCO Heritage Sites, rich culture, delicious cuisine and famous Georgian hospitality.

From the architecture of ’s Old Town to the vineyards of ; from the ancient stone towers of Svaneti to the beaches and nightlife of , there is something inspiring, stimulating and exciting for everyone.

Ski the (Europe’s highest mountain range) in the morning and relax at the Black Sea coast in the afternoon. Sample the delicious Georgian cuisine and wine at a traditional “Supra” (feast), then relax in our natural saunas and spas.

Georgia has a unique welcoming culture which helps explain its world-famous hospitality. With its unique music, alphabet and language, as well as many world-famous artists, Georgia will surprise and delight you at every turn.

2 SPECIFIC STUDY | BAKURIANI-BORJOMI 2014 Bakurani

Bakuriani Bakuriani ski resort

Thanks to its mountainous character Georgia offers various winter resorts, of Number of ski runs 17 which the main are: and Bakuriani.

Bakuriani is a ski resort in the Borjomi region, located on the northern slope of Total length of ski runs 19 km the Trialeti Mountain Range, at an elevation of 1,700 metres above sea level. Bakuriani is located 2.5 hours drive from Tbilisi. The resort attracts a wide variety Snowmaking 2 km of tourists for skiing and winter sports. Artificial snow machines have been installed on the ski run Didveli recently, which will probably increase number Top elevation 2,700 m tourists of the resort.

Bakuriani is connected with Borjomi by an electrified narrow-gauge railway, Number of cableways 15 Kukushka. It was established in 1902. Kukushka still attracts tourists with an amazing 2.15 hour long tour from Borjomi to Bakuriani in winter as well as in Distance from Tbilisi 180 km summer. Source: Mountain Resorts Development Company Bakuriani park is the main destination of the resort. It offers visitors skating and Colliers International Georgia skiing opportunities. Bakuriani provides cultural entertainment as well. Cinema, located in the center of the resort, hosts visitors during the winter and summer Bakuriani Ski-lifts Information seasons. Kokhtagora 1,771 metres long Gastronomy sector of Bakuriani is dominated by traditional Georgian restaurants. Didveli 3,800 metres long Total number of supplied accommodation units, rooms and beds are 63, 1,195 Tatra 1,800 metres long and 3,238 respectively. ADR and occupancy rates in Bakuriani are USD 58 and 25 25 metres long 34% respectively. Park 100 metres long

Demand: Number of Hotel Guests Supply

25 70 5000 3195 3238 4500 60

20 4000 Thousands 50 3500

15 3000 40 2500 10 30 62 63 2000 1195 20 1160 1500 5 1000 10 500 0 2007 2008 2009 2010 2011 2012 2013 0 0 2013 2014

Source: Colliers International Source: Colliers International

3 SPECIFIC STUDY | BAKURIANI-BORJOMI 2014 Borjomi

Borjomi Demand: Number of Hotel Guests Borjomi is a resort town in south-central Georgia with a population estimated at 14,445. It is one of the districts of the Samtskhe- 25 Javakheti region and is situated in the northwestern part of the region in the picturesque Borjomi Gorge on the eastern edge of the Borjomi- 20

Kharagauli National Park. The town is famous for its mineral Thousands water industry (which is a major export of Georgia), the Romanov 15 Summer Palace in and the Borjomi- National Park. Borjomi mineral water is particularly well known in those countries which were part of the former Soviet Union. Because of the healing 10 properties of the area's mineral springs, it is a frequent destination for people with health problems. Borjomi is also home to the most extensive 5 ecologically-themed amusement park in the Caucasus. 0 The total number of accommodation units, rooms and beds supplied by 2007 2008 2009 2010 2011 2012 2013 Borjomi are 19, 440 and 1,035. Rixos Hotel in Borjomi started operating in January 2015. Source: Colliers International ADR and occupancy rates in Borjomi are 58 USD and 58% respectively. Borjomi is the a balneological resort in the east of Georgia. The resort is famous for the mineral water Borjomi, initially bottled in 1890. Mineral water affectively treats digestive system and metabolic diseases. It is especially popular in the Post-Soviet republics. Supply Borjomi Park is an important destination of the city. The park occupies up 20 1035 1035 1600 to 30 hectare land plot and attracts visitors with its amazing nature and 18 the entertainment opportunities. 1400 16 Tennis courts and swimming pool are also located in Borjomi Park. The 1200 14 resort offers tourists rafting and hiking as well. 1000 12

Borjomi is also famous for its Museum of Local History. The building was 10 800 19 19 initially designed as the chancellery of the Imperial House of Romanovs in 8 600 1890. The Borjomi Local History Museum has four departments. They 6 include: archaeological, historical-ethnographical, applied art and local 400 4 landscape and nature departments. 440 440 200 2

Gastronomy market of the city is dominated by traditional Georgian 0 0 restaurants. Gambling industry in Borjomi is in a very early stage of 2013 2014 development. Source: Colliers International

4 SPECIFIC STUDY | BAKURIANI-BORJOMI 2014 Project team

Mark Charlton Nikoloz Kevkhishvili MRICS Head of Research & Head of Valuation and Forecasting Advisory United Kingdom Georgia

Roger Hobkinson Ramaz Sharabidze Director Research Analyst Ireland Georgia

Bruno Berretta Mariam Benashvili Senior Research Analyst Junior Research Analyst EMEA Georgia

Zurab Kananashvili Nino Jashi Director of Professional Junior Research Analyst Services Georgia Georgia

5 SPECIFIC STUDY | BAKURIANI-BORJOMI 2014 485 offices in 64 countries on 6 continents

$2.1 billion in annual revenue 1.46 billion square feet under management 15,800 professionals and staff

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SPECIFIC STUDY | GUDAURI-KAZBEGI & BAKURIANI-BORJOMI 2014