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New REM Research Results: TBILISI SNAPSHOT

New research results under the joint project of TBC Bank, ISET Policy Institute and Jumpstart Georgia Real Estate Market Laboratory (REM lab) were published a few days ago. REM lab team collected and processed data about 15 000 real estate transactions for the period of July-September 2016.

According to survey, ASP (average sale price per sq.m) for residential property in July-September 2016 varied from USD 859 to USD 868.

For July-September 2016 TOP 3 districts by sales in Tbilisi are:

  • Vake (average 529 units, 20.1%)
  • Saburtalo (average 406 units, 15.4%)
  • Samgori (average 292 units, 11.1%)

For September 2016, most expensive and cheapest districts of Tbilisi by ASP are: Mtatsminda (USD 991) and Samgori (USD 555).

SPI (sale price index) for residential property grew by 1.4% MoM and fell 2.4% YoY in September 2016. During last months SPI increased from 1.020 to 1.036.

For September 2016, most expensive and cheapest districts of Tbilisi by ARP (average rent price per sq.m) are: Mtatsminda (USD 8.06) and Gldani (USD 4.31). ARP for residential property in July-September 2016 varied from USD 6.88 to USD 7.13.

RPI (rent price index) for residential property grew by 0.01% MoM and decreased 15.6% YoY in September 2016. During last months RPI increased from 0.933 to 0.955.

As for Commercial Real Estate[1], SPI grew (+30.4% MoM & +12.2% YoY) in September 2016, while ASP varied from USD 1 016 to USD 1 075 in July-September 2016.

ARP for commercial property in July-September 2016 varied from USD 9.52 to USD 10.58 and RPI for commercial property fell (-17.1% MoM & -33.6% YoY) in September 2016.

As it seems, Tbilisi real property market continues growth: sales grew to 3331 units (+14.0% MoM & +47.1% YoY) in September 2016 to hit a new monthly record. Market rose also in July 2016 (+4.3% MoM) followed by slight decrease in August 2016 (-0.3% MoM).

Share of Tbilisi in Georgia sales reached 42.1% (highest-ever share) in September 2016 (39.2% in July, 36.2% in August).

Publication is available through the link iset-pi.ge

 Published data on commercial property prices are pilot and preliminary.