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Two Tourist Centers of Georgia: Tbilisi and Batumi

Tbilisi Tourism Profile
Tbilisi is one of the largest cities in the Caucasus as well as one of the largest in Eastern Europe, with a population of 1.2 million. Tbilisi accounts for over 25% of the national population. It is the industrial, cultural and social centre of Georgia.Spread over a 490.6 square kilometre area, Tbilisi is one of the few places on the planet where a synagogue and mosque are located next to each other. Despite an overwhelmingly orthodox Christian resident population, Tbilisi generously accommodates diverse cultures, religions and ethnicities.
The city generates 52% of the country’s economic output, and accounts for most of the formal employment. Larger incomes in Tbilisi compared with the rest of Georgia, boosts spending on recreation and culture as well as restaurants and hotels.
Existing international hotel brands in Tbilisi are Sheraton, Radisson, Marriot, Courtyard Marriot and Holiday Inn, Citadines apart’ hotel as well as Best Western Tbilisi. Other major projects have been announced (Intercontinental, Hilton Garden Inn) and some of them under construction (Millennium, Rixos, Park Inn by Radisson).
The city is actively developing its tourism sector. Thanks to low taxes and a favourable climate for investors, Tbilisi is ranked among the top five European cities by the EBA (European Business Association) Attractiveness of Investment index.
On July 15, 2014 local government elections were held in Tbilisi. Due to this fact there is a transition period in City Hall and the new government will establish city development plans in the near future.

Tbilisi Hotel Market Overview
The number of hotel guests in Tbilisi has been growing over the years, with the only exception being 2008, when it declined by 8% compared to the previous year. The main cause of the decline was because of the conflict between Georgia and Russia in August 2008. The share of business travellers as a proportion of the total number of hotel guests has been declining in recent years. It has dropped from 69% in 2008 to 37% in 2013, despite the fact, that absolute number of business travellers has increased. Big share of international visitors to Tbilisi are business travellers, who have demand on International Brand Hotels. Tourists mainly have demand for economy class boutique hotels, which are cheap and have favourable location, mainly in Old Tbilisi.
The number of accommodation units in Tbilisi has increased by 17 from 2013 to 2014, adding 555 new rooms and 1,385 beds. In 2015, the construction of seven new hotels will be completed, which will increase supply by 900 rooms. Biggest share (38%) in room supply in Tbilisi is Local Budget/ Economy Class, next comes Local Upscale and Middle Class hotels with 35%, International Upscale and Midscale Brands occupy 10% and 17% respectively.

Batumi Tourism Profile
Adjara is one of the most beautiful parts of Georgia. It is the most southwestern region of the country, located near the border with Turkey. Its administrative centre is Batumi. Batumi seaport is Georgia’s main sea gateway. In the south, Adjara borders with Turkey; in the west and northwest it is flanked by the Black Sea.
In Georgia, especially in Adjara, there are unique natural conditions for the development of all types of tourism. Adjara is famous for sun and beach tourism as well as for ecotourism (rural tourism) and entertainment.
Today, Batumi is a fast-growing tourist region. Batumi has undergone serious changes and reforms, significantly improving its worldwide image and making its investment climate more attractive to foreign investors. The hospitality market in Batumi is developing as the inflow of foreign visitors, businessmen and delegations increases at a fast pace, which is attracting well-known international hotel chains.
Currently two international upscale brand hotels are present in Batumi: Radisson and Sheraton. Other major branded hotels are under construction, including Grand Rixos Hotel, Hilton and Holiday Inn.
Today Batumi has become a distinguished tourist center on the Black Sea. Recent years have seen unprecedented measures taken to develop and encourage the development of the tourist market. The residential houses of Old Batumi have been reconstructed; water supply and drainage systems have been totally restored and renovated. Many tourist attractions have been created and international brand hotels have opened. Batumi has become a centre of cultural events and international gatherings. Concerts attract the participation of world celebrities and the city hosts international festivals in art and sports. Batumi is distinguished by its abundance of diverse architectural buildings, which give the city a vibrant atmosphere.

Batumi Hotel Market Overview
The number of hotel guests in Batumi has been constantly growing since 2009, but came to halt last year.
The number of accommodation units in Batumi has increased by 29, from 2013 to 2014, adding 873 new rooms and 1,772 beds. 75 more rooms will be added until the end of 2014. In 2015 construction of 5 new hotels will be completed, which will increase supply by 845 rooms.