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BGEO subsidiary opens Ramada Encore hotel in Tbilisi
BGEO Group announced on Tuesday that its real estate subsidiary, m2 Real Estate, has opened a Ramada Encore hotel in Tbilisi - the company's first hotel under an exclusive development agreement with Wyndham.
The FTSE 250 firm said the hotel featured a capacity of 152 rooms, a restaurant, offered conferencing and fitness facilities, and would cater the needs of the rapidly-growing market for budget travelers in Georgia.
It said the average daily rate of the hotel in the stabilisation year was projected at $110, with an expected occupancy rate of 70%.
The company's investment in the hotel, including the land value, totalled $14m.
"I am delighted that m2 has developed its first hotel under the Ramada Encore brand, which allows the company to specifically target the very lucrative budget travelers' segment in Georgia," said m2 CEO Irakli Burdiladze.
"This is a significantly underserved and, more importantly, very rapidly growing segment of Georgia's tourism sector, and m2 is successfully taking advantage of this opportunity."
Irakli Gilauri, CEO of the BGEO group, added his congratulations to m2 for achieving what he said was the first milestone in its hotel development strategy.
"The company has made a significant step towards reaching its goal of creating a portfolio of 1,000 rooms throughout Georgia within the next two to three years," Gilauri explained.
"Tourism remains the engine of Georgia's economic growth and m2 is fully equipped to meet the growing demand generated by the increasing number of international visitors."