The company "RED-co" began  construction of a new building  in the vicinity of "Batumi Tower". The company’s  representative Malkhaz Kunelauri explains in an exclusive conversation with  "Commersant" that the company received a construction permit from the Economy Ministry last week.

 As reported, a five-star hotel of  LeMeridien network will  be placed in the new building. The layout of rooms in  "Batumi Tower" didn’t allow to place  a high class hotel here, so the company decided to build  the hotel  in the vicinity of the existing  building on the area of about 10 000 square meters.

Casinos, restaurants, lounges and similar facilities will be located in "Batumi Tower".
 

"RED-co" invests at least 15 million in the hotel reconstruction, but considering the scale of the project,  the amount may reach $ 80-100 million.

"RED-co" purchased Batumi Tower via auction for $  25 million this March which is owned by the Belize-based CELWOOD INVESTMENT LIMITED.

According to the terms of the auction, the investor is obliged within the next three  years after  a contract was signed  to launch  a 4-star hotel complex consisting of at least 100 rooms as well as related infrastructure (including sports and recreation space, entertainment facilities, etc.) and  invest  $ 15 million for this purpose.

Source:commersant.ge