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Saturday, 22 October 2016


Reconstruction a-la Tbilisi

2011-04-08 14:37

Reconstruction a-la Tbilisi. 15629.jpegTbilisi Mayor's Office started the third stage of the "old town" rehabilitation. To carry on their activity, developers have to get accustomed to the new requirements and conditions. Now, if they want to own the territories for construction, companies are obliged not only to resettle the "unwanted" residents to new houses but also to provide the necessary development of regional infrastructure. Thus, a serious burden is laid on constructors' shoulders: they are forced to correct a strained situation in the housing stock of the


Georgian capital practically at their own expense.

Construction turnover in Georgia was half a billion laris last year. Authorities of the capital hold regular tenders for building residential compounds and luxurious hotels but real estate property in Tbilisi is still in a deplorable state. Khushev's houses constructed under five-year plans in Soviet times have been fully used and now resemble Brazilian favellas. City government has been racking its brains for a long time on how to fulfill President Mikhail Saakashvili's order and make Sakartvelo's heart meet European standards and found an interesting way out.

In 2009, officials devised a new program called Old Tbilisi's New Life. Mayor's Office signed a cooperation agreement in the context of the first stage with such companies as Eube Georgia, Kalas, Olympic Star, Axis, Bagebi City, Nike, Arsi, Georgian House, Teks Group, Tiflis-Saburtalo, Academgorodok and Golden Section. TBC, Bank of Georgia, Republic and Kartu volunteered to finance the project, having allocated all in all 29 million dollars.

Due to the state's guarantees, those construction companies that wish to take part in the project could obtain credits for completing the construction at a concessionary rate of interest. This money was also to be spent on alternative dwellings that were to be provided by developers to the residents of repair houses, which are over two hundred in the city. Today there are 520 typical Khrushev's houses on the city balance, with about 24 families living in each building. It turns out that dwelling space was to be provided to over 1700 families. The government planned to put up the vacant territories for sale: the authorities took on privatization and are still unable to stop. It was decided that such "rehabilitation" will be first carried out in three historic regions of Tbilisi - Chugureti, Ortchala and Avlabar.

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