Real Estate Market: Jan-Mar 2019 Market Highlights

In Q1 2019, the SPI for residential properties experienced an increase of 1.4% (QoQ), while the RPI declined by 7.2% (QoQ).

During this quarter, the ASP varied between 873 USD and 888 USD per m2 (monthly average), and the ARP was between 6.5 USD and 7.0 USD per m2 (monthly average). The quarterly average is 881 USD for ASP and 6.7 USD for ARP.

For Q1 2019, the ASP increased (YoY) in all Tbilisi districts, except Vake (-0.6%). The highest increases can be observed in Samgori (+15.4%), followed by Krtsanisi (+7.9%) and Chughureti (+7.2%). The ARP decreased (YoY) in all districts, aside from Isani (+12.1%). The greatest reductions were in Nadzaladevi and Gldani, by -14.2% (YoY) and -14.5% (YoY), respectively.

In Q1 2019, the comparative most and least expensive districts by ASP were: Mtatsminda (1,079 USD) and Gldani (585 USD); and by ARP: Mtatsminda (7.8 USD) and Gldani (3.8 USD).

COMMERCIAL PROPERTY PRICES

The SPI for commercial properties increased by 14.4% (QoQ) in Q1 2019, reaching 0.979 index points. While RPI declined by 5.4% (QoQ) and concluded at 0.874 index points.

Over Q1 2019, the ASP varied between 889 and 1,079 USD per m2, and the ARP between 7.99 and 9.92 USD per m2.

The ASP for commercial properties decreased by -14.3% (YoY) and reached 979 USD per m2. The ARP also decreased, by 4.6% (YoY), and ended at 8.89 USD per m2.

BATUMI & KUTAISI RESIDENTIAL PROPERTY

The SPI for residential property in Batumi in Q1 2019 increased (8.4%, QoQ), reaching 1.210 index points. The SPI in Kutaisi also grew, by 13.8% (QoQ), and held 1.097 index points.

The ASP of residential property in the Batumi decreased by 1.8%, whereas it increased in Kutaisi by 4.5% (QoQ), by 827 and 417 USD per m2, respectively.