The FINANCIAL — According to the latest results of Tbilisi Real Estate Census Research, the amount of total spaces sold in Tbilisi over the past 9 months is 1,056,137m2. The Institute for Polling and Marketing (IPM) conducts research twice a year and so the last results of 2007 convey March and December data.
According to Kote Gabrichidze, Real Estate Project Manager, the total turnover of sold spaces for 9 months in 2007 is USD 1,184,881,507.
“Most of the value that comes from residential spaces, office and commercial (retail) turnovers are quite similar. 88.83% comes from residential spaces, 5.81% from office and 5.36% – from commercial spaces,” Gabrichidze told The FINANCIAL.
According to Census Research, the prices for Real Estate in different districts of the city are as follows: In the district of Avlabar 1 sq.m costs USD 767; in Saburtalo 1 sq.m – USD 763, Digomi – USD 601, Mtatcminda – USD 1,768, Vake – USD 1,358, Vera – USD 1,829, Isani-Samgori – USD 599, and Plexanov – USD 1,017.
“We can say that the growth of market supply has been really obvious, especially over the last year. We can compare 3 waves of our researches conducted in the years 2006 and 2007; if in 2006 2,170,409 sq.m real estate was sold, in March 2007 2,393,903 sq.m was sold, and in December 2007 the amount sold reached 3,208,332 sq.m,” claimed Gabrichidze.
“The mission of the Census Research is to determine the current main description of development business in Tbilisi,” Manana Beradze, Manager of Census Researches, told The FINANCIAL.
“So as to determine the construction objects existing on the market of development today, a database was created where each object was determined by the following parameters: region, address, object’s name, developer, gross space, existing spaces of residential, office and commercial (retail), turnovers and other parameters,” she added.
According to Beradze, the main mission of the research is based on this database: Determination of shares and profiles of all players; Display of objects by price segments, regional and destination distribution; Determination of sales rates: volumes of spaces (existing and sold); Determination of turnovers by price segments, by developers; and Determination of dynamic of changes comparatively to the previous Census Research data.
According to Beradze, the results of the research, viewed in Power Point with 180 slides, present 228 building objects and 128 developer companies, costing USD 1,600 + VAT.
IPM also offers customers the Georgian Real Estate Index study (GREI).
The program allows the owner to see what amount of real estate is being sold in Tbilisi in any specific time period, what the total value of sold real estate is, what the prices for real estate in diverse geographical regions are, and what the price for an apartment, office, or commercial area is.
“For the purpose of obtaining information on the dynamics of the real estate market, residential apartments and non-residential spaces, you can easily get a hold of GREI material,” said Gabrichidze.
The Real Estate Index studies are common in all countries of the world. Analyzing the real estate market this way is also common practice in some post soviet countries like Russia, Azerbaijan and Ukraine. The technology of index calculation is common; indexes are simple to understand and give the opportunity to make the right decision in a short period of time.
“The specially worked-out program gives you the opportunity to have current observation of the market constantly at hand. The company running program pays USD 300 monthly and has access to all the most highly important information on the local real estate market,” commented Gabrichidze.
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