The FINANCIAL — Temur Chkhonia, owner of Coca-Cola Bottlers Georgia, McDonald’s chain in Tbilisi and Kutaisi, and Georgia Palace Hotel in Kobuleti, is planning new business expansion. Another GPH Hotel is to be opened in Tbilisi and one in Mestia too. The businessman also plans to add new McDonald’s restaurants in other Georgian cities.
Mr. Temur Chkhonia shared his plans and vision in an interview with The FINANCIAL.
Q. Georgia Palace Hotel is an exclusive five-star hotel in Georgia. Why did you decide to build it in the summer resort Kobuleti and not for example in Batumi, or in the capital city Tbilisi?
A. Kobuleti is the best destination for people who are looking for beauty and health because of its rare micro climate. Kobuleti is a true health resort. It is the best place for ‘air therapy’. The climate of the resort has a positive effect on people suffering from chronic cardio-vascular disease. Kobuleti’s beach is one of the best beaches on the Black Sea coast. There is a unique marsh in Kobuleti. It is a very beautiful and clean area in the city. The marsh regulates the climate and humidity of the resort. The marsh, Mtirala Mountain and seaside climate combine to make a wonderful synthesis for the perfect holiday. This is one of the main reasons why I chose this location for Georgia Palace HoteL.
The development of tourism in Georgia means that Tbilisi is the most promising and profitable place in the country. Though the regions are developing in the country as well, there is no better place than Tbilisi for the hotel business. This is a traditional and renowned place in the Caucasus. Most of our clients are from those countries which know us very well. These are mainly post soviet countries. Georgia’s growing awareness in the world started in 2008, from the period of the war onwards. Tourism is one of the bases of awareness.
Q. Please tell us about the building of Georgia Palace Hotel. How did the idea to build the hotel first arise?
A. It is difficult for me to answer this question because the hotel’s construction project was very emotional for me. Before Georgia Palace Hotel on that plot of land there was a sanatorium named Georgia. It was one of the most prestigious resting places in the Soviet Union. Only important figures were able to stay in the hotel. When I was a little boy, my mother and I used to spend our holidays in rented rooms. It was always my dream to stay in that sanatorium, however I was not allowed to spend my holidays there. So I used to secretly look into the yard of the sanatorium. I saw waiters and waitresses dressed in white, serving beautiful ladies and gentlemen. The gate was opening and I saw someone, a very important person, sitting in a black car entering the sanatorium’s courtyard.
It was a mysterious place for me. It was at that time that I promised myself that one day I would buy the sanatorium and let everyone have the opportunity to go there and enjoy their holidays. My dream came true when I bought the sanatorium at auction. I have since built a new, modern hotel and now my hotel’s door is open to everyone.
Q. How did you manage to achieve the low cost, yet high quality standard at your hotel?
A. First of all we employed young staff and not professionals. We employed college students from Kobuleti; young residents of Kobuleti. As they are local residents, it is in their interest to work well in the hotel, because if the hotel is prestigious, then it means that their city is prestigious and lots of new tourists will visit their city. Also, Italian professionals are involved in the management control process. They supervise the work of local staff. I am involved in the hotel’s everyday activity as well. I often used to work as a waiter. My wife participates in the hotel’s management. Lots of things are arranged in the hotel according to her taste. My grandchild, 14 year old Mariam, has been working as a waitress in our hotel’s bar. She earned 1,315 GEL in three months. She was very happy and proud because of this. Working as a waitress was absolutely her decision, no one forced her to work. According to Georgian understanding, a waitress is akin to a prostitute. In reality however this is a very important profession in bar and restaurant management.
She wants to work at reception next year. She doesn’t ask me for money, she’d rather earn it herself.
Q. how successfully does it work when the whole family is involved in the hotel’s management?
A. Every single one of our hotel’s clients say that they feel as though they are at home in our hotel. These people have become big friends of the hotel. My family and I are in close relations with many of them. We always listen to their opinions about our hotel ourselves and not via the hotel’s staff. They give us advice about what is the best thing about our hotel, or what doesn’t work so well. We are always developing and improving our service according to their advice.
Q. Who are your partners in the hotel management process?
A. Some Italians are our partners. Architects from Italy and Peru built Georgia Palace Hotel. Georgian architect Marika Tsagareli worked with them as well. Our hotel is based on Italian style. We have the best equipment in the world and everything is Italian. The head chef and the manager of our hotel are both Italian. Italians are famous throughout the world in the hotel management sector, which is why I chose them as my partners.
Q. You opened Georgia Palace Hotel in 2007. Why have you not opened another Georgia Palace Hotel in other cities of Georgia since then?
A. I am planning network expansion and am going to open an 18-room hotel on Erekle Street in Tbilisi, but this will happen after 2014. Now I am oriented on opening new branches of McDonald’s. One of them will be opened in Batumi and one of them in Tbilisi, next year. The most beautiful McDonald’s will be opened next to Didube Metro Station. I believe there should be 12 McDonald’s in total in Tbilisi. We plan to open new McDonald’s restaurants in Rustavi, Telavi and in other cities.
We are building a new hotel in Mestia as well. We have already opened a hotel in Sighnaghi. It is a very beautiful hotel with its own perfect restaurant as well. Its name is Solomoni 1805 and was opened in 2010.
Q. What is your contribution to the development of the infrastructure in Kobuleti?
A. I have done lots of things for Kobuleti and I don’t think there are any other people who have done the same. Kobuleti has become a more popular resort. We are like the ‘golden standard’. No one wants to build a worse hotel than ours. They try to make their hotels look like Georgia Palace Hotel. Many professionals are trained in our hotel. After our trainings, they then go on to work in the Radisson, Sheraton and other hotels. We bring a large sum of money to the local budget. And, finally, there is the hotel in Kobuleti, which is one of the best hotels in the world.
Q. People call your hotel Chkhonia’s Hotel. This name has become a visit card for Kobuleti. What do you think about that?
A. I am very happy that my hotel is associated with Kobuleti and with my name. Nowadays, everyone talks about Batumi and not Adjara on the whole for example. When I talk about Kobuleti, people ask me where it is. I explain that it is in Adjara. They then ask where Adjara is. When I mention Batumi, they already know where it is. That is not good! In fact Kobuleti is a much more important resort for tourism development than Batumi in my opinion. The biggest problem is that internal tourism is not developed enough in Georgia.
Q. As for health and beauty, how does Georgia Palace Hotel take care of its clients’ health and beauty?
A. Georgia Palace Hotel is the perfect choice for the discerning guest, one seeking to relax in a luxurious atmosphere with all modern conveniences and an extensive range of health and wellness facilities. Our modern spa centre caters for a wide variety of treatments and offers a choice of advanced body and face therapies. With different services we offer a pre wedding treatment package. It includes body correction and skin cleaning, weight loss, exercise and access to the swimming pool. In general a treatment package includes traditional Ayurveda massage procedures, internal herbal medicines, special Ayurveda diet and yoga.
The whole spa centre meets international standards and its clients are always satisfied. Indians, Russians, Ukrainians and Georgians work in the spa centre. A ten day package with a guarantee to lose 6 kilos, costs 600 GEL. But, unfortunately, not many people take advantage of this offer. We introduce new technologies, but cannot find clients to use them.
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