Galt & Taggart published a report on Real Estate - Batumi, Bakuriani, Gudauri. According to the document, in 2Q23, the number of apartments sold in Bakuriani reached 209, down 9.9% y/y and 10.7% q/q.
In 1H23, small and medium-sized apartment (26-80 m2) sales accounted for 96.0% of total sales. Moreover, majority of sold apartments were in the midscale price segment ($801-1,200).
In 2Q23, weighted average price of apartments in Bakuriani reached US$ 1,112 up by 0.9% y/y. In 2Q23, total market size of apartments sold in Bakuriani stood at US$ 8.3mn, down by 19.1% y/y and 24.2% q/q.
Real estate market in Batumi, Bakuriani, and Gudauri heavily relies on foreign buyers. In 2022, demand surged due to recovering tourism and migration, leading to higher prices driven also by increased construction costs and wages. In 2023, residential demand slowed down, but prices remained high.
Currently, there are 167 projects under development in Batumi, 18 in Bakuriani, and 9 in Gudauri. A steady supply and stable construction material prices are expected to stabilize price growth in these regions.
