The Georgian government has outlined two key goals behind its plan to build a large-scale “Government City” on Arsenali Hill. According to the administration’s response to BMG, consolidating ministries and key state institutions in one location will improve coordination between agencies, while the project will also support economic growth through the privatization of existing government buildings in central Tbilisi.
The administration explains that many state agencies currently operate in outdated facilities and spend significant amounts on rent due to limited space. Selling these old administrative buildings to investors and constructing new offices in the Government City is expected to reduce expenses and stimulate investment activity.
The project will be developed on a 77-hectare state-owned plot on Arsenali Hill. According to the market study announced by the Municipal Development Fund, 282,750 square meters of new administrative and office infrastructure will be built, including a 59,900 m² City Hall building and a 31,350 m² Parliament office. At least 10,000 m² of event and reception space will also be included.
The site will host all major ministries, the government administration, Parliament offices, Tbilisi City Hall, the Special State Protection Service, and other state bodies. The government stresses that the market study is a preliminary step, adding that Ortachala was never considered as a project location.
