Georgian Railway’s attempt to privatize a large industrial site in Batumi has stalled after a GEL 60 million auction closed with no bids. The sale, handled by the company’s subsidiary GR Property Management, offered three adjacent lots totaling 107,586 sq. m. at a starting price of GEL 59.7 million or 555 GEL per sq. m. The land, located at 15 Tamar Mepe Avenue, is part of the former Batumi Cargo Yard, a logistics area no longer in active use.
As the National Agency for State Property stated, the complete lack of interest resulted in the auction ending without a buyer, illustrating the difficulty of attracting investors to large-scale industrial sites in the city, even when pricing aligns with market expectations.
The stalled sale comes shortly after a nearby property changed hands successfully. In October, an 18,931 sq. m. plot adjacent to the cargo yard was sold for GEL 13.6 million. The buyer, Korean Electronics LLC, owned by businessman Giorgi Kidzinidze, has already been registered as the official owner.
The contrast between the failed auction and the recent successful transaction shows uneven investor interest for redevelopment or logistics-focused land in Batumi. While smaller, more clearly defined plots appear to draw interest, larger industrial territories may be facing a tougher path to privatization.
