The restoration of historical heritage and the introduction of international hotel brands in Georgia have become one of the key directions of tourism development. An important contribution to laying the foundation for this process is attributed to businessman Zaza (Gela) Mikadze. Examples in Borjomi and Tskaltubo demonstrate how abandoned historical buildings can be transformed into modern, high-class hotels and become the foundation for new tourism destinations.
In recent years, Georgia’s hotel and hospitality sector has developed significantly, and it is increasingly associated not only with the expansion of tourism infrastructure, but also with the restoration of historical buildings and the integration of international brands. The long-term experience of Zaza Mikadze clearly shows how a neglected cultural heritage asset can be converted into a competitive modern hotel product while simultaneously laying the groundwork for the development of new tourist destinations.
Mikadze’s interest in the hospitality sector dates back to 2011, when his first engagement with the hotel business began. Initially, several different projects were implemented; however, the primary focus gradually shifted toward hospitality and, in particular, the rehabilitation of historic properties. The first large-scale and strategically significant project was carried out in Borjomi, where Mikadze revitalized a unique 19th-century building that had been abandoned for years.
The property is closely linked to the legacy of Iranian diplomat and patron Mirza Reza Khan, who commissioned several notable architectural landmarks in Georgia during the late 19th century. Located at the entrance to Borjomi Central Park, the palace had fallen into disuse after the Soviet era and remained on state balance sheets without a clear purpose. As the government sought private investment for the site, its tourism potential began to attract attention.
Following the acquisition of the property, full-scale restoration works were carried out. The objective of the project was not only to restore the building, but also to preserve its historical identity as much as possible. Cultural heritage specialists, historians, and architects were involved in the process, and the restoration was based on archival materials. Both the interior and exterior were restored almost to their original form, while high-quality materials and furniture imported from Europe were used in the design.
A key milestone was the introduction of the international hotel brand Golden Tulip, part of the Louvre Hotels Group portfolio, to the Georgian market. The four-star hotel quickly established itself as one of Borjomi’s leading hospitality properties, contributing to the town’s growing appeal as a tourist destination. Today, the restored building serves not only as a hotel but also as one of Borjomi’s most recognizable landmarks.
The success of the Borjomi project laid the foundation for new initiatives. Global Lifestyle, the company led by Zaza Mikadze, additionally acquired a land plot in the village of Sadgeri, where the construction of a 88-room hotel is planned. The new project follows a different concept and is more closely adapted to the natural environment. The architectural design envisions wooden cottage-style structures harmonized with the forest landscape. The goal is to create an ecologically balanced, premium-class hotel that will operate within a unified brand system alongside the existing property.
At this stage, administrative procedures and final land status regulations are underway, after which construction work will begin. According to the project plan, unified management and branding will ensure both operational efficiency and financial stability.
Another major Global Lifestyle project is taking shape in Tskaltubo. The company plans to transform the former Hotel Metalurgi Tskaltubo, one of the city’s best-known Soviet-era hotel and sanatorium complexes, into a five-star destination hotel. The ambitious redevelopment aims to restore the property’s former prestige and help re-establish Tskaltubo as one of Western Georgia’s leading tourism destinations.
The building has already been vacated and preparations for a full-scale reconstruction are underway. The project envisions preserving the property’s historic architectural character while incorporating contemporary design and modern hospitality standards. Once completed, the hotel is expected to offer around 120 rooms and position itself in the premium segment of the market.
The Tskaltubo project is considered one of the most important tourism initiatives, offering new development opportunities for the region. According to the investor, success in this direction requires not only private investment but also state involvement in infrastructure development and regional promotion. While Tskaltubo has strong tourism potential, its full realization requires a systematic approach.
All of these projects are being developed under the Global Lifestyle umbrella, with the company independently managing its investment portfolio. The branding strategy is still under consideration, with both the introduction of an international hotel brand and the creation of a proprietary hospitality brand being evaluated. Regardless of the final decision, all current and future developments are being designed to meet five-star hospitality standards.
Today it is evident that Georgia’s hotel industry is increasingly relying on the restoration of historical heritage and its adaptation to modern tourism demands. The Borjomi and Tskaltubo projects are clear examples of this process, where cultural value and economic development are integrated into a unified strategy aimed at strengthening the country’s tourism potential.
