BM.ge reports that Tbilisi’s hospitality sector is experiencing significantly declined occupancy rates, particularly around popular locations like Rustaveli Avenue. The recent political upheavals are thought to be the primary reason, seeing major hotels like the Biltmore Tbilisi Hotel and Kopala Hotel having been affected by reduced tourism and canceled bookings.
“The current situation has had a significant impact on the tourism sector, including hotels on Rustaveli Avenue. We are no exception,” Mariam Kutateladze, Sales Director of the Biltmore Tbilisi Hotel, told BM.ge. She highlighted a lack of occupancy in January 2025 compared to the same period last year, despite a relatively busy New Year’s Eve. “Cancellations were observed in the earlier weeks, which affected our ability to meet our monthly budget.”
Similarly, Miranda Kvavadze, General Manager of the Kopala Hotel, reported to BM.ge that the hotel is operating at only 15-20% capacity. “Tourists from Israel canceled their bookings, and reservations for the New Year were also affected,” she told BM.ge.
Both hotels mentioned reduced demand for business tourism as well, particularly for conference spaces. “When Rustaveli is closed, it is difficult to hold events here,” said Kutateladze.
While Kopala has reduced its prices, Biltmore has maintained its premium pricing, attributing the decision to brand standards. Despite advance bookings rising for spring, groups still delay finalizing their plans, thus furthering uncertainty.
