The capital city of Georgia, Tbilisi, has undergone a significant transformation in its retail sector, marking a new era in both urban development and consumer behavior. This article delves into this shift, focusing on modern malls and their multifaceted impacts.
Tbilisi Outlet Village: Pioneering Modern Retail In Georgia
Tbilisi Outlet Village, set to commence operations in 2024, represents a significant milestone in Georgia's retail landscape. Developed by Georgian Outlets and Resort Group (GORG) in collaboration with The Outlet Resource Group (TORG), this designer outlet center is poised to be a major retail destination. Located strategically near the Tbilisi International Airport and along the E60 motorway, it is expected to leverage the 1.4 million residents of Tbilisi and draw visitors from neighboring countries. The project, initiated in 2021, spans a gross leasable area of 20,000m², designed to house 110 select retailers.
East Point: Transforming Shopping And Entertainment
East Point, opened in 2015, has been a pivotal development in Tbilisi's retail evolution. As Georgia’s largest shopping and entertainment complex, it spans 85,000 sqm and integrates a hypermarket, electronics superstore, outdoor fashion mall, cinema halls, and over 150 branded shops. Notably, it introduced Georgia's first IMAX screen and a large-scale DIY store. The complex, with its open-concept design, has become a significant draw for locals and tourists, offering amenities like a children’s entertainment center and ample parking space. The project, a $100 million investment, has created around 3,000 jobs and is conveniently connected to the city center by free bus service and a new minibus route.
Retail Real Estate: Booming Growth And Investments
The retail real estate sector in Tbilisi has shown remarkable growth. In 2023, street retail rent prices saw an 11.2% year-on-year increase, reaching USD 19.3 per SQM. Shopping malls in Tbilisi experienced a 7.5% growth in rent prices, attributed to increased retail sector turnover. The vacancy rates in these malls have been reducing, indicating a thriving retail environment and potential for further growth and investment.
Diversity In Shopping Destinations
Tbilisi's retail landscape boasts diverse shopping destinations, each contributing uniquely to the city's shopping scene:
- Galleria Tbilisi: A luxury mall located in the city center, featuring high-end brands like Gucci and Prada, and an art gallery showcasing local artists.
- Tbilisi Central: Known for its rooftop terrace with stunning city views, it offers a mix of local and international brands.
- Merani Shopping Center: Located in Tbilisi’s historic district, it caters to those seeking affordable fashion.
- Goodwill: Inspired by art nouveau style, this mall is noted for its art installations.
- City Mall Gldani: Offers affordable shopping options in the Gldani district.
Sustainable Urban Mobility And Retail Development
Tbilisi's retail development is complemented by the Sustainable Urban Mobility project, which aims to improve the city's transport infrastructure. This initiative, supported by the German Federal Ministry for Economic Cooperation and Development, focuses on expanding eco-transport networks, establishing bus lanes, and creating safe spaces for pedestrians and cyclists. This project not only enhances retail accessibility but also promotes a healthier, more environmentally friendly urban lifestyle.
Conclusion
Tbilisi’s retail revolution signifies a new chapter in urban development and consumer behavior, shaped by diverse shopping destinations and supported by sustainable urban mobility. From high-end malls to unique thematic shopping centers, Tbilisi's retail scene caters to a wide array of preferences, contributing to its evolving urban landscape and attracting both local and international visitors.
