Why Forbes Named Batumi the Best City for Investment
December 28, 2020
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In December 2019, the Forbes magazine named Batumi one of the most promising cities for real estate investment. Although, a concrete frame and a soft bed alone cannot guarantee liquidity and high income. And simply buying real estate is not an investment. It becomes an investment when it starts to make a profit. ARX, an investment agency in the foreign real estate market, offers a ready-made strategy for investors with a conservative risk profile.
What potential does Batumi hold? And most importantly, how can it be measured and converted into real income? We analyze the example of the investment strategy together with the ARX agency.
1. Low Entry Threshold
Georgia is one of a few European countries where it is possible to buy and sell not only entire property, but alsoseveral square meters. In the literal sense, the investor receives a full package of documents confirming ownership for buying just one square meter. And for its part, ARX makes shared ownership possible by allocating apartments for partial sale in each property.
Of course, you can't move a family into a square meter, but it is quite possible to create an effective investment strategy. The minimum investment in this case is only $3,300.
Properties for sale in Batumi:
197 093 €
Flat in Batumi, Georgia
66 sq.m211
ResidenceOnline ViewingRemote TransactionCredit
The Wyndham Residence Batumi hotel complex is a top-tier investment opportunity in Black Sea coast! Founded in 1990, with its main office in the United States, the Wyndham brand is represented in 223 countries across all continents. With a global network of over 9,300 hotels, Wyndham has a loyal customer base that consistently chooses its hotels...
Flatiko
87 945 €
Studio in Batumi, Georgia
36 sq.m11
ResidenceOnline ViewingRemote TransactionCredit
The Wyndham Residence Batumi hotel complex is a top-tier investment opportunity in Black Sea coast! Founded in 1990, with its main office in the United States, the Wyndham brand is represented in 223 countries across all continents. With a global network of over 9,300 hotels, Wyndham has a loyal customer base that consistently chooses its hotels...
Flatiko
54 739 €
Studio in Batumi, Georgia
36 sq.m11
ResidenceOnline ViewingRemote TransactionCredit
Write for more information!!!
Flatiko
41 943 €
Land in Batumi, Georgia
500 sq.m
Online ViewingRemote Transaction
Land in the promising ski resort of Goderzi from 500 m2, a lot, for any size, from 500 m2 to 10,000 m2. Beautiful nature and recreation.
It is located directly in proximity to the central part of the resort. Incredible nature. Have time to buy land before a big rise in a very promising place.
The authorities have big plans and a great future...
RB - Real Estate
221 834 €
Flat in Batumi, Georgia
105 sq.m
ResidenceOnline ViewingRemote Transaction
The apartment has 2 floors of 105 m2. All the infrastructure is around.
Beautiful area, good views. We will help with registration and purchase!
Write or call us at any time!
RB - Real Estate
1 304 907 €
House in Batumi, Georgia
1902 sq.m7970
ResidenceOnline ViewingRemote Transaction
Three hotel buildings and a shop of 1902m2 by the sandy sea.
Fully renovated guest house on three floors with basements. Separate entrances, sunny windows with beautiful views of the pine forest and the sea. The sandy beach is 100 meters away.
A huge building of 6 floors for a hotel or apartment building, in a black frame, fully built and...
A house with mountain views and a large plot. The house has two floors, with fruit trees, flowers, utility rooms. Good entrance. In a quiet green picturesque place. Nature, Mountains, Sea, Clean air. The documents are ready for registration, we will help at all stages. We will organize the show and promptly help with the purchase. Please contact...
A house with a plot of land and a sea view. Close to the sea, there are two walking roads. Good entrance. There is a sea view from the plot. Garden, plants, there is a garage. The house requires attention to repair. A quiet natural place. Nature, Mountains, Sea, nearby. The documents are ready for registration, we will help at all stages. We...
RB - Real Estate
19 080 €
Land in Batumi, Georgia
636 sq.m
Remote TransactionCryptocurrency payment
non-agricultural land in Chakvi. 5537 m2
cadastre 20.47.04.184
there are 17 non-agricultural lands from 500 to 22.850 m2.
sale from the owner.
cadastre, area, price per meter, purpose, address
1 20.49.02.902 636 30 19080usd not agricultural chaisubani
2 20.49.02.903 622 30 18660usd not agricultural chaisubani
6 20.47.04.184 5537 50...
For sale a cool, cozy renovated apartment on the first line of the sea. A good investment for living and for renting. Fully equipped spacious kitchen (equipped with appliances and everything you need) A cozy bathroom with a rain shower. Air conditioning, refrigerator, Wi-Fi and TV Designer renovation, completely everything necessary for life,...
The apartment is on the first line. A unique investment residential complex in an active and attractive area, on the first line in the city of Batumi! This residential complex impresses with its stylish architecture and is the hallmark of the city of Batumi. Only 100 meters from the sea! It's waiting for you here: Ultramodern brand elevators
BD Group
36 351 €
Studio in Batumi, Georgia
35 sq.m111
Urgent sale of a studio in the luxury residential complex "Bagrationi Residence" under construction view of the sea, the stadium and the Alley of Heroes. The view will never be covered by anything Paid for the connection of the boiler, central heating, for gas and light meters, for the supply of central heating pipes The house will be...
BD Group
745 661 €
Hotel in Batumi, Georgia
600 sq.m
An existing hotel with 14 rooms in Gonio is for sale. The area of the hotel is 600 m2, the land area is 1250 m2. All communications are available. Walking distance to the sea.
BD Group
50 332 €
Flat in Batumi, Georgia
37 sq.m211
Remote TransactionCryptocurrency payment
Nice apartment with sea view. 1 bedroom, separate living room with kitchen area. There is furniture and appliances, air conditioning, electric heating. There are many shops nearby, close to the sea and the new embankment. In an ecological place.
The documents are ready for registration, assistance at all stages.
Write and call for real...
RB - Real Estate
52 196 €
Studio in Batumi, Georgia
33 sq.m111
Rental property
33 m2, 12th floor. The apartment is located in one of the best locations in the city - Alley of Heroes. A new and modern residential complex with its own swimming pool. The distance to the sea is 3 minutes on foot. Developed infrastructure, within walking distance: casino, fitness club and swimming pool (in the house), beauty salon, SPA,...
BD Group
52 602 €
Flat in Batumi, Georgia
48 sq.m211
The new residential complex is located in the resort of Chakvi, in an ecologically clean subtropical zone, next to the botanical garden bordering the Mtirala National Park, 10 kilometers from Batumi. Pebble beach, picnic areas, panoramic views of Dais and Ice from all sides of each apartment.
The complex is located on an area of 12,417 m2,...
Rentsale
279 623 €
Hotel in Batumi, Georgia
200 sq.m
Online ViewingRemote Transaction
Invest in a ready-made business: A comfortable mini-hotel in Batumi.
An existing and well-established business is for sale - a cozy mini-hotel in the immediate vicinity of a developed resort infrastructure. It is located just 5 minutes from the sea, in a picturesque location. This hotel is an excellent opportunity for investment in the hotel...
Atlas Property
24 500 €
Apartment in Batumi, Georgia
25 sq.m11
Apartments in an upscale resort complex located on the Black Sea coast, 15 km from Batumi.
Carefully planned, thought out to the smallest detail for you and your family, the resort will allow you to enjoy your stay and rest in this paradise
The project is located on its own territory of more than 20 hectares, includes chain hotels and...
Rentsale
27 729 €
Flat in Batumi, Georgia
35 sq.m11
Online ViewingRemote Transaction
The residential complex is located in the Old Town area. It is 850 m away. from the sea, not far from the main street of the city — Chavchavadze street. The entire infrastructure for a comfortable stay is a 10-minute walk from the complex. Restaurants, banks, cafes, market, Batumi Boulevard, May 6 Park, museum, shops. The complex is...
Atlas Property
68 042 €
Flat in Batumi, Georgia
45 sq.m211
Online ViewingRemote Transaction
A bright apartment with one separate bedroom is for sale
Address: 161 Bagrationi Street, Batumi
All necessary infrastructure, government offices, supermarkets, pharmacy, school are within walking distance. kindergartens, cafes and others.
A unique offer in this location at one of the lowest prices!
The area is 45 M2
floor 20
the...
The fastest way to increase profits is to use tax incentives aimed at stimulating investment in real estate. Don't forget to make a pragmatic assessment: how much will you pay for property ownership? How much will you have to deduct from your own income?
When buying a luxury house in Tuscany, for example, you will have to pay 22% of the cost. Then annually deduct from 20% of the income, as well as pay municipal fees and garbage collection tax. Even if the garbage is not yours.
For example, in the UK there is no property tax. But it is replaced by council tax, which reaches $5,000 (so the owners pay for the police, municipal institutions, street cleaning). On average, utilities cost $2,600. And if you want to sell your property in a few years, in the UK you will be deducted from capital gains tax from 18% to 28%.
Comparing other European countries with Georgia, we understand what Forbes meant.
Please note!
There is no real estate tax in Georgia. Foreign investors are fully exempt from the tax on the purchase and ownership of real estate. And the income taxfrom renting out apartments is only 5%.
Thanks to progressive legislation, Georgia is now among the top 15 countries with the lowest taxation (according to the World Bank). For example: Singapore took the 7th place in this list, Germany - 46th, Russia – 58th place, and Bulgaria dropped to 97th place (data for December 7, 2020).
Any income associated with short-term rentals is unstable. But even here ARX takes on the risks, providing investors with a guarantee. Every year for the first five years, apartment owners receive a fixed 10% of the cost, and owners of shares get 9%. ARX reserves all the excess profit from the apartments.
The amount is paid once a year, and the payment time is counted from the beginning of the contract. For example, if you sign it in December 2020, the first payment will occur in December 2021. At the same time, payments do not depend on whether the зкщзукен is put into operation or not.
When purchasing an apartment as a property, investors automatically receive a ready-made investment case, which includes:
an effective partner program with BMW, European legal service, Sotheby's Realty, etc.;
a team of professional designers and builders, turning high-quality apartments into truly exclusive and providing high added value to the project;
a management service company that guarantees the highest level of service to privileged clients and guests.
4. Bank Guarantee
To avoid risks, ARX entered into an agreement with one of the largest Georgian banks TBC. Since 2020, TBC covers risk factors and guarantees apartment owners (investors) the payment of annual income, acting as an insurance guarantor.
This is how the company takes into account all risks in the short and medium term, providing customers with banking security and tranquility.
The investor may exercise an option to buy back and break even to sell the property of the company after three years of joint work. ARX makes a buyback within 30 days, which allows you to quickly dispose of the money.
However, we advise you to consider another option and sell the property on the foreign market (possible five years after the conclusion of the contract). The seaside area of Batumi, the main sea resort of Georgia, has already exhausted 95% of the possibilities of new construction.
Therefore, the lack of land plots close to the sea in the medium term (three to five years) can cause a logarithmic increase in prices in this segment.
Another alternative option for the owner may be to extend the management contract for the next five years.
6. Vacation
A bank deposit can't warm you up in the sun, precious metals never bring you breakfast in bed. But this can be applied to apartments on the Black sea coast. By investing in ARX real estate, you get a residence where you can relax 14 days a year at a convenient time for you.
The investor can stay not only in their apartments, but also in other projects of the company, for example, in a ski resort.
P. S. So, why has Batumi become one of the most attractive cities for tourists and investors? Fragrant Kindzmarauli, world-famous cuisine and hospitable people. The heart of Georgia is the last but not the least reason to invest in real estate in the country.
