20 buildings, 39 blocks, and 4898 fully fitted-out flats – this is Dirsi’s ‘Mini City’! This grand residential complex is being built by AS Georgia – a subsidiary company of the Azerbaijanian AS Group Investment. However, the investor does not wish to stop here, and is already announcing new projects on the market. Property Georgia spoke to the company’s Executive Director​, Murad Isfandiyarov, and Head of the Marketing Department, Nino Kuprashvili.

By PG Editorial Director Kate Tabatadze

- You are carrying out large-scale construction and development projects in Georgia. What attracted you to the local market, and what led to your decision to start your activity in Georgia with the ‘Mini City’?

Murad Isfandiyarov: “AS Group Investment, which has a ten-year experience in working on state and private projects, is one of the leading developers in the region. Five years ago, the company began working on the Mini City complex, which is the group’s largest and most ambitious project. We decided to initiate this undertaking having analysed the Georgian market in detail. The Georgian economy is growing at a fast rate, and the investment climate here is a favourable one, which is a significant prerequisite.

“Our management team is working with precise calculation, using the latest technologies. With the offer of this innovative residential complex, we are establishing new standards in quality on the market. Having already completed the first stage of the construction process, we can already say boldly that our hopes have been realized, and Dirsi’s ‘city within city’ will be a worthy host to its tenants.”

- Five years on the Georgian market is a sufficient time for establishing clear views on the local investment climate. How would you assess it?

Murad Isndiyarov: “Economic growth, liberal economic policies, and the hospitality of Georgian people – these are the main factors that we see as determining the growth in direct foreign investments in Georgia.”

- What will be AS Group Investment’s next project in Georgia?

Murad Isfandiyarov: “At this stage, all the investment conducted by the company in Georgia concerns further development of Dirsi’s residential complex. Very soon we will begin the construction of a large shopping centre. We also plan to invest in hotels and infrastructure, and we are getting ready to activate the second development phase of the residential properties, in order to provide maximum comfort for our tenants.”

- One of the main factors that has been cited for purchasing a flat in Dirsi’s residential complex are the solid buildings. What is special about your Mini City’s construction standards?

Nino Kuprashvili: “We used monolithic reinforced concrete technology for the construction of Dirsi, which is distinguished by its firmness – the residential complex is calculated to withstand a magnitude 9 earthquake. The buildings also have other advantages: the absence of seams and gaps between bricks substantially improves insulation and sound isolation, reduces the building’s overall weight, and prevents the appearance of cracks. The buildings’ outer facades are coated in 7cm modern multilayer heat- and sound-isolating materials, reducing energy costs by up to 25%. Highly efficient sound- and hydro-isolation materials have been used between floors. Additionally, the foundation of each building block is built over a rock, further increasing the firmness of the residential complex.

“In European countries such as France, almost every micro-district in both large and small cities is constructed using a similar technology. It is also used by Russian-based construction companies for the expansion of residential areas.”

- The size of the green zone exceeds the required norms threefold. What has been the thinking behind the company’s policy here? Is it to look after the environment, or is it also a commercially justified step?

Nino Kuprashvili: “At the beginning of the 20th century, the area now occupied by Dirsi’s residential complex was a recreational zone, which was then destroyed and turned into a site for dumping building material waste. We conducted thorough ecological studies prior to beginning the construction, and completely eliminated the parts of the territory that were presenting an environmental pollution risk. We decided to recreate the green space which was historically found at this location.

“The company believes that caring for ecological sustainability of the environment means caring for the future of each one of us. For this reason, we are not only working on establishing green space on this particular territory – based on AS Georgia’s joint initiative with Treepex, a tree will be planted in Georgia’s reservoirs in the name of every customer who purchases a flat from us.”

- Once customers choose properties, the ability to pay becomes the main issue. What is your target segment, and what is Dirsi offering the potential residents of its Mini City?

Nino Kuprashvili: “Based on Dirsi’s special offer, the price of a brand-new flat starts from $ 24 000, and mortgage loan rates from 4.1%. In conjunction with the TBC Bank Mortgage Centre, we are now also offering 9% mortgage loans in Lari.

“The value of purchasing a flat in Dirsi’s residential complex substantially exceeds the price. A concierge service in each block, 24-hour security, fully equipped entrance halls, children’s playgrounds, sports infrastructure, backup sources of water and electricity that ensure continuous power supply – these are only some of the services offered by us to our customers. At the same time, we envisage our comfortable living environment to be affordable. At present, around 30% of our residents are foreigners. We believe that the concept behind Dirsi’s residential complex ought to be attractive to anyone who wishes to live in an ecologically clean and comfortable environment. The company’s main target groups are young families, emigrants and foreigners. Affordability of the properties is one of the company’s driving principles. To this end, we are constantly working with the local banks to offer customer-oriented loan products to our clients.

“High demand for smaller flats has led to the establishment of a new product category in the form of properties priced at $ 24 000.”

- What do Dirsi’s sales figures currently look like, now that the construction process is nearing completion?

Nino Kuprashvili: “Dirsi’s sales figures have grown substantially compared to the previous years. The current trends indicate that customers are paying more attention to criteria such as the quality of construction, environment and infrastructure around the building, and post-purchase services. Dirsi has a great advantage in this regard. Furthermore, we are offering our potential customers properties that are ready for living, which also has a positive impact on sales volumes. However, I believe that satisfied customers constitute the most important factor determining the growing sales dynamics. Accordingly, the company’s main task is to create maximum comfort for residents.”

- What is your action plan with regards to the development of infrastructure at the Dirsi complex?

Nino Kuprashvili: “Construction of the shopping centre will commence in 2017, and we will continue to expand the green space. At present, we are actively working on the development of commercial units. We are trying to offer our customers maximum comfort, and we therefore want to see the Dirsi complex offer everything that residents may need, be it a beauty salon, a pharmacy, or other commercial units.”