BAKU, Azerbaijan, March 30. Georgia’s construction companies will be given the opportunity to redistribute the debt on the increased fees according to the K2 construction intensity coefficient, which will allow the suspended projects to resume, the Mayor of Georgia’s capital of Tbilisi Kakha Kaladze said, Trend reports via Georgian media.
The territory of Georgia is divided into construction and non-construction territories. Construction territories are given different functional zones and sub-zones. There are different requirements for the type and dimensions of buildings and structures in each sub-zone. Therefore, the planned construction must correspond to the zone/sub-zone requirements of the land plot.
This is where specific construction coefficients apply. There are 3 types of construction coefficients (K1, K2 and K3) in Georgia, and each sub-zone has different coefficients. Construction intensity coefficient (K2) – defines the maximum permissible total floor area of the building on the land plot.
According to Kaladze, this initiative applies to the construction permits issued before 2019 that have acquired a necessary permit. Issuing of K2 has been limited from 2019. This has led to the inability of the companies to pay the construction fee, which resulted in millions of debt to the municipality.
The decision to redistribute the debt coverage was made following negotiations with construction companies, the relevant bill has already been submitted to Georgian Parliament, and a decision will be made in the nearest future, Kaladze said.
The mayor added that this initiative will assist the resumption of ongoing and suspended projects in the Georgian capital.
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