Georgia looking for contractor for terminal extension at Kutaisi International Airport

Construction Materials 26 November 2020 11:30 (UTC +04:00)
Georgia looking for contractor for terminal extension at Kutaisi International Airport

BAKU, Azerbaijan, Nov. 26

By Tamilla Mammadova – Trend:

United Airports of Georgia is to issue a tender for two airside duty-free spaces at Kutaisi International Airport in December 2020, Trend reports via Georgian media.

New food & beverage concession opportunities will also follow as part of a terminal extension project which will add approximately 1,000 m2 of commercial space, more than quadrupling the current offer.

The contract for the two duty-free stores – an existing 148 m2 space and a new 420 m2 shop – will be of a minimum five years’ duration, with a two-year extension option.

The larger space – located immediately after passport control – will become the flagship duty-free store at the airport, with the smaller location exclusively devoted to Georgian products under the terms of the tender.

United Airports of Georgia confirmed that the highest bidder will win the contract, subject to negotiations on concept, design, and product ranges.

The duty-free concession will be contested via an online auction. The airport operator said that an independent auditor will set the yet to be announced Minimum Annual Guarantee (MAG). The rent structure will entail the MAG as well as 25 percent of monthly revenues, with the higher amount being payable in the respective month.

The remaining 432 m2 of new commercial space in the terminal expansion at the airport is earmarked for new F&B concessions. Details of the tenders for new F&B opportunities will be announced by January next year.

The airport – which served to approach 900,000 passengers in 2019, a rise of +42 percent – is the only low-cost hub in the Caucasus region, featuring services from European budget carriers Wizz Air and Ryanair.

The terminal extension project is scheduled for completion in April 2021 and will increase total space to nearly 25,000 m2.


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