DMG Group snaps up Neo City Development in $64M Tbilisi expansion

A bold $64M move reshapes Tbilisi's skyline as DMG Group takes control of Heroes Square. What's next for the city's high-rise ambitions?

, and Administrator

2026 February 11 . 7:02 PM

1 min read

The image shows a view of the city of Tbilisi from the top of a hill, with trees, buildings, hills,... — The image shows a view of the city of Tbilisi from the top of a hill, with trees, buildings, hills, and a sky in the background. At the bottom of the image, there is text which reads "Tbilisi, Georgia, 1837".

DMG Group snaps up Neo City Development in $64M Tbilisi expansion

DMG Group has purchased Neo City Development for $64 million, expanding its holdings in Tbilisi's city centre. The deal includes taking on $21 million in existing debt and a further $20.4 million in loans. The company, linked to prominent business figures, now controls a key site on Heroes Square.

The acquisition follows DMG Group's earlier purchase of an adjacent plot on Kostava Street, where a five-star Hilton hotel is planned. This latest move strengthens the firm's position in the area, though no public details exist about its plans for the Kostava site as of February 2026.

The newly acquired assets were previously owned by Marika Verulashvili and the Cartu Foundation, tied to former prime minister Bidzina Ivanishvili. DMG Group may continue Neo City Development's original project: two high-rise towers on Heroes Square, with an estimated investment of at least $200 million.

DMG Group is controlled by Kakhi Zhordania, son of Maka Asatiani. Asatiani herself owns the Mercedes-Benz dealership 'Aka' and holds a controlling stake in Black Sea Petroleum.

The $64 million deal consolidates DMG Group's influence in central Tbilisi. With existing hotel plans and potential high-rise developments, the company's expansion could reshape part of the city's skyline. No further details on timelines or design changes have been released.