Identifier
Created
Classification
Origin
10TBILISI206
2010-02-18 14:29:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Tbilisi
Cable title:
OPIC FINANCING: BETSY'S HOTEL PROJECT
how-toVZCZCXRO6769 RR RUEHIK DE RUEHSI #0206 0491429 ZNR UUUUU ZZH R 181429Z FEB 10 FM AMEMBASSY TBILISI TO RUEHC/SECSTATE WASHDC 2893 INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
UNCLAS TBILISI 000206
DEPT FOR EUR/CARC, EEB
SENSITIVE
SIPDIS
DEPARTMENT PASS TO KENNETH ANGEL
E.O. 12958: N/A
TAGS: EINV EFIN GG
SUBJECT: OPIC FINANCING: BETSY'S HOTEL PROJECT
REF: STATE 09960
UNCLAS TBILISI 000206
DEPT FOR EUR/CARC, EEB
SENSITIVE
SIPDIS
DEPARTMENT PASS TO KENNETH ANGEL
E.O. 12958: N/A
TAGS: EINV EFIN GG
SUBJECT: OPIC FINANCING: BETSY'S HOTEL PROJECT
REF: STATE 09960
1. Summary: In response to reftel, Post's inquiry into Betsy's
Hotel revealed no negative information that would impede issuance of
OPIC credit to the company. End Summary.
2. Betsy's is a boutique hotel overlooking the center of Tbilisi.
The hotel has been functioning successfully for about 15 years. A
series of expansions and upgrades reflect the hotel's success.
Betsy's hotel enjoys a good reputation and the efforts of its
management have turned it into a preferred place of stay for
visitors coming to Georgia, especially those who are looking for
longer-term accommodations.
3. In general, the hotel business in Georgia has suffered from the
consequences of 2008 August war with Russia and global economic
crisis, resulting into a sharp decline into the number of tourists.
However, any negative effect on Betsy's hotel has been minimal due
to the fact that its clients are mostly visitors who arrive through
donor-funded (US Embassy and AID contractors included) projects.
The current occupancy rate at Betsy's has returned to a pre-war
level of 65 percent, and the outlook for future operations is more
positive.
4. Steven Johnson, the primary owner and General Manager of Betsy's
hotel, is well known to the Embassy and a board member of the
American Chamber of Commerce in Georgia. Mr. Johnson also owns an
English language bookstore - Prospero's Books. Post is unaware of
any negative information concerning the financial standing of
Betsy's Hotel. Additionally, Post has no negative information
regarding terrorism, money laundering, corruption or other charges
about the owners and managers of the hotel.
BASS
DEPT FOR EUR/CARC, EEB
SENSITIVE
SIPDIS
DEPARTMENT PASS TO KENNETH ANGEL
E.O. 12958: N/A
TAGS: EINV EFIN GG
SUBJECT: OPIC FINANCING: BETSY'S HOTEL PROJECT
REF: STATE 09960
1. Summary: In response to reftel, Post's inquiry into Betsy's
Hotel revealed no negative information that would impede issuance of
OPIC credit to the company. End Summary.
2. Betsy's is a boutique hotel overlooking the center of Tbilisi.
The hotel has been functioning successfully for about 15 years. A
series of expansions and upgrades reflect the hotel's success.
Betsy's hotel enjoys a good reputation and the efforts of its
management have turned it into a preferred place of stay for
visitors coming to Georgia, especially those who are looking for
longer-term accommodations.
3. In general, the hotel business in Georgia has suffered from the
consequences of 2008 August war with Russia and global economic
crisis, resulting into a sharp decline into the number of tourists.
However, any negative effect on Betsy's hotel has been minimal due
to the fact that its clients are mostly visitors who arrive through
donor-funded (US Embassy and AID contractors included) projects.
The current occupancy rate at Betsy's has returned to a pre-war
level of 65 percent, and the outlook for future operations is more
positive.
4. Steven Johnson, the primary owner and General Manager of Betsy's
hotel, is well known to the Embassy and a board member of the
American Chamber of Commerce in Georgia. Mr. Johnson also owns an
English language bookstore - Prospero's Books. Post is unaware of
any negative information concerning the financial standing of
Betsy's Hotel. Additionally, Post has no negative information
regarding terrorism, money laundering, corruption or other charges
about the owners and managers of the hotel.
BASS