Sheraton Grand Tbilisi Metechi Palace
A five-star Sheraton hotel overlooking Old Tbilisi in Georgia's capital.
Last updated August 25, 2026
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Overview
Sheraton Grand Tbilisi Metechi Palace is a five-star hotel in Tbilisi, Georgia, positioned in a central part of the capital with views toward Old Tbilisi. It is associated with Marriott International through the Sheraton Hotels and Resorts brand and serves the city's international leisure, business, diplomatic, and event markets. The property is one of the better-known large international hotels in Tbilisi and has operated under several ownership and management arrangements since its opening. The hotel was developed during the final period of the Soviet era as a joint venture involving Russian investors and the Austrian-based ABV Leasing-und Hotel GMBH. It opened in May 1991, shortly after Georgia became independent. In its first years, the property faced exceptionally difficult operating conditions because of the Georgian Civil War. Demand was very limited, and the hotel reportedly kept its lights off at night to reduce the risk of drawing sniper fire. This early history distinguishes the property from a conventional new-build luxury hotel: its launch coincided with a major political transition and an unstable security environment. At opening, the hotel was managed under ABV's Marco Polo Hotels chain, which also operated properties in Moscow and St. Petersburg. In 1997, the three Marco Polo properties joined Sheraton Hotels, and the Tbilisi property was renamed Sheraton Metechi Palace Hotel. The Sheraton affiliation connected the hotel to a global reservation, service, and brand system while retaining its local identity and location near the historic core of Tbilisi. In August 2007, the UAE-based Ras Al Khaimah Investment Authority acquired the hotel through its Georgian subsidiary, RAKIA Georgia LLC. The transaction was reported at US$68 million. The property later underwent a major closure and refurbishment program. It closed on December 1, 2014, and reopened on June 20, 2019, under the name Sheraton Grand Tbilisi Metechi Palace. The reopening placed the hotel within Sheraton's higher-tier Grand positioning and marked the completion of a refurbishment reported to have cost more than US$40 million. The hotel's core offering is accommodation under the Sheraton brand, supported by hospitality facilities for meetings, gatherings, and visiting groups. Its location gives it a dual appeal: it is close to the historic and scenic areas of Old Tbilisi while also functioning as a full-service international hotel for organized events and institutional visitors. In July 2022, part of the property was used as a stay-over hotel for players participating in the FIBA U20 European Championship Division B held in Georgia. This illustrates the hotel's role in hosting sports delegations and other group business in addition to ordinary overnight guests. The available reference material does not establish a separate consumer product portfolio, a publicly traded structure, or a detailed current executive roster. The property should therefore be understood primarily as a single destination hotel operating under the Sheraton Grand flag rather than as an independently marketed multi-property brand. Its documented trajectory runs from a politically turbulent 1991 opening, through a 1997 Sheraton conversion and 2007 ownership change, to a substantial 2019 refurbishment and relaunch.
History
Sheraton Grand Tbilisi Metechi Palace emerged from a development project undertaken during the final years of the Communist period. The hotel was created as a joint venture involving Russian investors and ABV Leasing-und Hotel GMBH, an Austria-based company. Its location in central Tbilisi, overlooking the historic district of Old Tbilisi, gave the property a strong geographic position, but its launch coincided with one of the most unsettled periods in modern Georgian history. The property opened in May 1991, only shortly after Georgia gained independence. Instead of entering a stable tourism market, it began trading during the Georgian Civil War. The conflict severely restricted travel and commercial activity, leaving the hotel almost empty during its first few years. According to the documented account of the property, the hotel's lights were switched off every night to avoid attracting sniper fire. This detail reflects both the security challenges facing Tbilisi at the time and the unusual circumstances under which the hotel attempted to establish itself. The initial operating identity was supplied by Marco Polo Hotels, the chain associated with ABV. Marco Polo also had hotels in Moscow and St. Petersburg, placing the Tbilisi property within a small regional network rather than an isolated local operation. In 1997, the three Marco Polo hotels joined Sheraton Hotels. The Tbilisi hotel consequently became Sheraton Metechi Palace Hotel. The change brought the property into the Sheraton system and gave it access to a globally recognized hospitality brand, while its name continued to emphasize the local Metechi Palace identity. A further change came in August 2007, when Ras Al Khaimah Investment Authority, based in the United Arab Emirates, bought the hotel through its subsidiary RAKIA Georgia LLC. The reported purchase price was US$68 million. The acquisition represented a new ownership phase for a hotel that had already passed from its original joint-venture structure and Marco Polo management context into the Sheraton network. The property later underwent an extensive redevelopment and refurbishment. It closed on December 1, 2014, and remained unavailable while work was carried out. The refurbishment was reported to have cost more than US$40 million. The hotel reopened on June 20, 2019, with the name Sheraton Grand Tbilisi Metechi Palace. The relaunch signaled both the completion of the renovation and the property's placement within the higher-end Sheraton Grand positioning. Following its reopening, the hotel continued to operate as a major international lodging property in Tbilisi. Its documented functions include ordinary hotel accommodation as well as hosting organized groups. In July 2022, it was partly used as a stay-over hotel for players in the FIBA U20 European Championship Division B. This use is consistent with the property's capacity to serve sports delegations and other event-related visitors, although the available reference does not provide a detailed inventory of rooms, restaurants, meeting spaces, or amenities. The property's documented history therefore consists of several distinct stages: Soviet-era development; a difficult opening in newly independent Georgia in 1991; operation under Marco Polo Hotels; conversion to the Sheraton name in 1997; acquisition by Ras Al Khaimah Investment Authority in 2007; closure and major refurbishment beginning in 2014; and a 2019 reopening as Sheraton Grand Tbilisi Metechi Palace. Marriott International is identified as the operator in the reference material. Current ownership, detailed management personnel, and the hotel's complete present-day facilities are not established by the supplied sources.
- 2022
Accommodation for FIBA U20 tournament players
[1]Part of the hotel was used as a stay-over property for players in the FIBA U20 European Championship Division B.
- 2019
Reopening as Sheraton Grand Tbilisi Metechi Palace
[1]The renovated property reopened on June 20 under its current Sheraton Grand name.
- 2014
Closure for refurbishment
[1]The hotel closed on December 1 for a major refurbishment program.
- 2007
Acquisition by Ras Al Khaimah Investment Authority
[1]The UAE-based investment authority acquired the hotel through RAKIA Georgia LLC in August 2007.
- 1997
Conversion to Sheraton
[1]The property joined Sheraton Hotels along with two other Marco Polo hotels and was renamed Sheraton Metechi Palace Hotel.
- 1991
Opening as Metechi Palace Hotel
[1]The hotel opened in May 1991 in Tbilisi, shortly after Georgia's independence, under the management of ABV's Marco Polo Hotels chain.
Products and positioning
High-end, full-service international hotel with a central Tbilisi location, views toward Old Tbilisi, and Sheraton Grand brand affiliation.
Hotel lodging · 1991
Sheraton Grand Tbilisi Metechi Palace accommodation
The hotel's principal offering is branded, full-service accommodation in central Tbilisi. Its location overlooking Old Tbilisi gives the property a distinctive destination character, while its Sheraton Grand affiliation places it in the upper end of the international Sheraton portfolio. The supplied references do not provide a detailed breakdown of room types or current amenities.
Events and group lodging
Meetings and group hospitality
The property serves organized visitors in addition to individual hotel guests. Its documented use as accommodation for FIBA U20 European Championship players demonstrates a role in sports-team and group lodging. Specific meeting-room names, capacities, and event packages are not established in the supplied source material.
Brand decisions
2014
Major closure and refurbishmentStrategyBackground
The property required a substantial modernization program after years of operation.
Action taken
The hotel closed on December 1, 2014, for refurbishment reportedly costing more than US$40 million.
Aftermath
The property reopened in June 2019 under the Sheraton Grand Tbilisi Metechi Palace name.
Reported refurbishment cost. More than US$40 million (2014-2019 refurbishment period)
2007
Acquisition by Ras Al Khaimah Investment AuthorityM&ABackground
The hotel changed ownership after operating for a decade under the Sheraton identity.
Action taken
Ras Al Khaimah Investment Authority acquired the property through RAKIA Georgia LLC.
Aftermath
The acquisition established the ownership structure associated with the subsequent refurbishment and relaunch.
Reported acquisition price. US$68 million (August 2007)
1997
Adoption of the Sheraton brandStrategyBackground
The hotel had operated under ABV's Marco Polo Hotels chain since opening, but the Marco Polo properties in the network joined Sheraton Hotels.
Action taken
The Tbilisi property was renamed Sheraton Metechi Palace Hotel and incorporated into the Sheraton brand system.
Aftermath
The change gave the hotel an internationally recognized brand identity and preceded its later Sheraton Grand relaunch.
Recent events
- 2022
Hotel hosts FIBA U20 European Championship participants[1]
Other
In July 2022, part of the hotel was used as accommodation for players competing in the FIBA U20 European Championship Division B.
- 2019
Property reopens as Sheraton Grand Tbilisi Metechi Palace[1]
Product launch · Product generation
The refurbished hotel reopened on June 20, 2019, adopting the Sheraton Grand Tbilisi Metechi Palace name.
- 2014
Hotel closes for refurbishment[1]
Other
The property closed on December 1, 2014, for a major refurbishment reported to have exceeded US$40 million.
- 2007
Ras Al Khaimah Investment Authority acquires the hotel[1]
M&A
Ras Al Khaimah Investment Authority acquired the property through RAKIA Georgia LLC in August 2007 in a transaction reported at US$68 million.
- 1997
Property joins Sheraton Hotels and is renamed[1]
M&A
The former Marco Polo property joined Sheraton Hotels, becoming Sheraton Metechi Palace Hotel as part of the wider conversion of three Marco Polo hotels.
- 1991
Sheraton Metechi Palace Hotel opens in Tbilisi[1]
Other
The hotel opened in May 1991 during the transition surrounding Georgia's independence. It began operations under the Marco Polo Hotels management chain.
Sources1 sources
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