Tbilisi City Hall sold a 122 hectare plot of land on the outskirts of the capital to a development company for GEL 97.7 million (USD 58.2 million) on June 12, Tbilisi municipality reported.

Total of three companies were competing in the auction. The initial asking price was GEL 48.8 million.

The land is located in the vicinity of the U.S. Embassy compound in Didi Digomi.

“Our expectation is that a new district will be created in that place with both recreational and residential purposes,” Mamuka Akhvlediani, the Vice-Mayor of Tbilisi, told reporters.