Serbia Advances Law To Accelerate Kushner-Backed Hotel Deal
Belgrade's governing party has introduced legislation designed to fast-track the development of a luxury hotel complex linked to the son-in-law of former United States President Donald Trump, signalling the project is gaining momentum despite mounting controversy. The law would relax planning and heritage oversight on the site of the former Yugoslav Ministry of Defence buildings, allowing the U. S.-based investment firm Affinity Partners, headed by Jared Kushner, to proceed under accelerated terms. This move raises questions about transparency, cultural protection and the influence of foreign-linked business interests in Serbia.
Serbian President Aleksandar Vučić has publicly supported the development, describing it as“an opportunity to bring more investors, more people to Belgrade”. Analysts say his backing will likely help steer the bill through parliament, opening the door for the lease and construction processes to move more swiftly. For Kushner and Affinity Partners, the law promises to reduce regulatory risks and expedite what is expected to be a multibillion-euro redevelopment of a prominent city-centre site.
The development is tied to two adjacent buildings in central Belgrade, which were damaged during NATO air strikes in 1999. Serbia entered into a 99-year lease agreement with Affinity Partners in May 2024, under which the firm would build a branded luxury hotel, residences, commercial space and a memorial centre. That contract followed the government's removal of the buildings' protected cultural-heritage status-an action that prompted probe into whether documents were falsified to facilitate the change.
In May 2025 prosecutors revealed that a senior official at Serbia's Institute for the Protection of Cultural Monuments, Goran Vasić, admitted forging an expert opinion that contributed to the de-listing of the site. President Vučić responded by insisting the project would proceed and that no suspension was warranted. Heritage and civic-activist groups remain unconvinced, warning that the fast-track law may rubber-stamp development at the expense of due process and public interest.
See also China Signals End to Rare-Earth Curbs on U.S. IndustryPublic opposition has been visible. Thousands of protesters gathered in Belgrade in March, holding placards demanding that the site be reserved for a museum instead of a luxury hotel and residential complex. They argued that converting a bombed-out military headquarters into high-end property would undermine national dignity and disrespect the victims of the 1999 air campaign. The protest underscored broader unease about foreign branded developments in the region.
Supporters of the deal emphasise the potential economic benefits. Belarus that Serbia's economy - still grappling with structural challenges and reliant on foreign investment - could gain from an influx of capital, global branding, job creation and boosted tourism. Vučić has framed the project as part of a strategic pivot away from reliance on Russia, deepening Western economic ties. Affinity Partners has said the compound will meet international standards and involve local architects and designers.
Critics counter that the deal presents multiple governance risks. The sovereign-owned land is being leased rather than sold, raising questions about long-term accountability. The absence of disclosed investment thresholds or completion deadlines further clouds the contract's transparency. Ethical concerns also centre on Kushner's prior role in the U. S. administration and the possibility of foreign policy-business entanglements. The fact that the fast-track law is being introduced suggests the government is willing to override or soften existing heritage and planning safeguards.
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