Without water and roads, luxury does not arrive.

The dynamics of the construction of the "Montis by Splendid" hotel, as well as its opening in Kolašin, is dictated by the construction of communal infrastructure - the currently missing sewage and water supply networks, as well as appropriate roads.

This can be concluded from what "Vijesti" was told by the company "Montenegro Luxury Hotels & Resort", which is the investor, but also from seven reports by an independent auditor.

The Ministry of Regional Development and Cooperation with NGOs told "Vijesti" that the construction of the "Montis Hotel&Resort" hotel complex, according to the Business Plan, should be completed by September 30, 2025 at the latest.

"On February 7, 2025, the investor addressed the Ministry of Regional Investment Development with a request to extend the deadline for the completion of the facility, taking into account a number of unforeseen circumstances that significantly affect the deadline for the completion of the facility, in accordance with the Business Plan, for an additional 12 months. The investor's request is in the process with the Ministry," they said in this government department.

A five-star hotel complex in the Kolašin settlement of Breza, in the immediate vicinity of Lake Tara, using a condo business model, has been included in the list of development projects for which a Montenegrin passport can be obtained in September 2020.

Construction work on the hotel began on July 15, 2021. Excavation and execution of concrete and reinforcement works were hampered from the start by the route of a 10 kV power line that runs through part of the construction site. According to the business plan, the hotel was supposed to be completed in September last year. However, due to allegedly numerous challenges on the ground and “circumstances for which it is not responsible,” the investor requested a 2023-month postponement in May 12, to which the then Ministry of Economic Development and Tourism gave its consent.

The investor is obliged to submit a new bank guarantee, valid until October 31st of this year, which the company has done.

"Our hotel construction dynamics are aligned with the dynamics of infrastructure solutions implemented by the municipality. The construction work on the hotel is ongoing, although currently at a somewhat more moderate pace, because we are carefully coordinating the implementation with the construction of key infrastructure - the road to the Breza settlement, as well as the city's water supply and sewage network. Our goal is to avoid a situation in which a fully completed hotel would have to wait for basic conditions for operation," the company building the hotel told "Vijesti".

The biggest challenges they face, as they claim, like other investors in Kolašin, “are related to slow administrative procedures and the lack of supporting infrastructure, especially traffic, sewage and water supply”. However, they also explain that they believe “that all relevant stakeholders will jointly contribute to overcoming these problems as soon as possible, in order to ensure conditions for the smooth operation of all investors and the development of the destination as a whole”.

The hotel complex is planned to have 238 accommodation units (25 suites and 213 rooms). The initial investment value is 21,07 million euros, and the investor's intention is to employ 230 workers through the implementation of the project.

In the seventh report, which covers the period from October 2023 to March 2024, the controller also determined that "investments in the project to build the 'Montis Hotel & Resort' hotel complex for the first seven half-years amounted to 13,253 million euros." According to what the company building the hotel told "Vijesti", more than 22 million euros have been invested in the hotel's construction so far.

"Our experience to date has shown us that project costs are subject to change, so we can say that a precise estimate of the total project value depends on several factors - including market conditions, rising prices for construction materials and labor, technical specifications and the requirements of the future hotel operator. Our focus remains on ensuring the highest level of quality and construction standards, with a sustainable approach and long-term economic profitability. Despite all the challenges, our goal is to remain committed to the construction of the highest quality hotel, which will represent a model for the future development of tourism in this part of Montenegro," the investors claim.

The hotel complex is planned to include 238 accommodation units (25 suites and 213 rooms). The initial planned investment value is 21,07 million euros, and the investor's intention is to employ 230 workers through the implementation of this project.

Upon opening the hotel, they promise numerous benefits for the local community. The “Montis by Splendid” hotel, they claim, “aims to create an offer that will position Kolašin as an attractive mountain destination throughout the year.” The hotel, they say, will be open to the local population through a variety of facilities, but also through the creation of new jobs, so in addition to 260 permanent jobs, they also announce the possibility of 60 seasonal positions.

The problem of wastewater in lagoons

From the Information on the seven reports of the independent controller, it is obvious that the investor had numerous problems when it came to communal infrastructure, and that this significantly affected the dynamics of the works. The resolution of some of them is still planned through capital projects.

In accordance with the expanded methodology for monitoring development projects in the field of tourism, in addition to the controller's report, two new procedures have been introduced in the procedure for monitoring project development, namely a report on the status of work on the project and a site visit. Accordingly, representatives of the competent government department, as stated in the Information, visited the construction site of the “Montis Hotel & Resort” complex last year. At that time, the investors reminded them of numerous problems, and also emphasized the need to relocate the lagoons in the immediate vicinity of the construction site. The lagoons are two “lakes” into which all wastewater from the city's sewage system has been discharged for decades, without any treatment.

The solution to this problem is planned through a project to reconstruct the sewage network and build a wastewater treatment plant (WWTP). Tender procedures are underway for this project. However, according to unofficial information from the local administration to “Vijesti”, the investor has nevertheless requested that “the lagoons be moved further away from the hotel” by the time the multi-year project is completed.

In their responses to questions from "Vijesti", the company building the Kolašin hotel did not mention this investment. However, they remind that they are aware of "the complexity of developing large infrastructure and hotel projects in new investment destinations like Kolašin" and claim that they are ready to be a partner in finding the best solutions.