As part of the implementation of the project to build a new luxury tourist town, Luštica Bay, in Krtoli near Tivat, from the beginning in December 2013 until the middle of last year, a total of 637,4 million euros was invested.
Of this, 62,8 million euros were invested in the first six months of 2025.
This is stated in the "Information on activities for the implementation of priority projects in the field of tourism" adopted by the Government of Montenegro at the end of last year.
Luštica Bay is being developed on 6,9 million square meters of leased state land in the cadastral municipalities of Radovići, Nikovići, Gošići, Bogišići, Milovići and Krašići in the municipality of Tivat, and the total value of this project, backed by the Egyptian-Swiss consortium Orascom, is 1,6 billion euros.
The project is planned in two parts. Period 1 includes development on an area of 4,4 million square meters, while Period 2 envisages further development on 2,5 million square meters. Within Period 1, the development includes the construction of two marinas with a total of 220 berths, an 18-hole golf course and five beaches.
"Period 1 is planned through five detailed urban plans, one urban project and one state location study, of which two detailed plans and one state location study have been adopted so far, while the remaining plans are planned for future implementation. Period 2 will be developed in subsequent phases, with detailed elaboration through appropriate planning documentation, in order to ensure coordinated and sustainable implementation of future urban and infrastructure facilities. The land that is the subject of the lease also includes the Petrovići location, for which a state location study has been developed and adopted," the Information states.
The project is currently being implemented within Period 1, with the Centrale and Marina Village settlements being developed according to the guidelines of the Detailed Urban Plan “Donji Radovići - Center” and the State Study of the Sector 36 location, while in the golf course zone, development is being implemented through the DUP “Golf and Donji Radovići - West”. The residential segment of Luštica Bay is designed as “an integrated combination of apartments, townhouses, villas and exclusive golf villas, with accompanying hotel capacities, commercial facilities, and public and sports and recreational areas”.
According to government data, by the middle of last year, the investor - the company Luštica Development from Tivat - had made investments in an area of 112.657 square meters, which represents five percent of the total area under lease for Period 1. Of this, 82.715 square meters of gross developed area of buildings (GRDA) was built, which makes up 11% of the planned GRDA, while the land occupied by buildings is 32.097 square meters, or 10% of the planned area.
So far, a total of 450 residential units (apartments) have been built in 52 buildings, 13 so-called townhouses in six buildings, seven villas, the 5-star hotel “The Chedi” with 111 rooms, the 5-star Hotel “Centrale” with 31 rooms, 25 business premises, five beaches and one marina with 121 berths.
In addition to other new infrastructure, a main water reservoir with a capacity of 1.000 cubic meters was built, a new water supply network covering the Golf, Central Zone and Marina Village was put into operation, as well as the Golf I reservoir (Phase 1), with a capacity of 1.000 cubic meters. A total of over five kilometers of new roads and streets with 237 parking spaces were built, an additional 296 parking spaces and over 1,2 kilometers of roads are under construction. A new central wastewater treatment plant with accompanying pumping stations was built, with a processing capacity of 2.200 inhabitants, and a new telecommunications and electricity infrastructure was built with ten new substations with a total installed capacity of more than 11 MVA.
As for the new large 18-hole golf course, which covers an area of about one million square meters, Phases I and II (the driving range and the first three golf holes) as well as the Club House were completed by the middle of last year, with a total investment of 7,2 million euros. Construction of Phase III (another six holes) is underway, with completion planned for the fall of 2026.
The Information states that from the signing of the long-term lease agreement on land in Luštica with Orascom in 2009 until the middle of last year, the total obligations of Luštica Development to the Government of Montenegro were 12,25 million dollars, and to the Municipality of Tivat 50.000 euros.
"The fulfilled obligations towards the Municipality of Tivat in relation to the special fee for the construction of the regional water supply system amounted to 1,2 million euros, the fulfilled obligations towards the Regional Water Supply Company in relation to the special fee for the construction of the regional water supply system amounted to 2,6 million euros. The fiscal contributions of the Luštica Bay project (VAT, taxes and social contributions, property tax, income tax and withholding tax) until mid-2025 amounted to 48,82 million euros," the Information states, among other things, noting that Luštica Development has so far donated around 2,5 million euros to the wider community through various donations and examples of socially responsible business.
The Qataris haven't even dug a hole yet, and they've invested almost 90 million?
When it comes to the project to build a hotel and residential complex in Pržna Bay in Krtoli near Tivat, whose investor is the Qatari state fund Qatari Diar, and which was supposed to start in 2011, the Information prepared by the Government states that in the middle of last year it was still in the "dormant phase".
"The project is in a dormant phase. The open issues are the renewal of building permits and the expropriation of the remaining two plots," the document states, claiming that despite the fact that apart from the demolition of the old "Plavi Horizont" hotel of HTP "Primorje" and the removal of almost all other buildings in Pržna Bay, "not a single shovel has been used there since 2011," the cadastral investor has allegedly invested a total of 88,7 million euros in the implementation of his project in Montenegro.
"The Pržno I tourist complex will consist of 168 accommodation units and an annex with 78 accommodation units," the information states, noting that this project will be implemented on a location with a total area of 155.557 square meters.
Towards the end of last year, the Environmental Protection Agency conducted a decision-making process on the need to prepare a Study on the assessment of the impact of the project on the environment. Only in the hotel and hotel facilities that will have a number of floors from five to even eight above-ground floors, 33.4745 square meters of new facilities will be built - only 25 square meters less than the maximum gross developed construction area of these facilities allowed by the planning document.
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