Developer Gugi Commerce has requested changes to the land-use designations of two parcels near its hotel in Opatovo, Tivat, seeking classifications that would permit tourism or mixed-use development as the municipality prepares a new spatial plan extending to 2040. Both plots are currently designated as green areas, and the company has asked for development-related classifications. One of the parcels covers approximately 2,021 square metres. The request has not been approved and remains subject to the ongoing municipal planning process.
Tivat’s new spatial plan will establish long-term construction parameters across the municipality, covering hotel, residential, tourism and infrastructure development. The preparation of the plan is being carried out under a contract worth approximately €270,000. The outcome of the planning process will determine whether the two parcels can be used for additional development. Changes to land-use classifications can significantly affect property values, particularly in coastal locations and areas close to existing tourism facilities.
Gugi Commerce’s application also follows controversy surrounding its nearby hotel project. Media reports have stated that the property was built substantially beyond its originally permitted dimensions before subsequently entering a legalisation process.
The current request remains under consideration as part of Tivat’s broader spatial and urban planning procedures. The municipality’s decisions will establish the development parameters applicable to the land through 2040. For the coastal property market, the case highlights the commercial importance of zoning decisions. Parcels near established tourism assets may gain value if additional construction rights are granted, while environmental protections and planning restrictions can constrain their development potential. Tivat’s spatial plan will determine how the municipality accommodates future tourism and property investment while retaining designated green areas and applying construction rules. The outcome will be relevant to Gugi Commerce and other developers operating in one of Montenegro’s active coastal real-estate markets.
