Montenegro’s Defence Ministry has proposed several former military properties in Tivat for potential residential, commercial and tourism development, placing large coastal land plots under consideration in the municipality’s spatial and urban planning process through 2040. The proposals include some of Tivat’s larger state-owned properties, with sites in Lepetane, Ostrvo cvijeća, Opatovo, central Tivat and Seljanovo identified for possible alternative uses.
The largest individual locations include a 43,762-square-metre military complex in Lepetane, approximately 38,943 square metres on Ostrvo cvijeća, another 20,303 square metres of nearby coastal property, and a further 93,130-square-metre site in Opatovo.
Additional properties owned by the Defence Ministry in central Tivat and Seljanovo could also be designated for residential development under the new planning framework. The new spatial plan is being prepared under a contract worth approximately €270,000, with its final zoning decisions expected to determine the permitted uses of these strategically located properties.
Tivat has established itself as one of Montenegro’s most valuable tourism and residential markets, supported by demand from international property buyers, yacht tourism and the nearby airport. The potential redevelopment of underused state-owned coastal land could create opportunities for hotel operators, residential developers and investors pursuing mixed-use projects.
However, the proposals remain at an early planning stage. No land sale, concession, public-private partnership or private investment agreement has been announced. The Defence Ministry’s submissions indicate proposed future uses rather than a final decision to dispose of the properties.
Before development can proceed, municipal and central government authorities will need to address planning designations, property rights, infrastructure capacity and potential environmental or heritage restrictions.
Lepetane is particularly significant because of its position on the Verige Strait and its role in road and ferry transport around the Bay of Kotor. Any redevelopment combining residential, commercial and tourism facilities would require an assessment of existing infrastructure capacity. Tivat already experiences seasonal pressure on roads, parking, water supply and wastewater systems. Additional accommodation and residential capacity could increase demand on these networks. The coastal locations of the Opatovo and Ostrvo cvijeća properties also raise infrastructure and potential environmental considerations.
Repurposing surplus state-owned property could generate public revenue through sales or long-term leases, while subsequent development could support construction employment, expand tourism accommodation and increase municipal tax receipts. The planning process will determine how these properties can be used and whether they remain public assets or become available for private-sector development.
