Visitors to Belgrade are immediately confronted by a stark reminder of Serbia’s past: the bombed-out remains of government buildings, casualties of the 1999 NATO intervention. These structures, standing as a testament to a tumultuous history, convey a potent message of unresolved conflict.

The damaged Defence Ministry buildings, resembling a smile marred by missing teeth, bear the scars of NATO’s actions aimed at halting Serbia’s military campaign in Kosovo. The United States, as a key NATO member, played a significant role in the bombing.

Therefore, the Serbian government’s 2023 decision to partner with Affinity Global, an American company founded by Jared Kushner, to redevelop the site into a $500 million (£370 million) complex—dubbed “Trump Tower Belgrade”—proved jarring to many.

This wasn’t entirely unexpected; Donald Trump himself had previously expressed interest in a hotel on the site. The deal also aligns with accusations by the Serbian opposition that the government favors foreign investors over public interests.

This pattern is exemplified by the Belgrade Waterfront project, a development by Emirati firms on land previously owned by Serbian Railways. While this created a modern shopping center and the Belgrade Tower, it replaced a derelict area and is not universally lauded.

However, the Defence Ministry site is different. Its symbolic significance as a memorial to the 1999 bombing and a powerful reminder of anti-NATO sentiment and pro-Russia sympathy within Serbia makes granting a 99-year lease to a US developer, reportedly without upfront costs, a highly controversial move.

President Aleksandar Vučić defends the decision, stating to the BBC that improving US relations is crucial. This perspective resonates with Belgrade’s international business community, although Serbia’s GDP per capita remains significantly below the EU average.

Attracting investment is vital for economic growth. While financial details remain undisclosed, the New York Times reported the Serbian government will receive 22% of future profits. James Thornley, a financial consultant in Belgrade, argues that such large-scale international projects enhance Serbia’s profile, attracting further investment.

However, not all are convinced. Andrew Peirson, a real estate executive, while acknowledging the positive investment implications, criticizes the lack of a transparent tendering process, suggesting a deviation from standard practice in developed markets. He points out that a competitive bidding process would have ensured fair market value for the site.

Further complicating matters, the deal’s approval involved a now-arrested official accused of fabricating documents to justify lifting the building’s protected status. This fuels suspicions of preferential treatment for Affinity Global, which denies any wrongdoing. The Serbian government also rejects these claims.

The project’s future remains uncertain. While Affinity Global insists on reviewing the matter, the arrested official’s actions raise significant concerns about the deal’s legality and transparency. The site’s historical significance also adds another layer of complexity, with critics arguing against demolishing a culturally important landmark. The site’s ultimate fate remains uncertain, but its troubled history will likely continue to be a focal point for years to come.

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Visitors to Belgrade are immediately confronted by a stark reminder of Serbia’s past: the bombed-out remains of government buildings, casualties of the 1999 NATO air campaign. These structures, standing as a testament to a turbulent history, serve as a powerful, albeit unintentional, welcome to the city.

The damaged Defence Ministry buildings, resembling a smile marred by missing teeth, vividly illustrate the impact of NATO’s intervention to halt Serbia’s military actions in Kosovo. The United States, a key member of the NATO alliance, was directly involved in the bombing.

Therefore, the Serbian government’s 2023 decision to partner with Affinity Global, an American firm founded by Jared Kushner, on a $500 million (£370 million) luxury development – dubbed “Trump Tower Belgrade” – proved jarring to many. This was not merely due to the American connection, but also because of Kushner’s high-profile association with former US President Donald Trump, who himself had previously expressed interest in developing the site.

While recent events have cast doubt on the project, the deal aligns with a pattern, as alleged by the Serbian opposition, of the government granting lucrative deals on public property to foreign investors. The Belgrade Waterfront project, developed by Emirati firms on land owned by Serbian railways, is cited as a prime example.

This project transformed a derelict area into a modern complex featuring a shopping center and the striking Belgrade Tower. However, unlike the waterfront site, the Defence Ministry complex holds significant symbolic weight, serving as a memorial to the bombing victims and a visual reminder of anti-NATO sentiment and pro-Russia sympathies among many Serbians.

Granting a 99-year lease to a US developer, reportedly without upfront payment, is a bold move. President Aleksandar Vučić, however, defends the deal, stating to the BBC that it’s crucial to move past the 1999 conflict and foster improved US relations.

This perspective resonates with some in Belgrade’s international business community. Foreign direct investment has significantly increased over the past decade, yet Serbia’s GDP per capita remains considerably lower than the EU average. Attracting investors is paramount for economic growth. While financial details remain undisclosed, the New York Times reports that Serbia will receive 22% of future profits.

James Thornley, a financial consultant with extensive experience in Serbia, emphasizes the positive publicity such a project brings. He believes that public perception will shift once the benefits of the development become apparent, calling the current state of the site an “eyesore.”

However, not all share this optimism. Andrew Peirson, a real estate expert, while acknowledging the potential benefits of attracting significant investment, criticizes the lack of an open tendering process, which he says would have ensured a fairer market value for the land.

In 2023, President Vučić reported having a positive meeting with Jared Kushner, and Donald Trump Jr. has visited Belgrade since Affinity Global’s announcement. While the Trumps’ role appears limited to the hotel aspect, questions have been raised about potential conflicts of interest.

Peirson expresses concern that the opaque nature of the deal could alienate existing investors. Both Affinity Global and the Serbian government did not respond to requests for comment regarding the tendering process.

Beyond the economic considerations, the project raises concerns about the site’s historical and architectural significance. Originally designed as a symbolic gateway to Belgrade, it holds protected cultural heritage status. Estela Radonjic Zivkov, a former deputy director of Serbia’s cultural heritage institute, strongly opposes demolition, emphasizing the importance of respecting Serbian law and cultural heritage.

In a dramatic twist, the arrest of Goran Vasic, the official who approved the removal of the site’s protected status, on charges of forgery and abuse of office, has further complicated matters. This has fueled allegations of preferential treatment for Kushner, which the Serbian government denies.

The future of the Affinity Global project remains uncertain. While Affinity Global issued a statement distancing themselves from Vasic and promising to review the situation, President Vučić maintains that there are no issues. The fate of the Defence Ministry complex, and the “Trump Tower Belgrade,” continues to be a subject of intense debate and uncertainty.

A striking sight greets visitors to Belgrade: the bombed-out remains of Serbian government buildings, casualties of the 1999 NATO airstrikes. These damaged structures serve as a stark reminder of Serbia’s tumultuous past and its ongoing process of reconciliation.

The partially destroyed Defence Ministry buildings stand as a poignant symbol, a testament to the impact of NATO intervention during the Kosovo conflict. The United States, a NATO member, played a significant role in the bombing campaign.

Therefore, the Serbian government’s 2023 decision to partner with Affinity Global, an American company founded by Jared Kushner, on a $500 million redevelopment project, caused considerable surprise. The planned development, initially named “Trump Tower Belgrade,” raised eyebrows, given the historical context and Kushner’s connection to former President Donald Trump.

This decision, however, aligns with a broader pattern, as alleged by the Serbian opposition, of foreign investors profiting from publicly owned assets. The Belgrade Waterfront project, developed by Emirati firms on land belonging to Serbian Railways, serves as a prominent example.

While the Waterfront project transformed a derelict area into a modern development, the Defence Ministry complex presents a different challenge. Its historical significance and association with the 1999 bombing make its redevelopment a highly sensitive issue.

The buildings serve as a powerful visual reminder of Serbian anti-NATO sentiment and pro-Russian sympathy. Granting a 99-year lease to a US developer, reportedly without upfront payment, is a bold move, prompting considerable debate.

President Aleksandar Vučić defends the deal, stating that improved relations with the US are crucial for Serbia. This perspective resonates with some in Belgrade’s international business community, who see attracting foreign investment as vital for economic growth.

Despite a significant increase in foreign direct investment over the past decade, Serbia’s GDP per capita remains considerably lower than the EU average. The Serbian government will reportedly receive 22% of future profits from the Defence Ministry development, according to the New York Times.

James Thornley, a partner at KP Advisory in Belgrade, highlights the potential benefits of attracting major international players, emphasizing the positive publicity such projects generate. He believes public perception will shift once the project’s benefits become evident.

However, not all share this optimism. Andrew Peirson, of iO Partners, while acknowledging the project’s potential to attract investment, criticizes the lack of a transparent tendering process, raising concerns about market value and fairness.

Further complicating the matter, the arrest of Goran Vasic, the official responsible for lifting the complex’s protected status, on charges of abuse of office and forgery, has cast a shadow on the deal. This arrest has fuelled accusations of preferential treatment for Affinity Global, which the Serbian government denies.

The future of the project remains uncertain. Affinity Global has issued a statement distancing itself from Vasic, while Vučić maintains that no irregularities occurred. The historical and architectural significance of the site, originally designed by Nikola Dobrovic, adds another layer of complexity to the situation.

Estela Radonjic Zivkov, a former deputy director of Serbia’s Republic Institute for the Protection of Monuments, strongly opposes the demolition, citing Serbian law protecting the site. The legal battle and ongoing investigation will determine the future of this controversial project and its impact on Belgrade’s landscape.

A striking image greets visitors to Belgrade: the bombed-out remains of Serbian government buildings, casualties of the 1999 NATO bombing campaign. These damaged structures serve as a potent reminder of Serbia’s turbulent past and its ongoing reconciliation process.

The partially-destroyed Defence Ministry buildings stand as a stark symbol. Their condition reflects the significant impact of NATO intervention during the Kosovo conflict, with the US, as a NATO member, implicated in the bombing.

Therefore, the Serbian government’s 2023 decision to partner with Affinity Global, founded by Jared Kushner, on a $500 million (£370 million) redevelopment into a luxury complex – dubbed “Trump Tower Belgrade” – was met with considerable surprise and controversy.

This followed earlier interest expressed by Donald Trump himself before his presidency. Critics, including the Serbian opposition, allege this deal exemplifies a pattern of privatizing public assets to benefit foreign investors.

This concern is echoed in the Belgrade Waterfront project, developed by Emirati firms on land previously owned by Serbia’s railways. While this brownfield site now features a modern shopping centre and the Belgrade Tower, the Defence Ministry complex presents a different scenario entirely.

The complex serves as a memorial to the 1999 bombing, significantly impacting public perception. This, coupled with widespread pro-Russia sentiment, renders the 99-year lease granted to a US developer, reportedly without upfront cost, a controversial decision.

President Aleksandar Vučić defends the deal, emphasizing improved US relations. This stance is supported by some in Belgrade’s international business community, who view the project as attracting crucial foreign investment, particularly given Serbia’s low GDP per capita relative to the EU.

While financial specifics remain undisclosed, reports indicate the Serbian government will receive 22% of future profits. James Thornley, a financial consultant, argues that attracting major international players provides significant economic benefits and positive publicity.

However, not all share this optimism. Andrew Peirson, a real estate executive, raises concerns about the lack of an open tendering process, questioning whether the government secured market value for the site. He points to standard practices in other European countries where such deals would undergo competitive bidding.

Further complicating matters, Serbian organized crime prosecutors arrested Goran Vasic, the official who authorized the removal of the complex’s protected status, on charges of abuse of office and forgery. This development fuels accusations of preferential treatment for Kushner, allegations denied by the Serbian government.

The complex’s historical significance further fuels the debate. Originally designed by Nikola Dobrović, it holds architectural and cultural value, having been granted protected status in 2005. Estela Radonjic Zivkov, a former deputy director of Serbia’s heritage institute, strongly opposes demolition, citing Serbian law.

The arrest of Vasic introduces uncertainty into the future of the project. While Affinity Global insists on Vasic’s lack of involvement and plans to review the situation, President Vučić maintains there is no problem. The outcome remains uncertain, leaving the fate of the Defence Ministry complex and the “Trump Tower Belgrade” project unresolved, adding another layer of complexity to Belgrade’s cityscape.

The 131cm-high figurine was sold at the Yongle International Auction in Beijing.

The world’s two biggest economies have agreed in principle a framework for de-escalating trade tensions.

The Hollywood studios allege Midjourney’s image generator is a “bottomless pit of plagiarism”.

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Jetstar Asia has struggled with rising supplier costs, high airport fees and increased competition.