The current leaseholders of Ulcinj’s beaches are demanding the cancellation of a tender won by a foreign investor who offered the highest bid to lease the city’s beaches in Montenegro.
In addition, they are calling for the extension of last year’s lease contracts under the same conditions.
This was announced at a press conference on March 18, where their demands were also supported by the Mayor of Ulcinj, Genci Nimanbegu.
The four-year beach rental tender has sparked outrage among local leaseholders and authorities, who believe the beaches are being handed over to foreign investors through “dubious agreements made behind closed doors.”
“A coordinated and unprecedented attack, synchronized with system institutions, occurred during the prolonged tender in which Eagle Hills Montenegro participated,” Nimanbegu stated a day earlier.
The Emirati company Eagle Hills submitted the highest bids for most of the beaches at Velika Plaža (Long Beach) in Ulcinj, which were previously leased mainly to local entrepreneurs.
Local Outrage and Investor’s Proposal
Following the March 11 announcement that Eagle Hills had “won” most of the beaches, a protest was organized, where locals expressed their strong opposition.
In response, the Arab investor made an offer to local residents.
Eagle Hills stated that if they secure the beach leases, they will sublease them to previous leaseholders at the prices they originally offered in the tender.
This was confirmed on March 16 by Mohamed Alabbara, chairman of Eagle Hills Properties, who emphasized his commitment to supporting local businesses and maintaining their livelihoods.
However, Prela Shkrela, President of the Ulcinj Beach Leaseholders Association, rejected this approach, stating that a leaseholder cannot legally sublease the beach to another party.
Government Stance on the Tender
Responding to concerns about the legitimacy of the tender process, the Montenegrin government assured Radio Free Europe that the tender was conducted lawfully.
“The legality of the tender is a priority for the government. Any further actions by the highest-ranked bidders must comply with legal frameworks and are their exclusive business decisions,” the government stated.
It was also confirmed that Prime Minister Milojko Spajić met with Alabbara in Dubai in mid-February during the World Government Summit, where Montenegro’s investment potential was presented.
Surprise Appearance of the Investor
Due to public dissatisfaction with the tender results, Spajić held a meeting with Ulcinj municipality representatives on March 14, where Alabbara unexpectedly appeared.
Mayor Nimanbegu expressed surprise at his presence, as it was not previously announced. Alabbara reportedly showed interest in investing in Ulcinj, though no concrete plans were presented.
The Eagle Hills company, which secured the highest bids for nine Ulcinj beaches, is a construction and development firm from Abu Dhabi, known for projects such as Belgrade Waterfront.
The company’s Montenegrin branch, Eagle Hills Montenegro, was registered only six weeks ago, with a starting capital of one euro and listed under a Dubai-based parent company.
Protests and Petition Planned
Representatives of local beach and restaurant associations, including those from Ada Bojana and Shtoj, emphasized that they are not against foreign investors but demand a clear development plan for Velika Plaža before any contracts are finalized.
Despite this, they remain firm in their request to annul the tender and have scheduled a protest for March 22, along with a petition against the decision.
With 13 kilometers of coastline and an average width of 60 meters, Velika Plaža is located five kilometers from Ulcinj, the southernmost city on Montenegro’s coast.