Luštica Bay.

The masterplan, and who runs it

The project was launched by Orascom Development Holding under Luštica Development AD, a company that is 90% Orascom and 10% Government of Montenegro (Oplus/Orascom guide, 2025). The plan spans about 690 hectares with roughly 6 kilometres of coastline, is valued in the region of €1.1 to €1.5 billion, and is pitched as a low-density, sustainability-led resort town that builds on only a small share of the land rather than dense coastal sprawl (eKapija; lusticabay.com). Delivery began with Marina Village, and the anchor Chedi Luštica Bay hotel opened in 2019 with 111 rooms.

That single-owner structure is the first thing to weigh. It gives the town a coherence that piecemeal coastal development rarely has, one architectural language, one set of standards, one marina operator. It also means the value case rests almost entirely on one entity continuing to deliver. The land, common areas, marina, hotels and amenities are all developer-controlled, so a buyer takes on a service-charge and community structure and relies on Luštica Development to build the wider town it has advertised.

A town being built to one plan, by one developer. You buy partly what exists, and partly what is promised.

What you are actually buying

Stock divides across four neighbourhoods. Centrale holds the town-centre apartments and studios. Marina Village holds waterfront apartments. Horizon holds hillside sea-view residences. The Peaks holds golf villas, townhouses and apartments above the future course. Product ranges from compact Centrale studios, cited from around €269,000, up to multi-million-euro golf villas at The Peaks, cited from €859,000 with villas above €1 million, while Horizon spans roughly €450,000 to €1,452,000 (Objekta; agent listings, 2025). Which one fits depends entirely on how you intend to use the town, which is the conversation we start with rather than finish on.

Ownership is full freehold, and units are commonly sold with developer payment plans, for example staged booking, construction and handover splits, alongside an optional rental-management programme with cited high-season yields of roughly 4% to 6% (portal guides; mdrealty, 2025). On a per-square-metre basis, area guides cite roughly €6,000 to €15,000, several times the Montenegro coastal new-build average of €2,458 per m² in the third quarter of 2025 (MONSTAT via Global Property Guide, 2025). The mix is weighted to second homes and lock-up-and-leave investment stock rather than year-round primary housing.

Where it is going

The reason to read Luštica Bay carefully now is that so much of it lies ahead. Under construction is the Gary Player 18-hole golf course, cut into steep hillside gradients of 25% to 30% and pitched as sea views from every hole, with the first nine holes expected in 2026 and the full course targeted for 2028 (The Golf Wire; lusticabay.com). Recently delivered, the Centrale Angsana hotel opened in spring 2025, extending the lived-in core beyond Marina Village. The stated end-state ambition runs to 3,000 or more apartments, 300 or more sea-view villas, seven hotels, two marinas, an international school and a private hospital, supporting around 6,000 residents (eKapija; lusticabay.com).

The momentum is real, but the timeline is long and phased. Much of the marketed town, the school, the hospital, the further hotels, the second marina and most of the villas, is announced rather than built. A buyer today is therefore buying into a partly complete community whose value case rests on future delivery. That is a position to understand slowly and on its own terms, weighing what stands against what is promised, which is the whole point of starting with the place.