BIG Shopping Centers, an Israeli-backed company, has revealed plans to invest approximately €140 million in Montenegro over the next three years. This investment aims to enhance its existing retail complex in Podgorica and establish a new shopping park in Nikšić, reflecting a growing trend of foreign investment in organized retail within the region.
This new financial commitment will bring BIG’s total investment in Montenegro to around €300 million, following an earlier investment of about €160 million.
According to Chairman Eitan Bar Zev, construction for the proposed Nikšić retail park is expected to commence in March 2027, with a targeted opening date set for spring 2028. However, this project remains contingent upon obtaining environmental approvals and necessary construction permits.
In addition to the Nikšić project, BIG is also planning to expand its BIG Fashion complex in Podgorica, which may welcome additional international retailers. Among the potential new entrants are brands such as Massimo Dutti, Zara Home, and various retailers from Poland’s LPP group.
This investment is poised to reinforce Podgorica’s status as Montenegro’s primary organized retail hub while facilitating modern shopping center development in Nikšić, the nation’s second-largest city. The initiative could generate significant employment opportunities in sectors such as retail, logistics, maintenance, and hospitality.
The significance of this investment is underscored by Montenegro’s current foreign capital inflows, which predominantly focus on residential properties and tourism-related real estate. A large-scale commercial retail initiative diversifies this landscape by channeling capital into income-generating assets rather than primarily residential property purchases.
Furthermore, BIG is exploring additional retail prospects along Montenegro’s coast and potential hotel investments. This suggests that the current €140 million programme may be part of a broader strategy for further expansion.
The company’s ongoing growth reflects confidence in the long-term potential for domestic consumption despite existing inflationary challenges and uncertainties regarding proposed labor-cost reforms.
The organized retail sector in Montenegro continues to evolve, shifting from fragmented local shops towards larger shopping centers and retail parks that can attract international tenants. Nikšić presents a particularly appealing opportunity as it currently lacks modern retail formats compared to Podgorica and coastal areas.
The economic viability of the project will depend on various factors including purchasing power, tenant demand, construction costs, and the timely acquisition of necessary permits.
If fully realized, the €140 million investment would position BIG Shopping Centers among the prominent foreign investors in Montenegro’s commercial property sector, with total investments nearing €300 million. This expansion would also contribute to diversifying the country’s foreign direct investment base at a time when policymakers are advocating for increased capital directed towards operational businesses and commercial infrastructure rather than solely property transactions.
