Mohamed Alabbar, the founder of Eagle Hills and a notable figure in global real estate investment, has announced that the Eco Village Šas project in Montenegro is progressing from the design phase to implementation. Preparatory actions are already in motion as the project moves toward execution.
The Eco Village Šas, located near Ulcinj, has completed its design phase and is now awaiting final permits and planning approvals to commence construction. Alabbar indicated that the transition from design to construction typically takes around one year, provided there are no regulatory delays.
This timeline suggests that initial construction could begin between 2026 and 2027, coinciding with investment cycles seen in major coastal tourism projects across the Adriatic region. The development is envisioned as a high-end eco-tourism destination featuring sustainable accommodations, wellness facilities, and recreational amenities integrated with nature.
Alabbar views Montenegro as an attractive investment location, citing its combination of natural beauty and underdeveloped infrastructure as key factors. He describes the country as a “safe place for investment” with significant potential for premium tourism offerings amidst a limited supply of high-quality accommodations.
Montenegro’s economic landscape is characterized by a low-tax environment and prospects for convergence as it moves towards EU accession. However, Alabbar noted that infrastructure gaps, particularly in transport such as ports and roads, pose challenges for large-scale developments. This creates a dependency on public sector investments to support private development efforts.
Financial discipline is central to Alabbar’s strategy, with a focus on low leverage. Eagle Hills expects to distribute $2.4 billion in dividends in 2026, highlighting its strong liquidity and long-term financial planning. This approach suggests that projects will be financed primarily through equity rather than debt, aligning development phases with cash flow to mitigate risks associated with over-leverage.
The strategic choice of Ulcinj for development is notable due to its status as one of the last significant undeveloped coastal areas in the Adriatic. Previous proposals linked to Alabbar’s investments have included large resort complexes and mixed-use tourism zones, indicating substantial potential for growth in this region.
Investments of this scale are likely to have widespread economic implications, generating considerable capital expenditure during construction and creating long-term employment opportunities in hospitality and related sectors. Such developments are also expected to foster demand for local suppliers and services while extending Montenegro’s tourism season beyond the summer months.
Despite these positive indicators, execution risks remain due to environmental concerns surrounding coastal projects. Issues related to urban planning transparency and community alignment have surfaced in previous discussions about potential developments in Ulcinj. These factors underscore the importance of obtaining regulatory approval and maintaining social license to operate.
Alabbar’s commitment to advancing the Eco Village Šas project signals Montenegro’s competitive position within global capital flows amid geopolitical uncertainties. Investors are increasingly focused on political stability, long-term tourism demand, and available land for development. Montenegro’s ability to attract significant developers like Eagle Hills reflects its ongoing appeal within the luxury and eco-tourism sectors.
As preparations for the Eco Village Šas project continue, the emphasis on addressing infrastructure needs will be crucial for realizing its full potential. The shift from planning to execution represents a critical moment for both Eagle Hills and Montenegro as they work towards transforming investor interest into tangible economic outcomes.
