Hungarian government revokes priority investment status for 16 development projects

The Hungarian government has revoked the "priority investment" status of 16 different projects following a formal review of previous designations. According to a decree published in the Magyar Közlöny on Thursday, November 12, the decision affects various developments across Budapest and several other regions of the country.

The list of projects losing their priority status includes several major developments in the capital, such as the Gubacsi residential park, Avico Park, and projects located at Újbuda Center and Temesvár street. Other Budapest-based sites affected by the decision include the Árasztó-parti and Zugló Egyenes street projects, the Góliát Hotel, Beluga Bay, and the renovation of the Sofitel hotel.

Outside of the capital, the revocation impacts an electrolyte plant near Szolnok, a battery recycling plant in Alsózsolca, a logistics development on the border of Érd and Budafok, and the Üllő shooting center. Regarding the Szolnok project, Hungarian media reported in late September 2026 that KunlunChem Hungary Kft. had already announced its withdrawal from the planned electrolyte plant development.

Reasons for the revocation

Officials stated that the decision to strip these projects of their priority status was driven by several factors. These include a lack of compliance with local or national regulations, public opposition, a lack of cooperation with municipalities, and insufficient infrastructure to support the developments.

Parliamentary State Secretary of the Ministry of Transport and Investments, Zsolt Tárkányi, noted that the goal is to ensure that private investments do not automatically override local rules and the interests of residents. He added that the government intends to support market players that provide social benefits.

This move follows a previous round of revocations on September 2, 2026, when nine projects lost their priority status. Those earlier projects included developments in Törökbálna, the former Láng factory in Budapest District XIII, Club Aliga in Balatonvilágos, and the Tihany Castle Hotel. Other previously revoked projects included the Sukoró Youth Center, the National Tennis Competition Center on Margaret Island, developments in Budapest District XXIII, the Pázmány Campus, and the National Circus Arts Center.

Impact on ongoing construction

The removal of priority status does not mean that construction is automatically banned or that existing building permits are invalidated. However, the regulatory landscape for these projects has changed. Projects that do not yet have permits must now comply with local building regulations, even if they maintain their "rust belt" designation.

In addition to these 16 projects, the government is conducting a separate review of 33 residential projects that were previously designated under the Otthon Start program. This review is being carried out in coordination with local governments and developers.

Glossary

• Magyar Közlöny — Magyar Közlöny is the official journal of Hungary. It is used for the publication of decrees and implementing regulations.
• Alsózsolca — Alsózsolca is a location in Hungary. It is the site of a battery recycling plant.