The municipality of Kozármisleny plans to sell, through an open bidding process, five properties totaling 35,866 square meters, on which a new retail and service park could be developed. The minimum purchase price for the properties is 430.1 million forints. The city is not simply looking for a buyer for the site: in the selection process, the investor’s professional and financial qualifications, development concept, planned tenant mix, timeline, and guarantees will also be evaluated.
On September 29, 2026, the City Council of Kozármisleny approved the call for open bids regarding the sale of the land designated for the planned Retail Park. With this decision, the development has entered a new, market-driven phase: the next question is whether an investor proposal will be submitted that meets the city’s financial, technical, and urban development requirements all at once.
However, this decision does not yet mean that an investor has been selected, nor does it imply that construction will begin. The next steps are to sell the land suitable for development and select the appropriate investor.
The application was preceded by several years of preparation
The idea for the new retail and service center first appeared in the city’s development plans as early as 2024. The city government’s goal was to expand the range of locally available shops and services, reduce the need to travel to Pécs for shopping, and create new jobs and, in the long term, higher local tax revenues.
The initiative also received market validation in 2025: according to information from the municipality, several business entities indicated that they would be interested in a so-called “stop shop”-type development if a suitable site were available. That same year, the local building code was amended, and the planned use of the designated area was clarified.
Preparations continued in 2026. The municipality purchased additional property, initiated the process of removing the land from agricultural use, and on May 26, work began on drafting the open bidding process.
In the first phase, they are proposing a park covering 4,000 to 6,000 square meters
The commercial feasibility and market validation study, completed by the end of June, examined the region’s demographic, transportation, consumer, and commercial conditions, as well as the risks associated with the development.
According to the study, excluding Pécs, approximately 16,000 people live within the project’s primary catchment area, while the broader catchment area comprises approximately 22,000 people. The analysis therefore recommended a phased development rather than a large-scale shopping center built in a single phase. For the first phase, it identified the development of a 4,000–6,000-square-meter retail park as a solution aligned with local demand and investment risks.
This size may already allow for the inclusion of several retail or service units, while the developer can tailor future expansion to actual foot traffic and tenant interest.
Two independent appraisals were conducted
The sale involves five municipal properties totaling 35,866 square meters, or approximately 3.6 hectares. Two separate expert appraisals were conducted to determine the expected value of the properties.
The first appraisal set the market value—once the conditions necessary for development have been met—at 409.4 million forints. The second appraisal, prepared by a judicial real estate appraiser, determined the value to be 430.1 million forints. The municipality chose the higher value as the minimum purchase price for the tender, so bids must start at no less than 430,100,000 forints.
The highest purchase price alone will not be enough
One of the most important aspects of the tender is that the municipality does not treat the matter as a simple land sale. In addition to the purchase price, they intend to evaluate:
- the applicant’s previous investment references;
- financial eligibility;
- the scope of the planned development;
- the range of products and services to be offered;
- the planned tenant mix;
- the project schedule;
- the legal and financial guarantees provided to ensure performance.
In addition to development milestones, the preparatory documents also specify a bank guarantee, a penalty applicable in the event of a delay, and restrictions on resale. These measures are intended to ensure that the property does not merely change hands, but that the commercial and service-oriented development expected by the city is actually completed by the agreed-upon deadlines.
The cost of public utility improvements was also examined
During the decision-making process, special attention was given to the area’s water, wastewater, and stormwater infrastructure. The cost estimates prepared by the designers of the utility plans, which were being developed in parallel, were presented to decision-makers on September 21.
This is a key part of the project’s preparatory phase, as the development of the necessary utility infrastructure, proper stormwater drainage, and access to the site can significantly affect the actual cost and schedule of the project.
The development could result in new services and jobs
A successfully developed Retail Park could expand Kozármisleny’s range of retail and service offerings, retain a larger portion of local consumer spending, and create new job opportunities. The arrival of stores and service providers could also have a positive impact on the municipality’s local tax revenue.
At the same time, the investment may also affect regional commercial competition. It is therefore particularly important to evaluate the development and tenant concepts: the project’s local benefits are determined not only by the size of the building, but also by the types of services it will offer—services that are currently lacking or only available to a limited extent.
Whether we proceed depends on the market’s response
The announcement of the call for proposals has, for now, created an opportunity for the investment, but several key questions remain unanswered. The identity of the future investor, the group of tenants, the start and completion dates of construction, and the number of phases in which the entire development will ultimately be carried out are all unknown.
The next key milestone will be the receipt and evaluation of bids. It will become clear at that point whether market participants are willing to accept the purchase price, development obligations, and guarantees set by the municipality. For Kozármisleny, therefore, the tender represents both an opportunity to sell real estate and a long-term economic development decision.
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