Long-term Lease Agreement for the Location of the “Orjenski Bataljon” Barracks, Kumbor in the Municipality of Herceg Novi – PORTONOVI – Herceg Novi

The long-term lease agreement for the “Orjenski bataljon” barracks location in Kumbor was signed on July 10, 2012, between the Government of Montenegro and the State Oil Company of the Republic of Azerbaijan – “SOCAR.” The agreement came into effect with the signing of the Protocol on the Handover of the Location on February 8, 2013, after which the project implementation commenced.

The investment program, which is an integral part of the agreement, envisaged a total investment of €258 million over the first eight years of the lease for the construction and development of a tourist complex. This complex includes the construction of the most luxurious hotels and residential units, a marina for superyachts, business and entertainment facilities (spa and wellness center), conference and meeting halls, branded hospitality facilities, a hotel beach, and other accompanying facilities. According to data provided by the investor, more than €835 million has been invested in the “Portonovi” project since the beginning of its implementation.

Through a special contractual arrangement, the new luxury hotel in the “Portonovi” hotel and tourist complex is managed by the world-renowned operator “One & Only” (O&O), marking the first time this operator has managed a hotel in Europe through an agreement with “Azmont Investments.” In addition to the agreement with this hotel operator, “Azmont Investments” also signed a contract with “Henri Chenot.”

Recently, the construction of a marina with a capacity of 238 berths was completed, as well as all construction work on the residential part of the complex. A part of the “Portonovi” resort, which includes the marina and several business centers, welcomed its first visitors in August 2019. Additionally, the Kumbor – Portonovi port has been designated as a nautical tourism port with a border crossing.

In line with the planned activities, the construction of the “One & Only” hotel was completed at the beginning of 2021, and the first and only “One & Only” hotel in Europe officially began operations on May 1, 2021. The hotel features 113 accommodation units and 10 branded villas. The categorization and operating license were issued at the end of April 2021.

In accordance with the long-term lease agreement and to fulfill the obligation of supporting the development of education in Montenegro in the field of tourism, a Memorandum on the Establishment of an International School of Hospitality and Tourism was signed on April 15, 2016, between “Azmont Investments,” the University of Donja Gorica, and the renowned French school Vatel. In September 2016, bachelor and master programs were launched at the mentioned university. As of September 1, 2022, the BOKA International School, which received an IB license from the United Kingdom, began operations within the resort.

According to data provided by the investor, currently, around 500 people are employed in the entire “Portonovi” tourist complex. The number of directly employed personnel in the entire complex is expected to exceed 700 during the tourist season. This number does not include employees in retail shops, which are expected to employ an additional 650-700 people.