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19 December 2025

Kushner Withdraws From Belgrade Project Amid Protests

Serbian president’s threats of legal action and mounting US pressure highlight deepening crises over democracy, corruption, and heritage in Belgrade.

Political turmoil in Serbia has reached a fever pitch following the withdrawal of Jared Kushner, son-in-law of U.S. President Donald Trump, from a high-profile redevelopment project in Belgrade. The abandoned plan to transform the former Yugoslav army’s General Staff building into luxury apartments, a hotel, and a casino has not only exposed deep divisions within Serbian society but also highlighted the country’s ongoing struggles with democracy, corruption, and the rule of law.

The saga began on December 15, 2025, when Kushner’s company, Affinity Partners, announced it was pulling out of the Belgrade project. The decision came after months of mounting protests, accusations of corruption, and a criminal indictment against Serbia’s Minister of Culture, Nikola Selakovic, and three other officials. The officials were charged with unlawfully stripping the General Staff building of its protected cultural heritage status, a move that had paved the way for the controversial redevelopment.

“Because meaningful projects should unite rather than divide, and out of respect for the people of Serbia and the City of Belgrade, we are withdrawing our application and stepping aside at this time,” a spokesperson for Affinity Partners told the press, as reported by DW.

For many Serbians, the General Staff building is more than just real estate. Badly damaged during the NATO airstrikes of 1999, it stands as a monument to Yugoslav modernist architecture and a symbol of national memory. The government’s decision to offer Kushner a 99-year lease on the site, coupled with suspicions of backroom deals, sparked huge demonstrations. Students, opposition parties, and civil society groups took to the streets, determined to protect what they saw as a vital piece of their heritage.

The protests were not an isolated event. Since November 2024, Serbia has been rocked by waves of public unrest, beginning with the collapse of a newly renovated railway station canopy in Novi Sad that killed 16 people. The tragedy ignited outrage over government negligence and corruption, fueling broader demands for political change. Students led the charge, blockading universities and preparing their own slate of candidates for upcoming elections. According to DW, opinion polls suggest their list could pose a real threat to President Aleksandar Vucic’s ruling Serbian Progressive Party (SNS).

Vucic, who has ruled Serbia with what many describe as an iron grip for 13 years, responded to Kushner’s withdrawal with characteristic defiance. He announced he would personally file criminal charges against “all those who participated in the witch hunt and the destruction of the investment,” specifically naming public prosecutors, police, opposition members, and protesters as targets. “We will now be left with a destroyed building, and it is only a matter of time before bricks and other parts start falling off it, because no one will ever touch it again,” Vucic lamented to journalists, as cited by Nova.rs.

Legal experts, however, were quick to question the legitimacy of Vucic’s threats. Retired prosecutor Jasmina Paunović told Danas that a criminal complaint “must contain the name and surname of the person against whom it is filed, as well as a description of the factual situation that must be envisaged as a criminal offense.” She added, “A mere complaint is not enough to act on it. It must also indicate the damage that was caused, to whom it was caused, and whether anyone benefited.” Paunović argued that Vucic’s statements appeared more as attempts to intimidate critics than as genuine legal actions, especially since the president had previously pressured prosecutors and police in the General Staff building case.

Opposition figures were undeterred. MP Aleksandar Jovanović Ćuta openly admitted to leading efforts to block the project, stating, “It is true that from the very beginning I was destroying that project, preventing it and doing everything to prevent it from happening. I am to blame.” He challenged Vucic to take him to court, adding, “Every criminal complaint he makes is an honor for me, I just ask him not to think of pardoning me, because the one he pardons is not going to have good things happen to him.”

Green Left Front MP Robert Kozma echoed the sentiment, emphasizing his party’s role in defending the General Staff building and Serbia’s cultural heritage. “If the president wants to initiate criminal proceedings, let him do so. We from the Green-Left Front will not invoke parliamentary immunity,” Kozma declared. He highlighted the party’s efforts to challenge the government’s actions in the Constitutional Court and to collaborate with heritage organizations and architectural experts.

The controversy over the General Staff building is just one facet of a broader crisis in Serbian democracy. On December 11, 2025, the U.S. House of Representatives passed the Western Balkans Democracy and Prosperity Act as part of the National Defense Authorization Act (NDAA) for 2026, with 312 votes in favor and 112 against. The law, now awaiting Senate confirmation and President Trump’s signature, establishes binding obligations for the U.S. State Department and Pentagon regarding the Western Balkans. It singles out Serbia for “unfair conditions” during the December 2023 parliamentary and local elections, citing OSCE reports of procedural deficiencies and official accusations against peaceful protesters and the opposition.

The act also highlights corruption among key political leaders in the region as a major obstacle to development. It mandates the U.S. president to impose sanctions within 90 days of enactment against individuals involved in corruption or actions threatening peace and democracy in the Western Balkans. Sanctions may include property blocking and visa revocations. Additionally, the U.S. Secretary of State is required to develop an Anti-Corruption Initiative to strengthen judicial and election oversight bodies through technical assistance and training.

Meanwhile, Serbia’s foreign relations have grown increasingly fraught. U.S. sanctions targeting the Serbian oil and gas giant NIS, majority-owned by Russia’s Gazprom, have already led to the closure of the country’s only refinery in Pancevo. Political scientist Milan Krstic told DW, “Instead of a renaissance of relations with the US, we’re seeing the opposite.” He argued that the government’s focus on the Kushner deal was part of a broader attempt to curry favor with Washington and balance its ties with the EU, Russia, and China—an effort that appears to have backfired.

For many Serbians, Kushner’s withdrawal and the government’s aggressive response have become rallying points in a larger fight over the country’s future. Students at the Belgrade School of Electrical Engineering summed up the public mood on social media: “A new investor will come. But he too will know what awaits him if he tries to destroy our cultural heritage. The Serbian public was united, strong, and determined to defend the General Staff—even when it seemed impossible.”

As the dust settles, Serbia stands at a crossroads. The clash over the General Staff building has laid bare the tensions between progress and preservation, democracy and autocracy, and east and west. Whether the country can find a path forward that honors its past while embracing a more transparent and democratic future remains to be seen.