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What Does the New Package of Construction, Spatial Planning and Energy Efficiency Laws Mean in Practice?

As of 1 January 2026, a new package of three laws has entered into force in Croatia – the Spatial Planning Act, the Construction Act, and the Energy Efficiency in Buildings Act. In public discourse, they are often referred to as the “Bačić laws.” This represents one of the largest reforms of the planning and construction system in the past twenty years.

The aim of the legislation is to modernize public administration, accelerate procedures, increase transparency, and ensure long-term sustainable spatial development. However, these changes have very concrete implications for citizens, investors, and local communities – especially on islands and in tourist areas such as Korčula, where spatial constraints are particularly sensitive.

Below, we explain what is actually changing and how this is reflected in practice.

Digitalisation of Spatial Planning and Permits

From 2026 onward, all spatial plans must be prepared within the unified digital system ePlanovi and linked to the eDozvola platform. This means that data on land use, building conditions, and restrictions will be available online, standardized, and easy to review.

In practice, this brings greater certainty for land buyers and investors. For example, when purchasing a plot on Korčula or in the surrounding area, information on whether a villa, apartment building, or only an auxiliary structure can be built will be easier to verify and less open to misinterpretation.

Building Permits Within 30 Days

The law provides that the issuance of a building permit should not take longer than 30 days from the submission of a complete application. This is particularly important for private investors and families planning to build a home, as such projects account for the majority of applications.

If this deadline is achieved in practice, investors will be able to plan financing, construction timelines, and market entry more accurately, which is especially important for seasonal tourism projects.

Reintroduction of Urban Land Consolidation

The legal instrument of urban land consolidation is being reintroduced, allowing multiple small or irregular plots to be merged into more functional building parcels. Ownership is not taken away – rather, the shape and position of parcels are adjusted to enable better spatial organization.

In tourist zones and older settlements, this may enable the development of areas that have previously been blocked due to fragmented ownership and unresolved infrastructure issues.

All Spatial Plans Become Digital and Standardized

All spatial plans – national, county, and local – must be prepared digitally under the same standard. This reduces differences between municipalities but also limits the scope for local customization.

For investors, this means greater predictability, but also the need for precise interpretation of plans prior to purchasing land.

Three-Year Deadline for Urban Development Plans

Cities and municipalities have a three-year deadline to adopt urban development plans for areas that have been designated as building zones but are not yet regulated. If a plan is not adopted within this period, construction may be permitted under certain conditions and with state involvement.

This may accelerate development, but it may also raise concerns about control over spatial development, particularly in sensitive environments such as smaller island municipalities.

Limiting the Expansion of Building Zones Without Infrastructure

The law restricts the expansion of construction zones in areas where basic infrastructure does not exist. This encourages more efficient use of existing zones and more sustainable spatial development.

Why the Laws Are Considered Controversial

Some experts warn that these laws reduce the autonomy of local authorities, as the state imposes mandatory digital standards and prescribed content for spatial plans. The role of detailed urban plans is also weakened, since construction may be allowed even without them if the area is sufficiently defined by higher-level plans.

Criticism mainly concerns the balance between speeding up investment and preserving spatial quality.

What This Means for Citizens and Investors

The new laws bring:

  • greater transparency,
  • faster procedures,
  • digital accessibility of data,
  • but also greater responsibility when planning investments.

Especially when purchasing land or building a house, villa, or tourist facility, thorough due diligence of documentation becomes essential.

At Elise Services, we help clients navigate this new legislative framework safely, knowledgeably, and with a long-term sustainable perspective.

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