1. PROJECT TITLE

CONVERSION OF THE OLD HEALTH HOME COMPLEX INTO A NURSING HOME (VIŠEGRAD)

2. SECTOR

Social protection / Health and elderly care

3. LOCATION

Old Health Center Complex, Višegrad
Address: Ive Andrića bb, 73240 Višegrad, Republika Srpska, Bosnia and Herzegovina

4. BRIEF PROJECT DESCRIPTION

The project involves the conversion and adaptation of the complex of the former (old) Health Center in Višegrad into a modern nursing home (a long-term care facility, nursing and accommodation for the elderly). There is a conceptual design for a nursing home project, 100% state-owned (possible transfer of rights by agreement). The project allows for faster implementation compared to building from scratch, with a focus on social protection and responding to the growing need for facilities for the elderly in the region.

5. PROJECT DETAILS

5.1. WHAT TYPE OF PROJECT IT IS?

Brownfield – a project for the reconstruction, adaptation and conversion of existing facilities (former Health Center, inactive since 2010) on already developed construction land with complete infrastructure. It is not a greenfield investment, but the use of an existing structure (brownfield) with the aim of revitalization and new purpose (nursing home). There is no share in the ownership of the existing company – 100% state-owned (Municipality of Višegrad / Republika Srpska), with the possibility of transferring the right of use/ownership according to the agreement (sale, long-term lease, concession or public-private partnership).

5.2. PROJECT STATUS

The project is currently at the business idea level with a completed conceptual design. There is a conceptual design for the Home for the Elderly project (listed in the RARS database). The facilities have a valid building permit and a use permit (from the period of use as a Health Center). The location is registered in the cadastre (real estate list no. 212). No detailed feasibility study, main project, economic analysis or tender documentation has been completed – the project is in the preparation phase to attract investors/partners. Implementation has not begun (renovation or construction), the location is still vacant and advertised for investment.

5.3. REASON TO INVEST IN PROJECT

The investment offers commercial interest through stable and growing income from private/state payments for accommodation and care of the elderly (monthly user fees, subsidies from the RS Social Protection Fund, pension insurance). Motivating factors and advantages:

  • Demographic trend – aging population in RS and the region (Eastern Herzegovina/Podrinje), high demand for nursing home capacities (waiting lists in existing institutions, insufficient private capacities).
  • Location and infrastructure – fully equipped (electricity, water, sewage, parking), reduces initial costs. The proximity of the new Health Center (100 m) allows for quick medical support and cooperation.
  • Tourist/emotional potential – a quiet area with greenery, a view of Andrićgrad and the old bridge on the Drina – attracts users from urban areas looking for a quality life in a natural environment.
  • Low competition – there are no significant private or large state-owned homes for the elderly in Višegrad and its immediate surroundings (there is only a Public Institution Home for the Disabled, for various purposes).
  • Faster implementation – existing facilities (1,100 m²) + conceptual design allow for start of operations in 12–24 months after approval, with lower risk than new construction.
  • Local government support – state ownership + advertising facilitate the process (possible subsidies, tax breaks for social projects, PPP models).
  • Additional income – possibility of combining with day care, rehabilitation, health tourism or short-term accommodation services.

Overall, the project combines social impact with a solid return on investment in a sector with long-term demand and low competition.

6. PROJECT FINANCING

6.1. ESTIMATED PROJECT VALUE IN EURO

The estimated value of the project has not been carried out in the indicative time (reconstruction, adaptation, equipment and commissioning of the nursing home). The estimate can only be based on standard costs for brownfield projects of a similar type in the Republika Srpska/region (2025–2026), mainly including:

  • Reconstruction and adaptation of the existing 1,100 m² (including insulation, accessibility, fire protection, rehabilitation of installations)
  • Equipment (furniture, medical equipment, kitchen, elevator if necessary, etc.)
  • Additional costs (design, permits, supervision, initial marketing/licenses)

The exact value depends on a detailed feasibility study, capacity and scope of works.

6.2. PLANNED SOURCES OF FINANCING

  • Fully private financing by investors (the most common model for private nursing homes).
  • Public-private partnership (PPP) – concession or long-term lease with the Municipality of Višegrad/RS (100% state ownership, possibility of subsidies or guarantees).
  • Combination: private capital + grants/loans from social protection funds (e.g. RS Social Protection Fund, EU funds for population aging, IPA/CB cross-border programs with Serbia, donor projects).
  • Possibility of bank lending (investment loans for social projects with lower interest rates).

6.3. INPUTS BY LOCAL PARTNER

  • Transfer of use/ownership rights or long-term lease on favorable terms (as agreed).
  • Support in procedures (change of purpose, issuance of permits for social activities, coordination with republican authorities).
  • Possible exemption/discounts from local taxes and fees for investments in social protection.
  • Promotion of the project through local channels.
  • Potential cooperation with the new Health Center for medical support.
  • In some PPP models: equity participation or guarantee of a minimum number of users from the public sector.

6.4. INPUTS BY INVESTOR

  • Financing the entire reconstruction, adaptation and equipment.
  • Providing operating capital (salaries, costs, etc.).
  • Management and operationalization of the institution (employees, care standards).
  • Investing in marketing and attracting users (from the RS, regions, diaspora).
  • Long-term maintenance and expansion of capacity.
7. HAS PHYSICAL LOCATION FOR PROJECT IMPLEMENTATION BEEN IDENTIFIED
  • Precise location: Old Health Center Complex, Ive Andrića bb, 73240 Višegrad, Republika Srpska.
  • Planning document: Defined in the urban plan of the Municipality of Višegrad (construction land), in accordance with the Spatial Plan of the Republic of Srpska.
  • Property status: 100% state-owned, registered in the cadastre (real estate list no. 212, cadastral number 1318/1 k.o. Višegrad 1). Land adjacent to the building with an area of 4,222 m². Business building with an area of 1,100 m². Possibility of transferring rights by agreement.
  • Level of supporting infrastructure: Complete and ready for use – connections to the electrical network (in all buildings), water, sewage, telephone, heating (separate boiler room), large parking lot in front of the buildings. Access to the M5 highway (100 m).
8. HAVE THE ACTIVITIES ON PROJECT IMPLEMENTATION ALREADY STARTED

No – implementation activities have not started. There is only a conceptual design of the nursing home project (owned by the applicant). The building and use permit are valid (from the period of use as a Health Center until 2010). The location is still advertised as available in the database, feasibility study, tender or implementation. The project is in the phase of attracting investors.

9. PROJECT APPLICANT AND CONTACT INFORMATION

Municipality of Višegrad
Address: Andrićgrad bb, 73240 Višegrad
Phone: +387 (0)58 620 586
E-mail: nacvgd@teol.net
https://opstinavisegrad.com/kategorija/nekretnine-opstine-visegrad/