Hungarian government to re-tender Buda Castle reconstruction

Budavári Palota public procurement National Hauszmann Program ZÁÉV Építőipari Zrt. Hungarian government

The Hungarian Ministry of Transport and Construction (KBM) has announced it will halt the reconstruction of the Budavári Palota (Buda Castle) 'A' wing and issue a new public procurement tender for the project. As part of a broader review of the National Hauszmann Program and the Buda Castle District renewal, the ministry is examining ongoing developments, contracts, and construction structures.

The current contractor, ZÁÉV Építőipari Zrt.—a company linked to Lőrinc Mészáros—has been given a two-week deadline to withdraw from the site. The ministry clarified that the halt is not a decision by the current administration to stop the project, but rather a consequence of contracts signed by the previous government that failed to secure necessary funding. This lack of coverage led the contractor to file a notice of impediment last year.

The review process is scheduled to be completed by September 30. The new procurement process will be conducted under a new institutional model currently awaiting parliamentary approval.