UDI Group to build €112 million multifunctional residential and hotel complex in Budapest

Czech developer UDI Group is set to expand its European footprint with the construction of the €112 million Parkside project in Budapest, Hungary. Scheduled to break ground early in the new year, the development will feature 324 apartments and the Staybridge Suites hotel, offering medium- to long-term accommodation under the international IHG brand.

Hungary marks the fifth market for UDI Group, which has already established projects across Europe and beyond. In addition to developments in the Czech Republic, Poland, and Serbia, the company recently launched construction on a high-rise residential tower in Panama and is preparing projects in Costa Rica. “Hungary is a promising market. Over the past year, new apartment prices here have grown the fastest in Europe, creating an excellent opportunity for us,” said Marcela Fialková, UDI Group’s Strategy Director.

The Parkside project, located on a former industrial brownfield site near Budapest’s iconic Váci Street and the Danube, underwent a significant redesign to adapt to shifting market demands. Originally planned as an office building, the project was reimagined as a residential and hotel complex in response to post-Covid trends favoring housing over office spaces. A similar transformation is being considered for the neighboring LaViza project, also owned by UDI Group.

The development site, once home to a printing house, now sits in a revitalized district that has become one of Budapest’s most desirable addresses. “This area has undergone a remarkable transformation and is now highly sought after,” said Szilvia Vida, UDI Group’s Director for Hungary.

Parkside will offer a mix of large and smaller apartments, complemented by more than 350 parking spaces and 1,600 square meters of retail space on the ground floor. The project emphasizes sustainability, with energy-efficient features such as ceiling radiant heating and cooling powered by heat pumps, outdoor blinds, and smart home readiness.

The Staybridge Suites hotel, operated by the Baltic-based Mogotel hotel group under the IHG banner, will feature 152 rooms with kitchenettes to cater to medium- and long-term stays.

With the project’s building permit secured, UDI Group has appointed Bernecker Zrt as the general contractor. The Hungarian firm, known for its experience in large residential developments, was selected for its competitive pricing, strong references, and speed of construction. Work is set to begin immediately after the new year.

UDI Group is currently managing 21 projects across six countries on two continents, with anticipated revenues of €2.5 billion. The Budapest development adds to its growing portfolio of innovative, sustainable projects, solidifying its reputation as a key player in the international real estate market.