Tirana, Albania — A planned luxury resort backed by Jared Kushner, former White House adviser and son-in-law of Donald Trump, has sparked protests in Albania, drawing scrutiny from British investors concerned about the project's ethics and local impact. The $1.4bn development on the pristine Zvërnec island, near the southern city of Vlora, promises a 200-room hotel, private villas, and a marina for superyachts, but critics say it threatens protected wetlands and small fishing communities.
Hundreds of Albanians have marched in Vlora and Tirana, waving signs reading “Save our coast” and “Not for sale”. The protests have been met with a heavy police presence, with tear gas used to disperse a crowd outside parliament last week. The government of Prime Minister Edi Rama has defended the project, arguing it will create 10,000 jobs and boost tourism, a vital industry for Albania, one of Europe's poorest countries. But opponents say the deal was hammered out in secret and favours foreign elites.
For British investors, the row raises awkward questions. Several UK-based private equity firms and pension funds are reportedly considering backing the resort, lured by Albania’s low tax rates and growing tourist numbers. But voices in the City of London are now urging caution. “We have to think about reputational risk,” said Sarah Jenkins, our economy and labour reporter, of the Manchester-based think tank Fair Finance. “Investors need to ask: who really benefits? Is this about boosting a local economy, or just enriching a handful of powerful people?”
The resort is the latest in a series of controversial investments by Kushner, who has been accused of mixing business with his political connections. His firm, Affinity Partners, has raised billions from Saudi Arabia’s sovereign wealth fund, including a $2bn commitment that critics say was influenced by his father-in-law’s ties to the kingdom. Kushner has denied any impropriety. In Albania, he has partnered with local billionaire and former footballer Tirana construction magnate, who sits on the board of the Albanian Football Association.
The project has been fast-tracked by the Albanian government, bypassing some environmental assessments. The International Union for Conservation of Nature has warned that the development could damage the Zvërnec lagoon, a haven for migratory birds. Local fishermen say they have been offered minimal compensation for losing their livelihoods. “They come with suits and numbers, but these are our waters, our homes,” said Klodian Mezini, a fisherman from the nearby village of Narta.
For UK investors, the Albanian protests mirror a wider debate about the ethics of luxury tourism in developing countries. Similar projects in Mozambique, Cambodia, and the Maldives have drawn fire for displacing communities and wrecking fragile ecosystems. Yet the allure remains strong: Albania’s coastline is still relatively unspoiled, and tourism revenues have doubled in a decade. “There is a growing appetite for ‘last frontier’ investments,” said a London-based analyst who asked not to be named. “But the red flags are becoming too big to ignore.”
The British government has so far avoided taking a stance, but Labour MPs have tabled questions about whether UK taxpayers’ money might indirectly support the resort through export credit guarantees. The Treasury declined to comment, but one source said the issue was “on our radar”.
Back in Vlora, the protests show no sign of fading. Organisers are planning a week-long blockade of the main road to the airport, hoping to stoke international media pressure. “We are not anti-development, we are anti-corruption,” said Rezarta Lico, a local activist. “If investors really care about Albanians, they should come and talk to us.”
For British investors, the message is clear: the price of entry may be higher than the balance sheet suggests.
