Budapest's efforts to acquire the Rákosrendező site have sparked considerable debate following contradictory statements from various officials.

The site, previously earmarked for purchase by the Eagle Hills Zrt., a company backed by Dubai investors, has been at the center of political discourse since December 2023 when the Hungarian Ministry of Economic Development announced the intended sale.

On January 20, 2024, Budapest Mayor Gergely Karácsony claimed during a press conference that the city-owned Budapesti Közművek (BKM) holds a right of first refusal on the territory, a position that has since been contested by government representatives and Fidesz party officials.

Disagreement arose over the validity of BKM's purchasing rights and the necessity for substantial investment commitments amounting to 5 trillion HUF (approximately $13 billion) to exercise this right.

In a surprising shift on February 6, following initial reservations, government officials, including Gergely Gulyás and Lázár János, publicly acknowledged BKM’s right to purchase the site.

Shortly thereafter, an official decree signed by Prime Minister Viktor Orbán authorized BKM to proceed with the acquisition.

Despite the political approval for the purchase, significant financial questions remain regarding the 50 billion HUF (approximately $136 million) price tag.

Since 2020, BKM has grappled with persistent budget constraints attributed in part to governmental funding cuts, leading to the suspension of various urban projects.

The uncertainty surrounding financing raises concerns among stakeholders.

Szentkirályi Alexandra, leader of the Fidesz party’s Budapest faction, expressed skepticism about the city’s financial capability, stating, "If 50 billion HUF can be paid for a waste facility, then there should be funds available for other projects as well." Meanwhile, Baranyi Krisztina, opposition mayor of Ferencváros, underscored the challenges facing the acquisition, saying, "The lesser issue is whether Budapest has enough money to acquire the site; a far more serious concern is meeting development requirements for housing."

Karácsony maintained an optimistic tone throughout, indicating that an unexpected one-off income and the financial resources from the assets transferred to MOHU (the Municipal Waste Management Company) would facilitate the purchase.

Vitézy Dávid, an influential figure in the Budapest municipal movement, confirmed that funds for the acquisition stem from revenue linked to a waste concession, specifically citing a 33 billion HUF amount derived from a waste-to-energy plant's transfer.

Yet, MOHU later clarified that none of these funds would apply to directly purchasing the Rákosrendező site.

Instead, they reported that 39 billion HUF had been allocated to BKM for partial ownership of MOHU, with restrictions on how this sum can be utilized.

Consequently, as confirmed by both BKM and MOHU, BKM could potentially fund the first 12.7 billion HUF installment of the purchase but would still face a considerable shortfall to cover the second 17.8 billion HUF installment.

Examining the payment timeline, BKM is required to remit 12.7 billion HUF within ten working days of the contract's initiation, pending any other eligible party's waiver of their purchasing rights.

Subsequent payments are contingent on various contractual stipulations, including changes to construction regulations and the designation of the project as nationally significant by the government.

The third installment of 20.4 billion HUF will be due when the state fulfills a commitment of 800 million USD (310 billion HUF) in infrastructural investments.

Although it remains indeterminate when this will occur, it hinges heavily on negotiations between the city’s officials and Lázár regarding future necessary developments.

In addition to the financial complexities of the sale, there are apprehensions concerning the site’s current state, reported to be contaminated with industrial debris and potentially dangerous unexploded ordnance from World War II. Previous cleanup projects in similar locations have resulted in costs running into billions of HUF, with current estimates implying extensive financial liabilities before any development can commence.

The consensus among analysts is that successful acquisition and cleanup of Rákosrendező will depend significantly on governmental support, particularly from the Ministry of Transport and Government Relations.

As negotiations continue, the responses and actions of the involved authorities remain crucial to the project's future.