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The Serbian parliament has approved legislation that clears the path for a disputed development initiative led by former President Trump's family member Jared Kushner in the capital.

Kushner's company Affinity Partners has planned to construct a high-end hotel and housing complex on the site of the former Yugoslav Army central command.

The damaged building, which was targeted by Nato troops in 1999 during its operation to stop the Serbian armed forces operation in Kosovo, holds significant meaning to some who consider it as a reminder and emblem of ongoing resistance to the military alliance.

Serbia's President Aleksandar Vucic, who has pursued close connections with the former president, has supported the plans notwithstanding protests and judicial disputes.

In the past year, the Serbian administration removed the property of its heritage designation and authorized a extended lease with the developer's company, which had presented blueprints for a $500m construction.

The decision triggered demonstrations and initiated an investigation into whether a Serbian government representative had manipulated documentation used throughout the process to alter the building's designation.

In a interview recently, Head of State Aleksandar Vucic supported the plan, remarking "it's crucial to overcome the legacy from 1999".

He elaborated: "We are ready to develop improved relations with the America – I think that is exceptionally important for this nation."

The stalled approval process reached a climax last week when the president's party – which has a majority in parliament – pushed ahead with a special decision on developing the location and prevailed.

Opposition lawmakers have called the outcome against the constitution, among them Aleksandar Jovanovic, who termed it as a "offense", and stated the landmark would be exchanged with "casinos and hot tubs".

At the same time, centre-left MP Marinika Tepic stated the government was jeopardizing the country's history "to appease the former president".

The passage of the bill has also been challenged by architectural experts, and comes after an anti-corruption group, an anti-corruption institution, voiced concerns about publicly-endorsed projects.

Based on local media coverage prior to his initial election run, Trump earlier considered constructing a hotel in Belgrade.

Earlier this year, the developer stated journalists he was uninformed of his family member's alleged previous consideration.

The resolution to pave the path for the development comes as Vucic's cabinet seeks to maintain good relations with the two the United States and Moscow.

The nation has been impacted by each of Trump's trade measures and penalties on Russian investments in the state, encompassing on its only fuel processing plant, the primarily Russian Federation-held Nafna Industrika Srbije (NIS).