About the project

Industrial heritage, economic potential and future opportunities for Miskolc

The Diósgyőr Steelworks, known locally as DAM, is more than a former industrial site. It is one of Miskolc’s most significant historical, industrial and economic locations, around which neighbourhoods, jobs, communities and a strong sense of local identity developed over decades. The area’s industrial heritage is not only part of the city’s past, but also an asset that could create new opportunities for Miskolc in the future.

The revitalisation of the approximately 130-hectare site is therefore not simply a property development project, but a long-term economic and urban development task for Miskolc. The aim is to gradually reintegrate the former steelworks site into the city’s economic and community life while preserving its industrial heritage and creating opportunities for modern and sustainable uses in the future.

Why is the revitalisation of the DAM area important?

In its current condition, the DAM area represents both a challenge and a significant opportunity for development. Some parts of the site are neglected, while the internal road network and utilities require improvement. The environmental impact resulting from previous industrial activities also calls for further assessment and, where necessary, remedial measures. Miskolc’s industrial parks are practically fully occupied, making it particularly important to prepare additional areas that could accommodate new, high-value-added economic activities in the future.

A revitalisation study completed in 2024 provided a basis for further decisions by comprehensively examining the site’s characteristics, challenges and potential future uses. The study outlines the possibility of developing a modern, mixed-use industrial and urban district. This could include modern industrial and technological activities, services, retail, research and development, cultural, sports, recreational and community functions. These possibilities are currently development options under consideration and do not constitute final decisions on land use or future functions.

The physical condition and legal status of the development area

The current situation of the DAM area is highly complex. The site is fragmented, affected by environmental damage, legally complicated and in need of infrastructure development. At the same time, it is not an unused site: businesses are still operating there, people are working on the premises, and industrial and service activities continue to take place. The DAM area is therefore not a development site without existing functions, but an active urban area with a significant industrial heritage as well as considerable challenges.

The site is held in undivided common ownership, with around 140 owners, including both businesses and private individuals. The land registry currently does not contain site plans defining the areas used by individual co-owners, and the buildings located on the site are not fully recorded in the registry either. There is no written agreement regulating the use of the property; in practice, use of the area is based on arrangements that have developed over time.

While some parts of the site are in a more orderly condition, the area as a whole is significantly neglected and affected by environmental damage, with several buildings in a technically dangerous condition. The internal road network has deteriorated, and a significant amount of waste has accumulated across the site.

As future development is prepared, particular attention must be paid to accurately assessing the environmental condition of the site, implementing the necessary remedial measures, and designing new functions in accordance with the area’s physical characteristics.

The Municipality’s acquisition of ownership

In 2025 and again in 2026, in two phases and with state funding, Miskolc Megyei Jogú Város Önkormányzata acquired ownership interests in the DAM area. As a result, the Municipality currently holds an ownership share corresponding to 56% of the entire site. Based on valuation, the acquired property portfolio has a total value of HUF 7.1 billion.

The acquisition of a majority ownership share represents an important step forward. It enables the city to play a more active role in shaping the future of the area and to advance further planning and development-preparation activities. At the same time, majority ownership alone does not resolve the existing legal, environmental and infrastructure-related challenges, nor does it mean that the entire site has become the exclusive property of the Municipality.

A long-term, multi -phase process

The regeneration of brownfield industrial areas is a complex and long-term task. In the case of the DAM area, future investments require the resolution of ownership issues, a detailed assessment of the site, clarification of its environmental condition, identification of infrastructure development opportunities and the establishment of appropriate financing.

The revitalisation therefore does not mean the immediate transformation of the entire site. The key task in the coming period is to establish orderly, transparent and development-ready conditions for the area. This requires cooperation with co-owners and businesses operating on the site, the identification of potential state, municipal, private-sector and EU funding opportunities, and the continuous assessment of the feasibility of future developments.

The full revitalisation is expected to take place over several phases and over the long term, involving the cooperation of numerous stakeholders. The Municipality’s role is primarily to provide strategic direction and coordination, facilitate the resolution of ownership and legal issues, establish the framework for development and ensure transparency and public access to information.

Preparations for the revitalisation have already begun

The Municipality has commissioned the preparation of a digital base map and a geodetic survey of the entire site. These will provide more accurate information on the boundaries of the area and the location and dimensions of the buildings. At the same time, preparations have begun for an agreement regulating the use of the site, while the technical and cost implications of improvements to the internal road network, vegetation management, site landscaping and the removal of illegally dumped waste are also being assessed.

Security services at the site had previously been discontinued, which contributed to the emergence of illegal waste dumping as well as the unlawful removal of materials and equipment from the area. To address this issue, Miskolc Municipality, as the majority owner, organised security services at the site from 1 April 2026. The security arrangements include securing the perimeter, operating patrol services and using a property protection camera system.

The technical and cost assessment of the renovation of the internal road network, vegetation clearance, site landscaping and the removal of illegally dumped waste has been completed. The related works may begin in autumn 2026 or spring 2027. In view of the environmental condition of the site, reducing environmental impacts is a key priority, including remedial measures and, where necessary, the preparation of an environmental intervention plan.

The current phase of the DAM revitalisation is therefore primarily focused on creating the conditions for future renewal. The objective is to establish an area that builds on its industrial heritage, can contribute to economic activity and is organically integrated into the urban environment, creating new opportunities for Miskolc’s development in the long term.