The Hungarian government has adopted an amendment to the regulation known as the “mall stop,” narrowing its impact compared to the earlier draft. The new decree (274/2025. VIII.18.) will require new owners or tenants of commercial units larger than 400 sqm to obtain a change-of-use permit only if the premises are operated as stores selling daily consumer goods. The regulation takes effect on 17 September 2025.
The initial draft, published in June, suggested that every transfer of ownership or lease of such premises would require a new permit, regardless of whether the property continued to be used for retail purposes. According to Taylor Wessing’s real estate experts, this created concerns about widespread disruption in the retail property market.
Under the legal definition, daily consumer goods include food, cosmetics, drugstore items, household cleaning products, chemical goods and hygiene paper products – items typically consumed or replaced within one year. Stores whose sales are primarily based on such goods fall under the scope of the new rule.
This means the amendment mainly affects large supermarkets and similar outlets, while the majority of retail units are exempt from the new permit requirement. “The final text of the law shows that the amendment impacts far fewer market players than initially expected. The new obligation applies only to supermarkets and other daily consumer goods retailers. This significantly reduces the effect on the wider retail property market, but could dampen investor interest in the affected sector,” said Dr. Dániel Ódor, Partner at Taylor Wessing Budapest.
It is important to note that under the previous regulation, any conversion of premises over 400 sqm for retail purposes still requires a permit, regardless of the type of goods sold. The change affects only ownership transfers and leases.
