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The Serbian parliament has enacted a law that sets the stage for a contentious property initiative overseen by US President Donald Trump's family member Jared Kushner in Belgrade.

The business entity Affinity Partners has planned to develop a luxury hospitality venue and residential development on the location of the former Yugoslav Army headquarters.

The ruined building, which was targeted by North Atlantic Treaty Organization forces in 1999 throughout its intervention to end Serbia's military operation in Kosovo, holds symbolic meaning to many who view it as a monument and emblem of persistent resistance to the international coalition.

Serbia's President Aleksandar Vucic, who has sought strong connections with Trump, has supported the development notwithstanding public opposition and constitutional challenges.

Previously, the national administration stripped the building of its heritage status and agreed a extended contract with Kushner's firm, which had presented designs for a $500m development.

The ruling provoked public gatherings and resulted in an investigation into whether a national government representative had forged papers employed throughout the method to modify the property's status.

In a discussion recently, President Aleksandar Vucic defended the initiative, saying "it's important to move past the legacy from 1999".

He added: "We are ready to develop stronger relations with the United States – I consider that is extremely important for this state."

The halted planning process came to a head recently when the president's party – which maintains a controlling in the assembly – proceeded with a special ballot on clearing the site and prevailed.

Opposition lawmakers have described the outcome against the constitution, among them Aleksandar Jovanovic, who termed it as a "crime", and asserted the landmark would be substituted with "gaming establishments and spas".

At the same time, centre-left representative Marinika Tepic remarked the authorities was compromising the nation's heritage "to satisfy Trump".

The enactment of the bill has also been criticised by heritage professionals, and comes after a watchdog organization, an anti-corruption institution, voiced apprehensions about state-backed initiatives.

According to national press accounts pre-dating his initial election bid, the former president in the past contemplated constructing a accommodation venue in Belgrade.

Last March, the developer told media outlets he was unfamiliar of his family member's reported earlier consideration.

The resolution to enable progress for the project comes as the president's cabinet aims to maintain favorable relations with both America and Russia.

The nation has been influenced by the two the former president's economic policies and restrictions on Russian interests in the state, including on its sole oil-refinery, the majority Russian-owned Nafna Industrika Srbije (NIS).