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The Serbian legislative body has passed a law that sets the stage for a contentious development initiative led by US President Donald Trump's son-in-law Jared Kushner in the capital.

Kushner's company Affinity Partners has sought to develop a premium hotel and residential complex on the site of the former Yugoslav Army main office.

The damaged building, which was struck by NATO troops in 1999 during its operation to stop the Serbian military actions in Kosovo, holds emotional meaning to some who view it as a reminder and representation of ongoing opposition to the defense organization.

The Serbian President Aleksandar Vucic, who has pursued strong relations with the former president, has endorsed the proposal in the face of protests and constitutional objections.

Previously, the Serbian government removed the building of its protected classification and approved a 99-year lease with Kushner's company, which had proposed designs for a half-billion dollar construction.

The determination provoked demonstrations and initiated an inquiry into whether a national official had falsified documentation used in the method to alter the property's classification.

Through a interview earlier this year, President Aleksandar Vucic supported the plan, remarking "it's crucial to transcend the legacy from 1999".

He elaborated: "We are willing to develop stronger relations with the America – I think that is extremely significant for this state."

The delayed development timeline came to a head last week when the president's political group – which maintains a controlling in parliament – pushed ahead with a specific vote on developing the site and succeeded.

Opposition representatives have described the ruling illegal, notably Aleksandar Jovanovic, who described it as a "violation", and asserted the significant building would be replaced with "casinos and spas".

At the same time, centre-left representative Marinika Tepic stated the government was jeopardizing the state's heritage "to please Trump".

The approval of the legislation has also been questioned by design experts, and arrives after a watchdog organization, an integrity institution, voiced concerns about government-supported initiatives.

Based on Serbian news coverage pre-dating his maiden election campaign, Trump in the past contemplated constructing a hospitality property in Belgrade.

Earlier this year, Kushner told reporters he was uninformed of his relative's claimed past involvement.

The determination to pave the path for the project arrives as Vucic's government aims to preserve good connections with each of the United States and the Russian Federation.

Serbia has been affected by each of the former president's trade measures and restrictions on the Russian Federation's investments in the nation, encompassing on its single oil-refinery, the primarily Russian Federation-held Nafna Industrika Srbije (NIS).