This paper addresses the specific characteristics of the administrative procedure for issuing location permits in the Republic of Croatia, which is crucial for regulating spatial development and construction. The aim of the paper is to analyse the legal framework and practical aspects of this procedure, identify the main challenges in its application, and offer recommendations for improving efficiency and transparency. The methodology is based on the analysis of relevant laws and regulations, such as the Spatial Planning Act, the Building Act, and the General Administrative Procedure Act, as well as reviews of case law that illustrate how legal provisions are applied in real situations. Secondary sources were used, including books, articles, legal and regulatory provisions, legal analyses, and specific examples from court disputes. The results of the paper indicate the complexity of the location permit issuance process, stemming from the need to harmonize various legal requirements and regulations. The presented case law examples further highlight the practical challenges faced by investors and competent authorities, including inconsistencies in the interpretation of laws and obstacles in the implementation of spatial planning. In conclusion, the proper application of the administrative procedure for issuing location permits is of crucial importance for ensuring legal certainty and sustainable spatial development. It is recommended to improve the legal framework by better defining responsibilities and procedures and by digitalizing the process to increase transparency and reduce administrative burdens for all parties involved. This would lead to greater efficiency and legal certainty in procedures that are essential for regulating land use in Croatia.