Urban development principles of the 'urban hill' on the right bank of the Neris river, which now is developing rather chaotically, have major importance for further formation of Vilnius urban identity and for formation of qualitative image of the capital. Toleration of further unregulated development would have a huge negative influence on urban identity, landscape, cultural heritage, real estate, and on interaction of these subjects. Therefore, it is necessary to define clear development principles of the modern centre in order to describe its complete urbanistic image and secure multifunctionality for public needs. This will make the area clear for investment, create conditions for preservation, accentuation and rational use of cultural and natural heritage. It will create objective possibilities for development management and establishment of regulation principles for the analysed area.