This article explores dilemmas associated with rural tourism and gentrification in the context of territorial development through two Hungarian case studies. An analytical framework is developed based on the parallel perspectives within economic, social and functional dimensions that often lead to split realities and grave problems. We claim that the iterative interplay between rural tourism and gentrification that prepares the ground for booming development helps to explain the process and its results. As concluded, although rural tourism appears to be an attractive, transferable tool for territorial development, policymakers must carefully apply neo-endogenous development principles to achieve sustainable improvements.
KEYWORDS: rural development, rural gastro tourism, rural gentrification, split realities, territorial development
JEL: Q01, Z32