Sava Savanovic was believed to have lived in the shack on the Rogacica river in Zarozje village in the municipality of Bajina Basta and drank the blood of anybody who came to mill their grain.
The watermill was later bought by the local Jagodic family, who were too scared to use it as a mill – but discovered it was profitable when they started advertising it as tourist spot, Daily Mail reported.
The family were worried about carrying out construction work on the mill as they were scared that they might disturb the vampire or unleash his wrath.
“People are worried, everybody knows the legend of this vampire and the thought that he is now homeless and looking for somewhere else and possibly other victims is terrifying people. We are all frightened,” the paper quoted Local mayor Miodrag Vujetic as saying.
He said that it was all very well for people who didn’t live in the area to laugh at their fears but he said nobody in the region was in any doubt that vampires did exist.
He confirmed that the local council had advised villagers to put garlic on their doors and windows to protect them from the vampire, as they can’t stand the smell.
“We have also reminded them to put a Holy cross in every room in the house,” he added.