Below is a list with tagged columns and company profiles.

Today's Headlines Property

  • Office Space in Jakarta: Rising Demand, but Supply Rising More Swiftly

    Office Space in Jakarta: Rising Demand, but Supply Rising More Swiftly

    Based on accounts of services providers in Indonesia's property market, demand for office space in Indonesia, and specifically in the capital city of Jakarta, shows good growth starting from the third quarter of 2017. Especially online businesses (for example the e-commerce industry) are showing rising appetite for office space.

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  • Ombudsman Urges Indonesian Consumers Not to Buy Meikarta Property

    Ombudsman Urges Indonesian Consumers Not to Buy Meikarta Property

    The Lippo Group continues to aggressively promote its ambitious Meikarta project in Indonesian media and in various strategic locations. In fact, the group claims that pre-sales of apartment units has already reached 130,000 per August 2017, an impressive number. However, the project is controversial because the developer reportedly did not obtain all necessary permits and land that is required to construct the integrated township.

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  • Property Market of Indonesia: Batam & Medan Promising

    Property Market of Indonesia: Batam & Medan Promising

    As the property market in Jakarta and surrounding cities remains bleak, Indonesian property developers are eager to expand in the regions outside of the island of Java. Two examples are Batam, an island located not far from Singapore that is equipped with booming urban and industrial zones, and Medan, the biggest city on Sumatra.

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  • Property in Indonesia: Meikarta's Land Acquisition at 16.8%

    Property in Indonesia: Meikarta's Land Acquisition at 16.8%

    So far the Lippo Group only managed to acquire 16.8% of the total land that is required to develop the ambitious Meikarta township project. Meikarta is designed to become a full-fledged township, equipped with high-class and modern residential, commercial, industrial, cultural and educational centers, located on a 500-hectare plot of land 34 kilometers to the east of Jakarta, including 100 hectares of open green space, 250,000 units of prime residential property, and 1,500,000 m2 of prime commercial space.

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  • Investment Climate Property Development: Tough Permit Process

    Investment Climate Property Development: Tough Permit Process

    The Indonesian government aims to provide affordable housing for the nation's poorer (low-income) households through the One Million Houses program, a program that was launched in mid-2015 by Indonesian President Joko Widodo. However, property developers complain that in most regions it is tough to obtain all necessary permits to construct the houses.

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  • Indonesia's One Million Houses Program on Schedule in 2017

    Indonesia's One Million Houses Program on Schedule in 2017

    So far this year Indonesia's "One Million Houses Program" is well on its way. Based on information from Indonesia's Public Works and Housing Ministry a total of 499,702 houses were constructed under the program in the first half of 2017, achieving 49.9 percent of the full-year target.

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  • Meikarta, One of Indonesia's Troubled Property Projects?

    Meikarta, One of Indonesia's Troubled Property Projects

    Although in local media Indonesian property developer Lippo Cikarang is aggressively advertising its ambitious Meikarta project to the consumer, there is uncertainty whether the developer indeed collected all necessary permits required to construct the new township. Meikarta is marketed as a 500-hectare property development project with 100 hectares of open green space, 250,000 units of prime residential property, and 1,500,000 m2 of prime commercial space.

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  • Property Sector Indonesia: Mortgage Growth Remains Bleak

    Property Sector Indonesia: Mortgage Growth Remains Bleak

    The property sector of Indonesia remains somewhat depressed. This is reflected by sluggish demand for house ownership credit (in Indonesian: kredit pemilikan rumah, abbreviated as KPR) and apartment ownership credit (kredit pemilikan apartment, or KPA) so far this year. According to data from Indonesia's central bank (Bank Indonesia) KPR and KPA credit disbursement growth stood at 7.7 percent on a year-on-year (y/y) basis in May 2017, slowing from a 7.8 percent (y/y) growth pace in the preceding month.

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  • Indonesia Abroad: Sinarmas Land Expanding its Property in London

    Indonesia Abroad: Sinarmas Land Expanding its Property in London

    Real estate development company Sinarmas Land Ltd, a unit within the Sinar Mas Group, purchased a big office building in Central London for the price of nearly USD $269 million. Sinar Mas Land Ltd, headquartered and listed in Singapore, is engaged in the property business through its operations in primarily Indonesia, China, Malaysia and Singapore.

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  • Property in Indonesia: Investment in Homestays & Houses in Yogyakarta

    Property in Indonesia: Investment in Homestays & Houses in Yogyakarta

    Investment in homestays as well as the value of houses in Yogyakarta have risen significantly after local authorities implemented a moratorium on new hotel development (effective since Jan. 1, 2014 and will last until at least 1 Jan. 2018). The city and province of Yogyakarta, located in the center of Indonesia's Java island, are important tourist destinations. Moreover the city of Yogyakarta is a key student city. Therefore, demand for houses in Yogya (used for the homestay or student accommodation business) has grown.

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Latest Columns Property

  • Property Development Indonesia: West Jakarta Gaining Popularity

    Property Development Indonesia: West Jakarta Gaining Popularity

    When walking around the Taman Anggrek Mall and Central Park Mall in West Jakarta, you will see several big property projects being built: a new mall (Neo Soho Mall), apartment complexes (Neo Soho Apartments and Taman Anggrek Residences) and a new office tower (Soho Capital). In terms of property development in Indonesia, West Jakarta now seems developers' favorite location. Hari Raharta, Secretary-General of the Indonesian Real Estate Developers Association (REI), informed, however, West Jakarta has seen solid property development since the opening of the Jakarta-Tangerang toll road back in 1984.

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  • Indonesian Property Companies in Focus: Alam Sutera Realty

    Indonesian Property Companies in Focus: Alam Sutera Realty

    Alam Sutera Realty, an Indonesia-based real estate development company, is plagued by overall declining growth in Indonesia's property sector. In the first half of 2016 Alam Sutera recorded IDR 966.5 billion (approx. USD $74 million) in pre-sales, only 19.3 percent of the company's full-year target. What are the strategies of this company to combat the slowdown?

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  • Indonesian Financial Institutions in Focus: Bank Tabungan Negara

    Indonesian Financial Institutions in Focus: Bank Tabungan Negara

    Indonesian listed financial institution Bank Tabungan Negara should benefit from the government's Housing Loan Liquidity Facility (in Indonesian: Fasilitas Likuiditas Pembiayaan Perumahan, or FLPP), a government-subsidized mortgage program for those low-income citizens who have never bought a house before. This scheme should boost House Ownership Credit (Kredit Pemilikan Rumah, or KPR) in Southeast Asia's largest economy. Good news for Bank Tabungan Negara, which is the market leader in Indonesia's mortgage loans sector.

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  • Indonesian Property Developers in Focus: Surya Semesta Internusa

    Indonesian Property Developers in Focus: Surya Semesta Internusa

    Indonesian listed property developer Surya Semesta Internusa is experiencing difficult times. The firm's three main business segments - construction, property and hospitality - are all under pressure. In the first six months of 2016 net profit of the developer plunged 64.3% (y/y) to IDR 91.5 billion (approx. USD $7 million), far below analysts' forecasts. The decline was mainly caused by a fall in its net revenue. Net revenue of Surya Semesta Internusa fell 16.6 percent (y/y) to IDR 2.08 trillion (approx. USD $159 million).

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  • Indonesian Construction Companies in Focus: Total Bangun Persada

    Indonesian Construction Companies in Focus: Total Bangun Persada

    Today, Indonesia's House of Representatives passed the Tax Amnesty Bill into law. Indonesian authorities expect this bill to bring home trillions of rupiah (hundreds of million of US dollars) that partly flow into Indonesia's property sector. Total Bangun Persada, one of Indonesia's leading construction companies, is one of the companies that can benefit from these inflows. CIMB Securities expects the company's revenue to grow 6.8 percent (y/y) to IDR 2.52 trillion (approx. USD $189 million) in 2016.

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  • Indonesian Companies in Focus: Bumi Serpong Damai

    Indonesian Companies in Focus: Bumi Serpong Damai

    Indonesian real estate developer Bumi Serpong Damai, part of the Sinar Mas Group, has ample room for expansion. According to its latest quarterly financial report, the company owns 3,954.88 hectares of land that has not been developed yet, 70 percent of which is located near BSD City, an ambitious urban planning scheme that combines housing, business and commercial properties not far from Indonesia's capital city of Jakarta. The company also has land banks in Jakarta, Bogor, Surabaya, Palembang, Balikpapan and Samarinda.

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  • Foreigners Can Buy Property in Indonesia, But Will They?

    Foreigners Can Buy Property in Indonesia, But Will They?

    Indonesia opened the property market to those foreigners who reside (legally) in Indonesia. However, it also set tough requirements regarding foreign ownership of Indonesian property. Moreover, it remains nearly impossible for expats to obtain a local mortgage to finance the purchase of property. Although local credit may actually not be attractive for foreigners as interest rates are high in Indonesia, it is interesting to take a closer look at why Indonesian banks reject to sell mortgages to foreigners and whether foreigners are actually enticed to buy property in Indonesia?

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  • Indonesian Companies in Focus: Logistics Firm Mega Manunggal Property

    Indonesian Companies in Focus: Logistics Firm Mega Manunggal Property

    Mega Manunggal Property, an Indonesia-based logistics property company that is primarily focused on the development and provision of logistics facilities related to warehouses and office buildings, is expected to see rising net income and revenue in the years ahead supported by growing demand for modern warehouses, logistics services, enhanced operational efficiency, and an increase in rental prices. Mega Manunggal Property is part of the Argo Manunggal Group, a group that is active in various sectors including textile, steel, property, mining, and insurance.

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  • Impact of Indonesia's Infrastructure Development on Property Sector

    Impact of Indonesia's Infrastructure Development on Property Sector

    With the Indonesian government showing its commitment to push for infrastructure development, the property sector of Indonesia is expected to get a boost as infrastructure development opens access to new areas. For example, Indonesia's first high-speed train project that is to connect Jakarta and Bandung (in West Java) is expected to give rise to new economic centers and cities along the 142 kilometers-long railway. Moreover, existing property in the proximity of a new infrastructure project should lead to significantly rising property prices.

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  • Indonesian Companies in Focus: Pembangunan Perumahan (PP)

    Indonesian Companies in Focus: Pembangunan Perumahan (PP)

    Corporate earnings of Indonesian state-controlled construction and investment company Pembangunan Perumahan (abbreviated PP) are in line with analysts' forecasts. In the first quarter of 2016, PP's revenue rose 30.6 percent (y/y) to IDR 2.58 trillion (approx. USD $195 million), while net profit rose 5 percent (y/y) to IDR 98 billion (approx. USD $7.4 million) from the same quarter one year earlier. These figures indicate the company experienced a solid start of the year.

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