Three foreign investors eyeing Tanah Abang<\/p>\n
Damar Harsanto, Jakarta<\/p>\n
City-owned developer PD Sarana Jaya revealed on Tuesday that
\nthree investors from Singapore, Malaysia and China had been
\nlooking into the possibility of investing in the project to
\ntransform the old Tanah Abang textile market into a modern
\nbusiness complex.<\/p>\n
\"The Malaysians and Singaporeans understood that investors
\nwould be obliged to build homes for locals, whose land would be
\ntaken for the project. They are also required to give residents
\nshares in the project,\" the developer's president director Tebyan
\nA'maari said at City Hall.<\/p>\n
Tebyan said the investors claimed that a similar scheme had
\nbeen integral to several projects in Singapore and Malaysia.<\/p>\n
\"However, the Chinese investors were slow to understand; in
\nChina, land is owned by the state,\" he added.<\/p>\n
He refused to name the investors, arguing that they were still
\nconsidering their participation in the project, which is
\nestimated to cost up to Rp 6 trillion (US$666.7 million).<\/p>\n
According to Tebyan, a total of 2,085 families, or around
\n60,000 people, would lose their homes and would be entitled to
\nunits in the 24-story apartment buildings that would stand in the
\ncenter of the 12-hectare compound.<\/p>\n
\"In addition, they would also be allocated space on the lower-
\nground and first floors of the trade center, besides shares in
\nthe property,\" he said.<\/p>\n
In its proposal, PD Sarana Jaya estimated that the land
\nacquisition would cost around Rp 360 billion, with the estimated
\ncompensation given to land owners hovering at around Rp 3 million
\nper square meter. The taxable value of the property (NJOP) in the
\narea is around Rp 1.2 million per square meter. The market value
\nis usually higher than the NJOP.<\/p>\n
\"We estimate that the construction will cost up to Rp 4.5
\ntrillion and will be completed in 2008,\" Tebyan said.<\/p>\n
The business complex -- stretching from the Tanah Abang
\ntextile market to the Tanah Abang railway station -- will
\ncomprise a wholesale market, trade center, office buildings,
\nthree-star hotels for traders, and low-cost apartments.<\/p>\n
The design of the complex integrates business sites with the
\nexisting railway station, the planned monorail station and water
\ntransportation terminal.<\/p>\n
Tanah Abang, the largest textile market in Southeast Asia, is
\nnotorious for its crowded, dirty and run-down condition, as well
\nas its \"omnipresent\" thugs.<\/p>\n
The project, which was first planned in 1998, was delayed due
\nto strong opposition from locals.<\/p>\n
Urban planning experts also said the project was not feasible
\nas it would destroy businesses in the area, mostly small and
\nmedium enterprises.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/three-foreign-investors-eyeing-tanah-abang-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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