Indonesian Political, Business & Finance News

Bali Still Attracts Foreign Investors, Occupancy Above 70 Percent

| | Source: KOMPAS Translated from Indonesian | Property
Bali Still Attracts Foreign Investors, Occupancy Above 70 Percent
Image: KOMPAS

The residential property sector in Bali continues to show resilience amid global economic dynamics, even managing to exceed the national average growth rate. This phenomenon is driven by a shift in investment trends that no longer merely involve building homes but integrating resort management with investment instruments. One player strengthening its penetration is Seven Sky Villas, which is now beginning development of the OctaSun Residence project in the South Bali area. The presence of international developers on the Island of the Gods is believed to have a significant impact on local property management standards. The implementation of hotel-class services, integration of digital platforms for investors, and transparency in financial models have become new value propositions in the market. Co-Founder of Seven Sky Villas, Dormidonov Alexander Yurievich, explained that property development currently plays an integral role in a broader economic ecosystem. These projects not only absorb labour in the construction and hospitality sectors but also trigger growth in supporting infrastructure around them. Fundamentally, the serviced villa market in Bali offers quite attractive figures for investors. Based on reports from developers and property management, the annual return rate in Bali is projected to be in the range of 12 percent to 15 percent. This appeal is reinforced by several technical indicators, such as the projected average occupancy rate at 76 percent to 78 percent. Meanwhile, during peak periods, it can reach 85-90 percent. With this dynamic, the average payback period is estimated to take only about 6 to 7 years. “This concept combines a lifestyle-oriented living experience with strong investment instruments,” added Dormidonov.

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