Indonesian Political, Business & Finance News

Bandung Residents Rush In! Subsidised Apartment Building to be Constructed Here

| Source: CNBC Translated from Indonesian | Infrastructure
Bandung Residents Rush In! Subsidised Apartment Building to be Constructed Here
Image: CNBC

Good news for Bandung residents without homes. The government will construct subsidised apartment buildings (rusun) up to a maximum of 20 storeys in the Sadang Serang area of Bandung City.

This plan emerged when the Minister of Housing and Settlement Areas (PKP) Maruarar Sirait, accompanied by Bandung Mayor Farhan, conducted a direct site inspection of the land that will be used some time ago.

During the survey, the government confirmed that it will construct one subsidised rusun tower with a capacity of approximately 1,208 housing units. This project is projected to serve as an affordable vertical housing solution amid increasingly limited land in Bandung City.

“Bandung City has not built rusun for a long time. We appreciate Mayor Farhan, who was able to make a breakthrough by encouraging the development of subsidised rusun for low-income communities (MBR),” said Maruarar, cited from the official website of the Indonesian Ministry of Housing and Settlement Areas, Saturday (28/2/2026).

According to him, there are three strategic steps to ensure this project reaches the right target and is sustainable. First, strengthening regulations. Second, direct inspection of the field conditions and ecosystem around the location. Third, arranging financing schemes so the project remains affordable.

The rusun is specifically intended for residents who meet certain criteria. Maruarar emphasised that there are three main requirements:

  1. Do not yet own a home

  2. Belong to low-income communities in Bandung City

  3. Have income

“This means the programme targets residents who truly need first-time housing but still have the ability to pay instalments,” he said.

Meanwhile, Farhan ensured that the project will be realised in the form of owner-occupied apartment buildings (rusunami). He stated that the land in Sadang Serang is owned by Bandung City Government, thereby accelerating the construction process.

From a financing perspective, Bandung City Government is committed to providing subsidies together with the Provincial Government. Fiscal support from the regions is expected to keep unit prices affordable for low-income communities.

“For financing, we are committed to providing subsidies from the City Government and Provincial Government. Hopefully, the construction of this rusun will proceed smoothly and benefit the community,” he said.

If realised as planned, this 1,208-unit project could become a model for providing subsidised vertical housing in dense urban areas. Amid continuously rising land prices, subsidised rusun is considered one of the realistic solutions to address the housing backlog in Bandung.

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