Chandra Hamzah's Full Explanation on the Hotel Sultan Execution
Chandra M. Hamzah, legal counsel for the Ministry of State Secretariat and the Gelora Bung Karno Complex Management Centre (PPKGBK), has affirmed the government’s position that the land occupied by Hotel Sultan is a state asset whose ownership was never transferred to PT Indobuildco. “I can convey that the government, from 1958 to 1962, acquired this land in preparation for the fourth Asian Games in Jakarta,” Chandra told reporters at the site on Thursday (18/6/2026). According to him, the government possesses documents demonstrating the land acquisition process carried out by the state before the area was used for various national development purposes.
Chandra explained that the dispute stems from differing views on land rights status. The government maintains that PT Indobuildco only obtained a right to use the land for a specific period, not ownership rights. “There was no sale and purchase, no relinquishment of land rights, no inheritance, no grant, no transfer of rights from the Government of the Republic of Indonesia to Indobuildco. None at all, only a permit to use the land for 30 years,” he stated. He elaborated that the government granted a Hak Guna Bangunan (Building Rights Title) to PT Indobuildco to manage the area. After the initial term expired, the company received an extension. However, once the HGB expired in 2023, the government began taking steps to reclaim the land within the state-managed complex.
“And that created its own legal issues. In 2023, the HGB expired, and subsequently PPKGBK and the Ministry of State Secretariat sought the return of this land,” he said. The government noted that the legal process leading to the area’s evacuation did not happen overnight. The dispute went through various court stages over many years until the Central Jakarta District Court granted the state’s claim and ordered the evacuation of the former Hotel Sultan area. With the execution carried out, the government confirmed the area’s status is now under state control as State Property (Barang Milik Negara). However, the government has not disclosed detailed plans for the future use of the former Hotel Sultan site. “This is a state asset, state property. Therefore, future plans as state property must comply with the Minister of Finance Regulation on the utilisation of state assets,” he said. Chandra stressed that any post-execution utilisation of the land must follow the provisions stipulated in Minister of Finance Regulation Number 115/PMK.06/2020 concerning state asset management. “How the next steps, the utilisation, are carried out must comply with the PMK. Do not force us to violate this PMK. Everything must be in accordance with this PMK,” he concluded.