Developer Supports Kemayoran Redevelopment, Urges Resolution of Investment Hurdles
PT Oceania Development (PT OD) has stated its support for the government’s efforts to reorganise and optimise state assets in the Kemayoran area, as outlined by Deputy Minister of the State Secretariat (Wamensesneg) Juri Ardiantoro during a site inspection on 6 July 2026. The inspection covered several plots of land related to PT OD’s cooperation agreement, including Blok B2 Nomor 2, Blok B3, Blok B7/8, and Blok C7 and C9.
PT OD’s legal advisor, Sulaisi Abdurrazaq, said the company supports the reorganisation plan. However, he noted that the development of land to which PT OD holds rights continues to face administrative and physical obstacles. “We have been trying to coordinate with the Kemayoran Complex Management Centre (PPKK) for quite some time, but we have not yet obtained the solution we hoped for. Since 2024, we have also submitted letters to the Minister of State Secretariat and the Deputy Minister of State Secretariat. Even through the Coordinating Minister for Law, Immigration, and Corrections, our letter was forwarded to the President on 9 January 2025, but to date there has been no follow-up,” Sulaisi said in a statement on Tuesday (14/7).
He explained that PT OD has prepared a development plan for the area in accordance with applicable permits and designations. However, the process is reportedly hampered because the company requires administrative completeness for the extension of the Building Use Rights (HGB) on the Land Management Rights (HPL) as a prerequisite for attracting investment. According to Sulaisi, investor interest in developing the area is considerable, but two main issues are hindering the realisation of investment.
“First, we have not yet obtained a letter of control over the land that already has HGB. Second, some of the land is still not vacant because access to the locations is closed, while several other plots are still being leased out by PPKK,” he said. He cited access to Blok C.7, B.2, and B.3, which he claims remains closed to this day. Additionally, the area in front of Blok B.2 and B.3 is still being used commercially by other parties without PT OD’s approval.
Sulaisi also highlighted the management of Blok C.9, which is still being used as the Kemayoran Car Market. According to him, although the rights to the land were transferred to PT OD in 2011, its management is still carried out by a third party appointed by PPKK. “To date, PT OD has never received any share of the revenue generated from commercial activities at the Kemayoran Car Market,” he stated.
He also denied that there had been effective coordination between PPKK and PT OD, as previously claimed. “What actually happened is that we sent letters many times, but the response was a rejection on the grounds that the cooperation agreement had expired, whereas in our view the agreement is still valid. On the other hand, PPKK is instead looking for its own investors,” he said.
According to Sulaisi, PPKK should act as a regulator coordinating all HGB holders to develop the Kemayoran area. However, in practice, he assessed that PPKK is also acting as an executor, which potentially creates a conflict of interest. Furthermore, he stated that from the outset, PPKK has not handed over the cooperation object in a vacant condition as stipulated in the agreement. Some of the land, he said, is still controlled by third parties, while access to several locations also remains closed.
“To date, there has been no official report on the handover of land or effective control to PT OD. Meanwhile, we have fulfilled various obligations, from paying auction proceeds to land and building tax for years. Yet, the cooperation object remains under PPKK’s control and is being used commercially,” he explained. Therefore, Sulaisi asserted that PT OD has not been able to carry out construction or utilise the land. According to him, the issue relates to the unfulfilled obligation of land handover as stipulated in the agreement, not because the company has neglected the asset.
He added that if new investors wish to enter through PPKK, in principle PT OD does not object as long as the mechanism is carried out in accordance with the provisions of the cooperation agreement, including obtaining approval from PT OD as regulated in Article 21 Paragraph (5). In his closing remarks, Sulaisi appreciated the working visit of the Deputy Minister of the State Secretariat to the Kemayoran area. He said PT OD is ready to collaborate with the government and all stakeholders to promote the development of Kemayoran as a business district that provides benefits to the state, the community, and the investment world.