Developers get ultimatum

Developers get ultimatum

TANGERANG (JP): Tangerang Regent Agus Djunara has warned five
major real estate developers here to pay overdue property taxes
totaling Rp 5.8 billion or face confiscation of their land.

Djunaidi Abham of the Tangerang property tax office said Rp
2.4 billion of the total in arrears was owed by PT Bumi Serpong
Damai, developer of the BSD housing complex, Rp 1.2 billion by PT
Jaya Real Estate (Bintaro Jaya housing complex), Rp 1 billion by
PT Lippo Karawaci (Lippo Karawaci housing complex), Rp 700
million by PT Alpha Goldland (Alam Sutera housing complex) and Rp
500 million by PT Gading Serpong (Citra Raya housing complex).

"The developers have a deadline of March 30 to settle the
payment. If they fail to abide by the deadline, the regency will
take stern action against them," Djunaidi said on Friday.

He said his office would first send notification letters to
the companies warning them to meet their obligations. Failure to
do so could result in the confiscation of their land.

"Just wait and see. The developers agreed to pay the tax
arrears in an earlier meeting with the regent," he said.

Meanwhile, BSD's spokesman Doni Rahajoe disputed the sum
announced by the regency.

"It's not that big. We will fulfill the payment of our
property taxes as usual," Doni said on Sunday.

He would not disclose the actual amount of the developer's
taxes, but said Rp 2.4 billion in taxes was owed by house owners
in the complex.

Although about 14,000 houses at the site have been sold, many
were left vacant by their owners, he added.

"We have tried hard to trace the owners to remind them they
have to pay taxes," he said. (41/jun)