Following PIM 5, Jakarta to Have Two New Malls Spanning Thousands of Square Metres
Jakarta, CNBC Indonesia - Jakarta is projected to welcome several new shopping centres in 2026. This expansion indicates that developers remain optimistic about the modern retail business amidst changing consumer shopping patterns.
General Manager of Knight Frank Indonesia, Frank Tunewa, noted that at least three new mall projects will be present in Jakarta this year. The total additional retail space from these projects reaches approximately 61,000 square metres.
“In 2026, there will be three new malls with a total area of approximately 61,000 square metres. These are Lippo East Side in Holland Village, then The Sima Retail, and also Pondok Indah Mall 5,” said Frank during a Knight Frank press conference, Thursday (26/2/2026).
Holland Village Mall is located in Cempaka Putih with a leasable area of 44,000 m2, while The Sima Retail is located in TB Simatupang with an area of 16,000 m2.
The developers’ decision to continue opening new shopping centres is not without reason. Amidst the dynamics of the global economy, the domestic economic condition is considered to be still quite solid, providing space for the growth of the retail sector. The relatively stable purchasing power of the community also makes shopping centres remain a favourite destination for urban residents.
“If we look at the reasons, first, Indonesia’s economic growth is still strong. Second, the purchasing power of the community is also increasing so that malls still remain one of the favourite destinations for socialising and shopping,” he explained.
In addition to economic factors, the transformation of the concept of shopping centres is also a major driver. Modern malls are no longer just functioning as retail transaction places, but are evolving into entertainment and lifestyle centres.
Frank believes that the various new facilities presented by developers make shopping centres remain relevant for young generations and families.
“The new malls now have transformed into entertainment and culinary centres, not just shopping places. There are cinemas, playgrounds, restaurants, and various facilities that make visitors more interested in coming,” he said.
Furthermore, innovation in the concept of public space is one of the important strategies so that shopping centres can compete. Many developers are now presenting open areas, hangout spaces, and light sports facilities.
“Some malls even present the concept of food markets, thematic restaurants, dog parks, to paddle courts. These innovations must be done so that they can attract visitors to new malls,” he added.
The presence of new shopping centres will also trigger more intense competition in the retail industry. Malls that have been operating for a long time also need to continue to improve in order to remain relevant amidst changing consumer trends.
“Old malls certainly need to do renovations and innovations. This competition will continue,” he said.
(dce)