Indonesian Political, Business & Finance News

Four developers lose their licenses

Four developers lose their licenses

JAKARTA (JP): Four real estate companies in West Jakarta have lost their licenses to develop their allocated plots, six denied services momentarily from the mayoralty and 33 served with final warnings for their failure to build public and social facilities.

West Jakarta Mayor Sutadjianto told the City Legislative Council that these real estate companies have neglected their obligations to build facilities, including parks, roads, places of worship and schools, as required by their licenses.

The developers are supposed to complete these before the mayoralty is willing to assume responsibility of their maintenance and care, Sutadjianto said.

He added that 102 real estate companies in West Jakarta, with total land area of 2,615 hectares, have commitments to build public and social facilities, with an estimated combined value of Rp 3 trillion, Antara reported.

Only 12 have fully complied and handed the facilities over to the charge of the mayoralty. Nine others are in the final process of doing so, he said.

The move to revoke the licenses on four real estate companies and serve warnings on dozens of others came after repeated warnings from the Jakarta municipal office to housing developers to comply with their obligations.

Some real estate companies have even abandoned their estates completely, once they sold all the houses, without completing their obligations to provide the various facilities.

Sutadjianto said the four real estate companies that have had their land developing licenses rescinded are PT Fontana Garden, PT Gapura Garden Hotel, PT Kijang Kencana, and PT Puskopati. The four had control over 1.6 million square meter of land.

The six developers being denied service by the mayoralty office are PT Kusuma Raya Utama, PT Sumber Cipta Sarana, PT Mutiara Idaman Jaya, PT Bojong Permai, PT Metropolitan Development, and PT Intercon Ent. The move was taken because they showed lack of will in developing the required facilities.

The 33 developers who were served final warnings include PT Intercon Ent, PT Labrata, PT Antilope Maju, PT Citra Habitat Indonesia, PT Mutiara Idaman Jaya, PT Sumber Cipta Sarana, PT Aneka Elok, PT Putra SP, PT DSO Industrial D, PT Satmika Permai Indah, PT Benua PL, PT Green Ville, PT Panin Investment, PT Metroplitan Development, PT Bojong Permai, PT Tamsir Wijaya, PT Pembangunan Sarana Jaya, PT Pakuan Utama, PT Sinabung Jaya, PT IBIT, PT Angsana Jaya Indah, and PT Karuna.

A member of the City Council, Bandjar Marpaung, said the municipality should not hesitate in punishing real estate companies that neglect their obligations. "Go public with their names if you have to," he said. (emb)

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