Lippo's Explanation on 140,000 Low-Cost Housing Units in Meikarta
Jakarta — The Meikarta complex in Cikarang will become the location for developing vertical housing for low-income residents (MBR) under the government’s 3 million housing programme.
The initiative represents a collaboration between the government through Danantara Investment Management Agency (BPI Danantara) and the Lippo Group. In its initial phase, the project targets construction of approximately 140,000 housing units.
Danantara Chief Executive Officer Rosan Roeslani previously stated that the initial investment for this phase is estimated to reach Rp14 trillion to Rp16 trillion. The first phase is scheduled to include construction of 18 towers standing approximately 32 storeys high on land covering approximately 12.8 hectares.
Meanwhile, PT Lippo Cikarang Tbk (LPCK) confirmed that the land used for the low-income housing programme is part of the Meikarta complex. However, the company emphasised that the land comes from an area that has not yet been developed.
“The land being used is part of the Meikarta complex that has not been developed and is not included in the blocks or locations where Meikarta apartments are currently being built,” wrote LPCK management in a disclosure to the Indonesia Stock Exchange, cited on Friday (13 March 2026).
LPCK also disclosed that the land donated for the programme is recorded in the company’s financial statements as inventory and land for development. Based on the company’s audited financial statements for the 2025 financial year, the book value of the land is approximately Rp180 billion.
The company stressed that the government’s low-income housing programme is unrelated to the Meikarta apartment project that has previously been marketed to consumers. LPCK also assured that there is no conversion of Meikarta’s commercial project functions into low-income housing.
The Meikarta independent city project, developed by PT Mahkota Sentosa Utama, has faced various controversies since its launch in 2016. The project has encountered multiple problems, ranging from licensing issues with the West Java Provincial Government to bribery cases involving several Bekasi Regency officials and developers, resulting in hand-to-hand operation arrests by the Corruption Eradication Commission.
Additionally, the project has triggered consumer complaints regarding delays in construction and unit handovers, which were even discussed during meetings with the People’s Consultative Assembly in 2023.
The latest vertical housing project undertaken by Danantara is part of the government’s efforts to accelerate meeting housing needs for low-income residents whilst reducing the national housing backlog.