Low-cost apartments to be built, but only for a chosen few

Damar Harsanto, The Jakarta Post, Jakarta

With at least 80,400 families living in city slums, it is clear the administration will be unable to build enough low-cost apartments for those in need of affordable housing.

"We hope to build a total of 3,360 low-cost apartment units this year. Those apartments are intended for poor residents across the city," the assistant to the city secretary, Hari Sandjojo, said after a meeting between Governor Sutiyoso and officials of state-owned housing developer Perumnas on Wednesday.

Hari said the Rp 424.59 billion (US$45 million) construction project would be financed in part by the 2005 city budget.

The remaining cost will be shouldered by Perumnas and private companies under a special agreement deal.

"For instance, Perumnas has pledged to help build 380 units in Pulogebang, East Jakarta, this year. These apartments will sit on their own plot of land," he said.

Hari said Governor Sutiyoso also ordered the City Housing Agency to prioritize the construction of apartments for residents affected by the East Flood Canal project.

"Those residents whose homes will be affected by the East Flood Canal project will be relocated to the new apartments," he said.

Some of the apartments will be built near the 316 hectares stretching from Cipinang in East Jakarta to Marunda in North Jakarta.

This area is subject to land acquisition for the Rp 4.9 trillion East Flood Canal project, including Cipinang Besar and Pulogebang in East Jakarta, and Rorotan and Marunda in North Jakarta.

The 23.5-kilometer long canal, which when built will link the Cipinang, Sunter, Kramat, Buaran and Cakung rivers, will help control flooding in the eastern part of the city.

The East Flood Canal will complement the existing 14-kilometer long West Flood Canal built by the Dutch in 1924 to ease flooding in the western part of the city.

Sutiyoso said his administration planned to build 6,000 more low-cost apartment units by 2007.

"Since land prices are very high, the administration has decided to develop low-cost apartments to provide decent housing for Jakarta residents at affordable prices," Sutiyoso said.

He said that because the administration could not fund the construction of the apartments itself, it was developing a special scheme in which private developers would handle the land acquisition and the development of the apartments.

"The administration will purchase the apartments in installments in line with an agreement made between the parties," he said.

Locations for low-cost apartments in Jakarta in 2005

Kapuk Muara, N. Jakarta 700 units

Pegadungan, E. Jakarta 200 units

Jati Rawasari, C. Jakarta 180 units

Pondok Bambu, E. Jakarta 200 units

Cipinang Besar, E. Jakarta 200 units

Marunda, N. Jakarta 200 units

Pulojahe, E. Jakarta 48 units

Joglo, W. Jakarta 160 units

Planned locations still in process of land acquisition

Tebet Barat, S. Jakarta

Karet Tengsin, C. Jakarta

Rorotan, N. Jakarta

Rawabebek, E. Jakarta

Semanan, W. Jakarta

Tarung Barat, E. Jakarta

Source: City Housing Agency