Markets to become real estate

JAKARTA (JP): City-owned market company PD Pasar Jaya will convert some of its poor-performing markets into low-cost apartments, according to the firm's president, Albert Napitupulu.

Albert said over the weekend that the plan was meant to optimize Pasar Jaya's assets instead of leaving the markets vacant for years.

"What are the markets for if business there is poor and only a few people go there? That's why we don't want to just keep them vacant," he said in a ceremony to mark the 31st anniversary of the firm.

However, Albert could not disclose which of the company's 152 markets in the city would be closed and converted into apartments.

"We haven't named which markets we will convert," he said.

Based on data from Pasar Jaya, 7,119 of 47,733 kiosks in its 152 markets are still unoccupied.

Albert said the large number of unused kiosks was mainly due to the mushrooming growth of modern markets being developed near the traditional markets run by Pasar Jaya.

The huge number of empty kiosks at Pasar Jaya markets have often been criticized by some city councilors as a waste of the city budget.

Tarman Azzam of Commission B for economic affairs said: "There are vacant kiosks in almost every market, which have cost the city billions of rupiah."

Another councilor, Lukman Mokoginta of Commission D for development affairs, supported his colleague's remarks.

Lukman said the large number of idle kiosks proved the bad planning and management of Pasar Jaya executives.

"It shows at least that their choice in location for the markets was wrong," he said.

Both councilors, therefore, agreed with the firm's plan to convert the poor-performing markets into apartments.

"But the move should first be permitted by the council," Tarman said.

In an attempt to avoid further problems, Albert urged the city to issue a regulation which would determine a reasonable distance between modern and traditional markets.

"The administration, thus far, has not determined the distance yet," he said.

Albert also planned to create something in traditional markets which would attract more visitors.

"Besides continuing efforts to make the markets cleaner, we would also like to continue to develop something new, such as a special market for fruits and flowers, to be able to compete with modern markets," he said.

Albert said that some time ago traditional markets were also famous for their lower prices, but that was no longer the case.

"It's because traders can't get their merchandise directly from primary sources," he said.

Traditional markets have also been "defeated" by modern buildings because many supermarkets and malls could be found at housing complexes where sometimes it was difficult for residents to go to traditional markets, Albert said. (ind)