Minister Ara Secures List of Abandoned State Land for Flat Construction
Minister of Housing and Settlement Areas (PKP) Maruarar Sirait (Ara) has revealed that his ministry has received a list of idle or abandoned land from the Ministry of Agrarian Affairs and Spatial Planning/National Land Agency (ATR/BPN). The unclaimed land will be utilised for the construction of flats (rusun).
“We have obtained idle land that is clear and clean. It is truly state-owned, controlled by the state, and ready for flat construction,” Ara stated in Jakarta on Tuesday, 14 July 2026.
Regarding the scheme, he said it could involve the Danantara sovereign wealth fund, the state budget (APBN), developers, or Corporate Social Responsibility (CSR) programmes. “We will devise the scheme for the builders. I have reported that the first option could be Danantara, the second the APBN, the third developers, and the fourth CSR. There are four patterns,” he explained.
On the same occasion, Ara also announced that land owned by PT Kereta Api Indonesia (Persero) or KAI in the Tanah Abang area of Jakarta will be used to build one thousand flat units. “In Tanah Abang, the land is clearly clear and clean. We will soon build there with Astra. Astra will provide its CSR to construct one thousand flat units,” he said.
Furthermore, PT KAI’s land in Kiara Condong, Bandung, will also be developed into flats. “The land from KAI in Kiara Condong is already clear and clean. I am working with KAI and Astra to commence immediately, along with the Mayor and others regarding permits in the city of Bandung,” he added.
Ara had previously stated that housing provision in urban areas is directed towards vertical residential development. He noted that the problem of housing supply, particularly in urban areas, is faced with limited land for house construction. The home ownership backlog remains a major issue; nationally, the backlog stands at 9.6 million units based on the 2025 National Socio-Economic Survey (Susenas). Ara said that flats are a key concern for President Prabowo and the Head of the Housing Task Force, Hashim Djojohadikusumo. The Ministry of Agrarian Affairs and Spatial Planning/National Land Agency (ATR/BPN) is strengthening its support for the National Strategic Programme (PSN) through the development of vertical residential settlements.