Mochtar Riady Donates 31.2 Hectares of Land in Meikarta to Danantara for Low-Income Housing Development
Supporting President Prabowo Subianto’s priority programme to develop 3 million homes, Lippo, through its founder Mochtar Riady, has donated land measuring 31.3 hectares valued at a total of 6.2 trillion rupiah for the construction of subsidised apartment blocks. The land deed was presented by Mochtar Riady to Rosan Perkasa Roeslani, Head of the Investment Management Agency (BKI) Daya Anagata Nusantara (Danantara). The handover was witnessed by Hashim Djojohadikusumo, Chair of the Housing Task Force and Special Envoy to the President, and Minister of Public Works Maruarar Sirait. The 52-tower apartment complex comprising 126,000 units, to be constructed by Danantara, is targeted for completion by 17 August 2028.
“Apartments for low-income communities (MBR) will be built in three phases. The first phase is valued at 14 to 16 trillion rupiah,” said Rosan at the ground-breaking ceremony for the low-income apartment project in Meikarta, Cikarang, Bekasi, on Sunday, 8 March.
According to Rosan, the land will be used to develop housing for low-income households as part of the national housing programme launched by President Prabowo Subianto. The project will be developed by Danantara and is targeted for completion on 17 August 2028. “Development will be conducted in three phases,” he said.
In the first phase, Rosan explained, the project requires investment of approximately 14 to 16 trillion rupiah. Overall, the area is planned to consist of 51 tower apartments with approximately 126,000 housing units.
“What is important today is that Danantara supports the government programme and takes the first step today, and will execute this project,” he said.
The project, continued Rosan, is part of the government’s programme to develop 3 million housing units initiated by President Prabowo Subianto to accelerate the provision of housing for the population.
Rosan explained that the construction of 126,000 subsidised apartment units in a single area represents a major step that rarely occurs in a single project. He believes the Meikarta project will deliver widespread economic impact, from job creation to stimulating economic activity across various sectors.
“When you consider it, 126,000 units is an extremely large number. The multiplier effect is also extraordinary, both from job creation, community empowerment, and increased economic activity,” he said.
He stressed that Danantara is ready to support the financing of 18 towers of subsidised apartments in the first phase in the Meikarta area valued at 14 to 16 trillion rupiah. Danantara will provide full financing support for the housing project as it is assessed to have considerable market demand potential.
“In terms of financing, we will provide full support. Because when we look at it, this is a very good project, and supply and demand are substantial,” Rosan concluded.
The land donated spans approximately 31.3 hectares with an estimated land value of approximately 20 million rupiah or more per square metre, making the total value of the donation approximately 6.2 trillion rupiah.
“The land is approximately 31.3 hectares. Calculated at a value of around 20 million rupiah per square metre, the total value is approximately 6.2 trillion rupiah,” said Maruarar.
Maruarar expressed appreciation to a number of figures who played a role in advancing the project realisation, particularly Housing Task Force Chair Hashim Djojohadikusumo, who has been an active figure driving acceleration of the programme, and Danantara CEO Rosan Roeslani. Collaboration between government and the private sector in this project exemplifies how the national housing programme can be executed more swiftly and effectively.
“We hope the development of subsidised apartments in Meikarta will provide significant benefits to the community whilst being part of efforts to realise the government’s major programme in providing decent housing for Indonesian people,” he said.
The donation of 31.3 hectares, according to Maruarar, is the largest land donation received by the government since President Prabowo launched the 3 million housing programme. He expressed appreciation to Mochtar and Lippo for supporting the major national housing programme.
On the same occasion, Hashim stated that the government’s 3 million housing development programme initiated by President Prabowo is not merely a housing project, but also a major strategy to drive the national economy whilst improving community welfare.
“This is a true example of Indonesia Incorporated when government, business, and various parties work together for the nation’s interest,” said Hashim.
Hashim conveyed that currently, approximately 9 to 15 million families need housing and approximately 27 million Indonesian families live in substandard homes. Housing development should exceed 3 million units annually to close the gap. Housing construction currently underway delivers extraordinary economic impact as 180 sectors contribute each time housing is developed.
“Therefore, the housing programme will boost economic growth by approximately 2 per cent annually. Combined with industrial sector development and others, the target economic growth of 8 per cent can be exceeded,” said Hashim. Hashim expressed appreciation to Lippo for donating more than 31.3 hectares of land for the construction of subsidised apartments.
“I wish to thank our host, Pak Mochtar (Lippo founder, Mochtar Riady) and Pak James (Founder and Chair of Pelita Harapan Foundation, James Riady) who have donated the land. This is a historic and extraordinary step,” said Hashim.