Negotiation Process Still Ongoing, Execution of Sultan Hotel Requested to be Postponed

Jakarta, VIVA - The plan to execute the evacuation of the Sultan Hotel area is deemed to should be postponed because the negotiation and mediation process between the parties is still ongoing, and the opportunity for peace is said to be increasingly open.

That statement was delivered by Hamdan Zoelva as the legal representative of PT Indobuildco. “If the negotiation and mediation process is ongoing, especially since peace will soon be achieved, then the execution should not be forced. The court must view this case holistically, not just from the formal side of the execution determination,” said Hamdan to reporters on Thursday, 7 May 2026.

Hamdan assessed that the execution determination cannot be interpreted as all legal issues having been resolved. According to him, the legal process related to the Sultan Hotel area is still ongoing, and there is still room for resolution through negotiation or mediation channels.

“PT Indobuildco respects the court and every ongoing legal process. However, the execution of Sultan Hotel should not be forced. Every execution plan must truly adhere to the law and must not ignore legitimate rights, workers’ rights, tenants, and other affected parties,” he stated.

He explained that in the civil decision Number 208 of 2025, which ordered the evacuation of the Sultan Hotel area, the panel of judges also considered the importance of fair resolution through negotiation and peace.

According to Hamdan, that consideration aligns with the Judicial Review Decision Number 276 PK/Pdt/2011, which affirmed that PT Indobuildco’s rights as an investor existed previously, including the investments that have been planted on that land.

“That PK decision affirmed that because Indobuildco’s rights as an investor existed previously along with the investments that have been invested, the parties should make efforts to resolve it through negotiation to achieve a fair outcome for both sides. This is important to maintain the investment climate in Indonesia,” he said.

Additionally, Hamdan emphasised that the object of the dispute in that case is the land of the Sultan Hotel area, not the ownership of the buildings or the hotel business.

He stated that the Sultan Hotel building is not a Build, Operate, Transfer (BOT) scheme, so it cannot simply be executed or taken over.

“If the building is to be taken or executed, then there must be a legal mechanism and compensation payment,” he said.