Mon, 06 Oct 2003

New apartment development launched

Sari P. Setiogi, The Jakarta Post, Jakarta

Property developer Agung Podomoro Group has started developing a new high-end apartment project, the Pakubuwono Residence, in South Jakarta.

Built on a 3.6-hectare site, the project will have five towers with a total of 639 apartment units. About 80 percent of the land will be dedicated to green areas and facilities such as a swimming pool, jogging track and gazebo.

The company's chief executive officer, Anisa Himawan, said during a media conference on Saturday that the construction work was expected to be completed by the end of 2005 and buyers could start occupying their apartments early in 2006.

She said the firm will invest more than Rp 1 trillion (US$118 million) in the project.

The smallest apartment measure 151 square meter with the price being about Rp 10 million (US$1176.47) per square meter.

Anisa said about 50 percent of the total units had been sold.

Anisa was optimistic about the project's prospects, saying that the well-off now preferred apartments to houses.

Deputy Chief Project Management, Kornelius Tjeuw Kie Khian, added that many Indonesians had bought high-end apartments abroad, such as in Singapore and China, as they found there was a shortage of such residential developments in Indonesia.

The Pakubuwono Residence is targeting this market segment, he said.

Separately, the construction project manager for the Pakubuwono Residence, Tetsuo Yamamura from Japan's Shimizu Corporation, said his company believed the construction business in Indonesia was promising, better even than Singapore.

"The economic situation is getting better and offering more opportunities for us. Indonesia itself is a large country with a lot of construction possibilities," he said, adding that Shimizu expected to take on more projects in the country.

Projects in Indonesia that Shimizu have been involved in include the Hilton Residence in Jakarta, and the Nusa Dua Hotel and Convention Center and Grand Hyatt Nusa Dua, both in Nusa Dua, Bali.