New apartment units sell like hotcakes
New apartment units sell like hotcakes
T. Sima Gunawan
Contributor/Jakarta
Apartment units, be they mid-market or exclusive, are selling
like hotcakes. When it comes to comfort, money apparently does
not matter.
A number of developers contacted by The Jakarta Post confirmed
that their properties were selling well. Interestingly, many
people are so eager they buy units long before construction is
completed.
The Capital Residence, which opened just last month, says 40
percent of its 258 exclusive apartments, including its six
penthouses, have been sold.
The units, between 151 square meters and 322 square meters is
size, sell for Rp 2 billion (about US$210,500) to Rp 3 billion.
The Capital is situated in the Sudirman Central Business District
in Central Jakarta, one of the prime locations in the city.
The Peak, currently under construction on Jl. Setiabudi, which
is quite close to Jl. Sudirman, received a positive response from
apartment buyers during its prelaunch sales.
About 48 percent of its 351 luxury apartment units were sold
during prelaunch sales in March 2004. When it officially opened
in May, total take-ups reached 60 percent.
"And now about 75 percent of the apartment units have been
sold," said Veri Y. Setiadi, the executive director of The Peak.
"Each unit costs between Rp 1.2 billion and Rp 7.5 billion."
Another apartment building, the View Executive Residence,
located in Kemayoran, Central Jakarta, also reported good sales.
The property was introduced in August 2004 but sales began
only three months ago. So far, almost 30 percent of its 441 units
have been sold, according to Suhandi, head of the marketing
department.
Those units in highest demand, he said, were the ones with
price tags of between Rp 300 million and Rp 1.7 billion.
The View also has several "very special" units, including four
Royal Suites, three Royal Suite Garden units and two penthouses,
each costing between Rp 3 billion and Rp 7 billion. The
penthouses are located on the 39th and 40th floors and each
measures 650 square meters.
Like other metropolitan cities throughout the world, Jakarta
has seen the development of numerous apartment buildings over the
past decade. The market was quite gloomy for some time due to the
economic crisis that hit in 1997, but business is thriving now as
the economy continues to recover.
According to property consultants, most buyers purchase
apartments not to live in but as an investment. Most of the
buyers lease the apartments and then sell when property prices
rise.
Location remains buyers' main consideration in choosing an
apartment. People prefer apartments in the heart of the city,
near office buildings and other support facilities such as
shopping malls.
Design is another important factor. Djoni Suyanto, the
director of The Capital Residence, said the apartment building
used a unique architectural concept based on the structure of the
ancient temple complex Prambanan in Central Java.
The apartment building won the Autodesk 2005 Design Excellence
Award from Architecture Asia magazine.
Meanwhile, The Peak has been named one of the 50 best
apartments in the world. The Peak has four towers, two of them
facing south with 35 floors each. The other two towers face north
and have 55 floors. Soaring to a height of 225 meters, they will
be the highest twin towers in Asia.
Most of the new apartments in Jakarta were built as an
integral part of large building complexes that also include
shopping malls, offices and hotels.
The View is, for example, part of Mega Glodok Kemayoran, which
includes a shopping center and office space. Senayan Residence in
South Jakarta is located at the same site as Plaza Senayan.
The Summit, under construction at the new business district in
Kelapa Gading, East Jakarta, is quite close to Mal Kelapa Gading.
Most of these apartments offer the same things: comfort, 24-
hour security and sport facilities, from swimming pools and
tennis courts to jogging tracks and even golf courses. Other
facilities offered by some apartments include preschool, music
schools, spas, libraries, restaurants, business centers, beauty
salons and ATMs.
Gatot Sedyadi, general manager for marketing at The Pakubuwono
Residence, an exclusive apartment building in South Jakarta, is
not worried about the tight competition in the market.
"We see the competition as a positive thing, meaning that the
more apartments being constructed, the more convinced people are
that 'apartment living' is the future of living in a big city,"
he said.
He also observed that there had been a change in the lifestyle
of people in the city. Unfortunately, this has not been followed
by the proper development of infrastructure like roads and the
transportation system.
Therefore, living in an apartment located in the city center
is more desirable so people can get to work on time.
The Pakubuwono Residence, whose units sell for between Rp 2.4
billion and Rp 18 billion, was especially designed as a residence
and is not integrated with offices or commercial units.
It is located on a 4.2 hectare plot of land in a residential
area in Kebayoran Baru. Only 18 percent of the land is being used
for construction, with the rest of the land to be used for
gardens and outdoor facilities.
"All of the areas in The Pakubuwono Residence will be
handicap-friendly and will come with facilities to make them
accessible to the handicapped," Gatot said.