Plush new hotel for historic Menteng site

JAKARTA (JP): A city-owned developer plans to build a luxurious hotel in a plush Central Jakarta area on the spot where an old historic building now stands, it was revealed yesterday.

The project on Jl. Probolinggo and Jl. Sutan Syahrir, Menteng, will begin next March, the director of PT Pulo Mas Jaya, Iman Sunario, said.

The two-story building which is on the site now was built in 1930s during the colonial era.

The city has leased it as apartment space since acquiring it from the Dutch government.

Tenants were evacuated in 1994 when the company began the hotel project's blue prints, he said.

A 1975 governor's decree states Menteng is preserved for its historical significance and categorizes each building according to its historical and architectural value.

"Since the building's significance falls into the lower category, the City Arrangement and Renovation Agency has approved the plan," Iman said.

A study conducted by the city shows the Menteng area needs more hotels in line with the government's goal to make Jakarta a service and tourist city, he said.

Since the city's 2,558 square meter plot is not big enough to build a four star hotel, the company will build a boutique hotel that still has international standard facilities.

"This kind of hotel is designed for those who want luxury but are nevertheless financially constrained," he said.

Iman said the city expected half of the hotel's guests to be foreigners and the rest government officials from other regions because the location is close to several foreign embassies and government offices.

The nine-story hotel will have nine conference rooms, each big enough for about 20 people. "Such conference rooms are in great demand, nowadays," he said.

The company will invest about Rp 40 billion (US$17 million). It will fund the project from its owns equity and a loan from the city-owned bank and foreign syndications.

Iman said PT Pulo Mas Jaya has proposed four companies to operate the hotel, with France's Accor Asia Pasific of France at the top of the list.

"We have yet to decide which company will operate the hotel, it will depend on the results of our negotiations with all of the companies," he said.

Governor Surjadi Soedirdja, who approved the plan, urged the company to take cautious measures before signing any contract, to ensure investors did not lose their money.

"The hotel operator themselves should invest in the project so as to encourage their participation in making profit," he said.

However, H.M. Zakiruddin, a councilor from Commission E in charge of public welfare, reminded the city government of the need to maintain the old building's artistic value.

"Keep the regional characteristic of Betawi (old Jakarta) especially to attract foreign visitors," Zakiruddin said. (02)