Indonesian Political, Business & Finance News

PPKGBK Clarifies No Sale or Grant of Hotel Sultan Land, Only a 30-Year Usage Permit

| Source: VIVA Translated from Indonesian | Legal
PPKGBK Clarifies No Sale or Grant of Hotel Sultan Land, Only a 30-Year Usage Permit
Image: VIVA

The Gelora Bung Karno Complex Management Centre (PPKGBK) has revealed that there was no process of sale, purchase, or grant of Hotel Sultan to PT Indobuildco. This was conveyed by PPKGBK’s Legal Counsel, Chandra Hamzah, during the execution of the Hotel Sultan eviction on Thursday, 18 June 2026. Chandra explained that the process to reach the execution stage to secure this state asset took 20 years, starting from 2006 and only being implemented in 2026. ‘So, based on the decision of the Central Jakarta District Court and the execution determination from the Central Jakarta District Court, the eviction execution is carried out today, 18 June 2026,’ Chandra told reporters.

He further explained the status of the land, stating that the government had acquired the land between 1958 and 1962 for the implementation of the 4th Asian Games in Jakarta. ‘The original land acquisition evidence exists. So it’s not just talk. This is one example of the land acquisition evidence from 1958 to 1962,’ he said. In this case, PT Indobuildco was given permission to use the land for 30 years. ‘There was no sale, no release of land rights, no inheritance, no grant, no transfer of rights from the Government of the Republic of Indonesia to Indobuildco. None at all, only a permit to use,’ Chandra stated.

After using the land for 30 years, the permit was extended for another 20 years, which led to legal issues. ‘In 2023, the HGB (Right to Build) expired, and then PPKGBK and the Ministry of State Secretariat sought the return of this land. And today we have executed it, we have carried it out,’ he said. Regarding state assets, Chandra mentioned that they must comply with Minister of Finance Regulation Number 115/PMK.06/2020, and all utilisation must be in accordance with this regulation. ‘Do not force us to violate this PMK. Everything must comply with this PMK. So there is no need for us to speculate, daydream, or imagine various things. As a state asset, its utilisation must comply with the PMK,’ Chandra concluded.

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