Wed, 23 Aug 2000

Properindo leases to expatriates

JAKARTA (JP): City-owned property developer PT Sarana Wisesa Properindo officially offered expatriates on Tuesday the opportunity to lease 12 upmarket houses, a move aimed at giving the city an infusion of cash.

The fully furnished houses stand on a 3.7-hectare plot and are located on Jl. Pejaten Raya in Pasar Minggu, South Jakarta. The houses also come with a 24-hour security service.

"We are offering two types of houses to our customers. First are four 250-square-meter houses and the second are eight 350- square-meter houses," company director Dede Chatab said during a media conference at the housing estate.

"The rental price varies from US$1,000 to $1,500 (a month) depending on the type (of house) and the length of stay. We require a minimum stay of six months," he said, adding that tenants could specify how they wanted their house furnished.

The rental fee includes the service charge, but excludes electricity, water and telephone.

Dede said the estate would be further developed and more facilities would be added to attract tenants.

"Currently, there is already an indoor sports hall and 24-hour security service. We'll build a clubhouse and a swimming pool to give more amenities to our tenants," he said.

The estate was initially intended to house the city's high- ranking officials, but because most of the officials owned their own houses in the city none of them moved to the estate.

City councillors on Commission B on economic affairs then suggested the administration find a way to utilize the estate. The administration transferred the estate to land developer PD Sarana Jaya in 1999 on condition it not sell the houses.

PD Sarana Jaya, whose core business is land financing, subcontracted the estate to its affiliated firm PT Sarana Wisesa Properindo.

"Leasing the houses is one of our efforts to increase our revenue, because the city administration cannot provide cash for its companies anymore. Instead, the companies are required to contribute more to the city budget," PD Sarana Jaya president Hari Sanjoyo said at the conference.

"And since it's not our core business, we had to set up a subsidiary to handle the business," he said.

PD Sarana Jaya is preparing to begin work on several other projects in the near future.

"We'll renovate and revitalize Kebayoran Plaza on Jl. Kyai Maja to become a sales center for computers and computer accessories. It will cost some Rp 30 billion to Rp 40 billion, with construction starting next year," said Hari.

Hari also revealed his company had set up an information technology company, PT Inti Data Sarana, as a way of diversifying its business.

"PT Sarana Wisesa Properindo is cooperating with web developer PT Kepstra to establish the new company. So technically the new company is my 'grandchild,'" he said with a laugh.

"We will establish websites for all city-owned and jointly owned companies to increase our competitiveness in anticipation of the open market," he said.

The president of PT Inti Data Sarana, Adil P. Mangkusubroto, said his company would be involved in a variety of activities besides web development.

"We'll also be involved in front-end and back-end development activities of local area networks, metropolitan area networks, wide area network integrator systems, training as well as maintenance," he said. (nvn)