PT Indobuildco Insists That the Sultan Hotel Building Cannot Be Executed by the Government

JAKARTA, KOMPAS.com - The legal representative of PT Indobuildco, Hamdan Zoelva, stated that the Sultan Hotel building in Central Jakarta cannot be executed at will by the government. The object of the dispute between the government and PT Indobuildco is the land area of the Sultan Hotel. “The Sultan Hotel building is not part of a Build, Operate, Transfer (BOT) scheme, so it cannot simply be executed or taken over,” Hamdan said when confirmed by Kompas.com via text message on Friday (8/5/2026). According to Hamdan, if the building is to be taken or executed, there must be a legal mechanism and payment of compensation. Furthermore, Hamdan reminded that the Sultan Hotel area does not only concern land issues but also business activities, employees, tenants, business partners, and the continuity of a business that has been running for decades. In addition, if a takeover occurs without a basis and valid mechanism, it has the potential to harm legal certainty, human rights, and business confidence in the investment climate in Indonesia. “PT Indobuildco is not opposing the state. The stance taken is to ensure that every legal process runs fairly, carefully, and does not ignore legitimate rights,” he added. The determination grants the request for execution of the evacuation of Block 15 submitted by the Minister for State Secretary and the GBK Land Management Agency through their legal representatives. “The Central Jakarta District Court considers that the request for execution of the evacuation has complied with the law and therefore issues a determination for the execution of the evacuation,” said the legal representative of the Minister for State Secretary and the GBK Land Management Agency, Kharis Sucipto, in a press statement from the GBK Land Management Agency confirmed by Kompas.com on Monday (4/5/2026). In addition, according to him, the government’s legal position is currently very strong and is not affected by other administrative legal efforts. Meanwhile, the government ensures that the execution of the evacuation of the Sultan Hotel area block will be carried out in the near future.