REAL Accelerates Property Business Expansion Through Groundbreaking Low-Cost Housing Project with Riscon Group
PT Repower Asia Indonesia Tbk (“REAL”) has strengthened its business expansion strategy in the property sector by establishing a strategic partnership with PT Ardias Bayu Pratama (“Riscon Group”) for the development of subsidised housing projects for low-income communities (MBR).
The collaboration was marked by a groundbreaking ceremony for a residential project located in the Grand Riscon Darmaga residential area, Leuwiliang District, Bogor Regency, West Java, situated on land owned by Riscon Group. The ceremony was attended by senior management from both REAL and Riscon Group as the symbolic launch of construction.
“This synergy represents a strategic step for the company to expand its property development portfolio, particularly in promoting business expansion in the affordable housing sector for the low-income segment, which has substantial demand in Indonesia,” said Aulia Firdaus, REAL’s Chief Executive, in his remarks.
Firdaus added that through an Operational Cooperation scheme (KSO), the project is designed to optimise the strengths of each party whilst capitalising on the high demand for affordable housing in Indonesia. He noted that subsidised housing development programmes also present significant growth opportunities for property developers, given Indonesia’s substantial unfulfilled housing needs. With this market potential, low-income housing development is considered to have strong long-term growth prospects and could provide positive contributions to the company’s business performance.
Under this cooperation arrangement, REAL is responsible for infrastructure development and housing construction, whilst Riscon Group provides the development land and handles marketing and sales activities. This cooperation structure is expected to accelerate project realisation whilst optimising monetisation potential from the area’s development.
Beyond expanding the company’s property development portfolio, this strategic move also demonstrates REAL’s commitment to supporting the government’s programme to build 3 million homes for Indonesian communities announced by the Prabowo Subianto administration. Through this partnership, the company aims to play an active role in accelerating the provision of adequate and affordable housing whilst strengthening its project development pipeline.
“We are optimistic that this collaboration will not only support the government’s programme but also contribute positively to the company’s future performance,” Firdaus concluded.
On the same occasion, Riscon Group’s CEO and chairman of the Indonesian Housing Developers Association (Himperra) for the 2023–2027 term, Ari Tri Priyono, expressed his optimism about the collaboration: “With our experience in low-income housing development and support from Repower as a strategic partner, we are confident that the residential project at Grand Riscon Darmaga can proceed smoothly and provide tangible benefits to communities in need of affordable housing.”
Through this collaboration, REAL and Riscon Group hope to continue actively participating in meeting national housing needs, particularly in the rapidly developing Jabodetabek region, whilst strengthening the company’s position in Indonesia’s affordable housing development sector.