Real estate complexes offer a home of one's own

Real estate complexes offer a home of one's own

The monetary crisis has put paid to many dreams for the country's middle class and for those who had finally begun to carve out a better quality of life for themselves.

It may be cold comfort for many to hear, as prices spiral out of control, rice becomes a luxury purchase and pink slips land with a sobering thud on desks, but the devastating crisis must and will eventually run its course.

Although the property market has bottomed out and most of the country's building contractors are reportedly insolvent, there is always one strategic investment in the future -- a home in a real estate complex.

Forget cellular phones, designer clothes and the nifty new gadget guaranteed to worm its way ever-so-briefly into people's hearts.

A home of one's own, in contrast, is the dream of all, a means to stake independence and a prospective money-spinner for sale or rental when the storm of recession finally passes.

The array of houses on offer in real estate complexes is great, ranging from luxurious beachfront mansions on Jakarta's north shore to more modest but comfortable homes in satellite cities.

Adji, a flight attendant, grew up in the Central Jakarta suburb of Pejompongan. When his aging father sold the family home, Adji advised him to purchase two houses in the burgeoning real estate complexes on Jakarta's periphery.

Before the crisis, the investment paid off handsomely for the family.

"I was able to rent out this house to a foreign couple for two years on a dollar-based rent," Adji said in the comfortable living room of one of the homes in a Tangerang real estate complex. The area has full security, pleasant, carefully tended lanes and on-site sports facilities.

Adji's investment strategy was to use selling points of new furniture and the conveniences of a microwave and standard electric oven.

The foreign couple has since returned home, and Adji is occupying the vacant home at present until the economic situation makes its rental a viable possibility.

He remains pragmatic about the investment, seeing the long- term potential and the gains already made.

"For the time being, I would be willing to rent it out in rupiah because there are really no takers for it on its dollar rate (US$800 per month)," he said. "But at any rate, I am making a profit because everything is paid for."

Real estate complexes sprouted up across Greater Jakarta during this decade, particularly in the boom years of the early 1990s.

But even before the boom went bust, it was a case of buyer beware in picking a legitimate developer who would stick to his or her promises made in glossy promotional brochures.

Cases have surfaced of hapless prospective home owners left in the lurch after making hefty down payments, or of real estate complexes where basic infrastructure and promised amenities are still lacking years after the groundbreaking took place.

Developers are also obligated by law to set aside a portion of funds to develop amenities for poorer surrounding communities, a requirement which some have apparently flouted by building shoddy structures or nothing at all.

Thankfully, these cases are the exceptions, and most buyers find satisfaction in their new homes.

Kiki, an account officer for a state bank, grew up poor in Bandung, West Java, one of nine children of a widowed employee of the local office of the State Logistics Agency.

He worked and studied hard, setting a goal to better his life and that of his family.

Today, married and with twins, he owns a small but comfortable home in a real estate complex in Jatibening.

"Of course, things are difficult now, with the higher interest rates in particular, but this home is everything we need," Kiki said. "All the facilities are here or within easy reach.

"If I want to play tennis, for instance, there are two courts here which I can use anytime."

Like Kiki, most purchasers of real estate complexes are seeking comfort and convenience. They want to be far from the madding crowd of Jakarta -- in a place where they can still smell the roses and hear the birds singing -- but at a location within easy reach of work and all of the attractions of the big city.

Many of the major real estate complexes and developments are located on Jakarta's fringes, such as Tangerang. The construction of major highways has cut travel time to and from the capital; a new road connecting Tangerang's Serpong area and Jakarta may be open before year's end.

In addition to comfortable homes offered in affordable price ranges, buyers put a priority on surrounding facilities, such as shopping centers, entertainment centers, schools and transportation services.

A stone's throw away from Adji's complex is a row of small shops offering everything from local food specialities to laser disc rental, a Hero supermarket, a cineplex, fast-food restaurants, a fitness center and a Makro wholesaler.

"I do go to Jakarta a lot because my family and many of my friends are there and because it is easy just to get on the toll road," he acknowledges. "But I can just as easily spend the whole day here doing anything I want."

Adji, still single, does not have family concerns to think of at present. But for Kiki and Budi, an employee of a private chemical company, the safety and comfort of their children are of paramount importance.

Both Budi and his wife work, and, he said, he can have peace of mind knowing that his children, aged five and eight, are safe in the complex's security system.

"Our driver picks the kids up from kindergarten and school, both of which are in our complex, and brings them back home. My wife and I can rest assured that everything is all right with them because we know the security guards and their routines."

He also puts out that residents get to know their neighbors -- at the very least on nodding terms -- compared to the big-city impersonality of areas in Jakarta.

"Your neighbors know you and so they look out for you, too," said Budi.

Neighborhood solidarity was perhaps given its greatest test during the mid-May riots, when some real estate complexes were targets of rampaging mobs.

After the mayhem had died down, Jakarta and its surroundings lived in a climate of fear as rumors swirled of the likelihood of renewed violence.

Complexes organized neighborhood patrols, with residents banding together on night watch to ensure the security and safety of their areas.

And the sleepless nights brought an unexpected reward of greater familiarity with neighbors and tightening of communal bonds.

"It was a case of all of us together in the same situation," says Kiki. "In the past, many of the wealthier residents wouldn't bother to do the neighborhood patrol but would, instead, just slip a couple of thousand rupiah to the security guard to get out of it.

"But in May, everybody did their part, and it helped us all get to know each other better because we all depended on each other."

Infrastructure and provision of complete services also makes a difference.

With hectic schedules, Budi and his wife do not want to be concerned about garbage collection or sanitation, both of which are taken care of by the complex management.

One of the new complexes is Country Woods Estate, set in the heartland of southwest Jakarta. Located on 20 hectares and with 137 units, its beautiful, tranquil surroundings are within easy access of all necessities.

Its convenient location is central to Bintaro Plaza, Blok M Mall and Pondok Indah Mall. A short eight kilometer drive away are the international schools of Britain and Japan, plus the Jakarta International School and Global Jaya.

The estate is completely self-contained, with its own supplies of water and electricity, 24-hour security and full sports facilities and children's playgrounds.

-- Bruce Emond