Rp 8.2b used to clear brothel land

Rp 8.2b used to clear brothel land

JAKARTA: City Administration claimed on Friday to have used Rp
8.2 billion (US$820,000) for the acquisition of 5.6-hectare land
and buildings at former Kramat Tunggak brothel complex in North
Jakarta.

Speaking in a press conference at the City Hall, Deputy
Governor for Social Welfare Affairs Djailani admitted the owners
of the properties have no land ownership certificates and
building permits.

"But they have bills stated that their land were bought from
the administration in 1970s and the mayoralty ordered them to
build the buildings at that time," Djailani said.

He denied that the administration had acquired the land twice
in 1970s worth Rp 5 million and one year after the brothel was
closed in 1999.

North Jakarta Mayor Soebagyo admitted that according to the
government regulation the owners should only receive 20 percent
from the price stated in the property tax (NJOP) since they do
not have any certificates.

"But after a long discussion with the owners, we agreed to pay
90 percent from the (NJOP) since they have the bills," Soebagyo
said.

He said the market price in the area was Rp 2.5 million per
square meter while the NJOP was Rp 1 million.

He said the buildings were paid between Rp 300,000 and 400,000
per square meter since many of them are two story-buildings.--JP