Tangerang expect bigger revenues

TANGERANG: Despite a sluggish property business during the prolonged economic crisis, the Tangerang regency announced on Sunday it expected increased revenues from the collection of building permit issuances this fiscal year.

The head of the Tangerang regency's building agency, Adil Darmawan, expressed confidence that an increasing number of developers would apply for permits to enable them to build or rebuild properties in the area.

"The target in the collection of fees from the building permit issuance this 1998/1999 fiscal year is Rp 1.5 billion (US$180,000). Up to last month we had already earned Rp 1 billion," he said.

Adil explained that his confidence was based on the widely diversified Lippo Group's plan to continue with construction projects in the area.

Adil also disclosed that major garment manufacturer PT Texmaco planned to take over the Kota Tigaraksa project, which is currently being supervised by PT Panca Wiratama Sakti (PWS).

"PWS is regarded as having failed to see through the project," Adil said without elaboration.

Adil said PWS and PT Texmaco were still in the process of negotiating the details of the deal.

The head of the Tangerang regency's planning and development board, Bunyamin, confirmed that no official notification was available, but he expected PT Texmaco to settle all the problems, concerning the completion of the Kota Tigaraksa project, which was designed as the new capital of the regency.

"I hope PT Texmaco can take over the project as soon as possible and we're ready to help modify the contract between the regency and PT PWS," Bunyamin said. (41/emf)