Thais set to relocate `embassy row'

JAKARTA (JP): The Royal Thai Embassy will soon join other foreign missions in relocating its office to "embassy row" on Jl. H.R. Rasuna Said, more popularly known as Jl. Kuningan.

The embassy yesterday bought a plot, measuring 5,000 square meters, in the Grand Kuningan Diplomatic and Business Estate.

The transaction was the culmination of three years of negotiations between the embassy and the estate's developers, PT Abadi Guna Papan (AGP) and state-owned PT Rajawali Nusantara Indonesia (RNI).

It also includes the construction of the embassy building.

The Thai embassy is currently located on Jl. Imam Bonjol in the Menteng district. However, the government has been encouraging all embassies move to the Kuningan area as Menteng will soon be strictly zoned as a residential area.

The estates' future diplomatic tenants are expected to number at least 45. Other embassies which will relocate include the Republic of Singapore and the People's Republic of China.

"We will start design and construction as soon as we know the exact procedures required by city government," Ambassador Kasit Piromya said after the signing yesterday.

The president of RNI Sumargono said the transaction would guarantee the land would be free of any claims from third parties in the future.

RNI and AGP would provide infrastructure and supporting facilities, and the embassy would determine the building's design and structure, he said.

Sumargono explained that the embassy would have to begin construction within two years "otherwise the deal will have to be reviewed".

A marketing staff of Grand Kuningan, Dodit Ardimianto, said the Thai embassy paid $2,000 a square meter, well below the current market price of $2,500 a meter, because "they are our first customers."

General Manager of Grand Kuningan, Pudjojoko, explained that RNI and AGP obtain an even share of 50 percent from their joint operations.

RNI deals with legal matters, such as land acquisition, and AGP -- a subsidiary of the Bimantara Citra Group -- manages the technology and development aspects of the estate, he said.

The Bimantara Citra Group is owned by President Soeharto's son Bambang Trihatmodjo.

Grand Kuningan covers a total area of 50 hectares. Some 30 hectares have been allocated for buildings and commercial use and 40 percent for infrastructure and supporting facilities.

Sumargono said that of the 30 hectares, only seven hectares have been sold. "We expect the rest to be sold within the next three years," he said. (pwn)