Jokowi to Sell Lands of New Capital City to Public Directly

TEMPO.CO, Jakarta - President Joko Widodo or Jokowi said that the government planned to directly sell lands in the future capital city to the public. He made the statement after a meeting with mass media chiefs in State Palace, Tuesday, September 3. The direct land sale is one of the options to finance the new capital construction.

According to him, the government has prepared 180,000 hectares in Penajam Paser Utara regency and Kutai Kartanegara regency. The first stage of the project will use 40,000 ha, which 10,000 ha of them will be designated for the administration office.

“So people can own the remaining lands. It will not be through a developer, like today’s property market. I think if we sell it for Rp2 million per square meter, it will not be costly. We can check the land price in the outskirt areas of Jabodetabek, it even reaches Rp5 million,” said the President.

The Indonesian Real Estate Developers Association (REI) secretary-general, Paulus Totok Lusida, opined the land management and sale should be through developers before reaching the end-users or consumers to assure it runs neatly.

“If possible, the land should be offered to REI first so we can create the design, the plot, and the environment to make it ready to be developed in conditions that the government set the price. REI will support,” said Paulus on Tuesday, September 3.

As for the land price proposed by Jokowi at Rp2 million per square meter, he opined it is affordable.

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