Post on 24-May-2019
Property Market Overview
IN BODETABEK AREA
Prepared by
Strategic Advisory - Coldwell Banker CommercialKawasan Bisnis Granadha, 12th Floor
Jl. Jend. Sudrman Kav. 50, Jakarta, 12930
COVERAGE OF PROPERTY MARKET
AREA
Property sectors that are covered in this analysis including COMMERCIAL PROPERTY and RESIDENTIALmarket in Greater Jakarta area…
BOGOR
DEPOK
TANGERANG SELATAN
BEKASI
KEY FACTORS THAT DRIVE THE REAL ESTATE MARKET
DemographicDemographic is considerable as one of the most important factors that affects realestate development characteristics as well as its market performance. A shifting indemographic profile and preferences will lead to differentiation in real estate markettrend.
Commercial Property GrowthAn existence and growth of commercial properties will bring competitive advantagesand attractiveness of real estate developments in certain area.
Government PoliciesLegislation generally plays a major role in determining property demand and prices,with deductions, subsidies, and tax credits being some of the ways that governmentcan boost demand for real estate.
Facilities and Major Infrastructure DevelopmentsInfrastructure being a mature factor that drive higher residential value with organizedretail and commercial establishments in its vicinity.
DEMOGRAPHICFACTORS
-
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
2012 2013 2014 2015 2016
Bogor Depok Tangerang Tangerang Selatan Bekasi
Total Population in Bodetabek Area
3.7%B e k a s i
3.5%D e p o k
3.4%Tangsel
2.6%Tangerang
1.5%B o g o r
1
The existence of industrial estates
35% of Bekasi's GDP is contributed by the industrial sector
Main considerations of working age population including :
Transportation costs
Accessibility, including to :
- business district
- commercial area
- industrial area
Physical characteristics and residential environment
Socio-economic composition
Site characteristics and ownership
Amenities and service quality
Working age population is a major demand generator for real estate market
Total Population by Age Group in Bodetabek Area
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
0-4 5-9 10-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75+
Productive Working Age 45.4%
GOVERNMENT POLICIESFACTORS
Spatial PlanRegional and City development plan
Growth pole and center of activities
Monetary PolicySoftening of LTV KPR ratio to 15%
Positive sentiment of Tax Amnesty program
“Sejuta Rumah” ProgramRusunami
Rusunawa
Landed house
2 Infrastructure PolicyMass Rapid Transit (MRT) Jabodebek
Light Rail Transit (LRT) Jabodebek
Toll road
Kertajati and Karawang airport
Commuter Line development (Jakarta Kota-Stasiun Cikarang)
Integrated transport Masterplan design of Tangerang region
Traffic policy in Jabodetabek area
FACILITIES & INFRASTRUCTURESFACTORS
TOLL ROADJORR II = 110 km11 toll road Jabodetabek
MRTPhase 1 : 15,7 Km – 2019
Lebak Bulus – Bundaran HI
Phase 2 : 8,1 Km – 2020
Bundaran HI – Kampung Bandan
Jalur Barat – Timur : 87 Km
Target operation 2024 – 2027
LRT JabodetabekPhase 1 : 18 station – 2019
Cibubur – Cawang
Bekasi Timur – Cawang
Cawang – Dukuh Atas
Phase 2
Cibubur – Bogor
Dukuh Atas – Palmerah – Senayan
Palmerah – Grogol
BRTExisting : 13 Corridors
New development : 2 corridors
Corridor 14 : Kalimalang – Blok M
Corridor 15 : Ps. Minggu – Manggarai
KRL72 station
3LRT JakartaKb. Lama – Klp. Gading (2018)
Cempaka Putih – Ancol (2018)
Toll Road in Jabodetabek
Tol Jagorawi1978
Tol Jkt - Cikampek1985
Tol Tangerang-Merak1987
Tol Wiyoto Wiyono1990
1983Tol Jkt - Tangerang
1986Tol Soedyatmo
1988Tol dalam Kota
1991JORR W2 Selatan
JORR Selatan -- 1995
JORR E1 Selatan1998
JORR W2U & E22001
2005JORR E1 Utara
JORR E3Tol Cipularang
1999Tol Serpong
Pondok Aren
2009Toll Gate
Alam Sutera
Bogor Ring Road2009-2014
Tol Cijago I2012
Tol Gate Cibatu2014
2010JORR W1
2012JORR W2 Utara
DEVELOPMENT PHASEALONG THE TOLL ROAD
Phase 01
Housing
Phase 03
Low-riseCommercial
& Facilities
Phase 02
IndustrialEstate
Phase 04
High-riseEstate
MRT and LRT in Jabodebek
MRT Jakarta
LRT Jakarta (inner city)
LRT JakartaConnecting with Bogor & Bekasi
Lebak Bulus
SetiaBudi
Karet
Dukuh Atas
Manggarai
Gor Soemantri
Kramat
Baranangsiang
Bekasi Timur
Cawang
Palmerah
BI
Senen
GalurPulo Mas
PRJ
Gading Mas
Kemayoran
Ancol TimurKampung Bandan
KotaAngke
Pesing
BandaraSoekarno-Hatta
JogloSlipi
Tanah Abang
Sentul City
Bukit Sentul
Taman Mini
Kp. Rambutan
Ciracas
Cibinong
Cibubur
Jatibening
Cikunir
Bekasi Barat
HOW
Housing and IndustrialHousing and Industrial Estate always the first propertywhich built based on population and accessibility. Bothare the first reacted on toll road.
ApartmentApartment influenced by accessibility and availability of publictransport. Accessibility could increase yearly supply 30- 40% p.a.
HotelHotel influenced by accessibility and activity, such asMICE and Tourism. Accessibility couldincrease yearly supply 10 - 30% p.a.
RetailShopping center rely on accessibility to get catchment area. Tollroad has influence the retail center supply up to 5-10% p.a.
INFRASTRUCTURE INFLUENCE PROPERTY SECTORS
OfficeOffice is the least influenced by the toll road. Officedevelopment rely on business activites
Bodetabek Development that Influenced by Infrastructure
BogorNo significant additional new toll road ortoll gate in the 30 years. Additional tollroad only comes from Bogor Ring Road.
BekasiAdditional toll road that connect Jakartafurther east (Cipularang, Cipali) makes theJakarta-Cikampek toll road alwaysincrease in traffic. New exit toll gate inCibatu open a new area in Cikarang.
TangerangAdditional toll road that connect Serpongfrom south. New toll gate (Alam Sutera)Jakarta Outer Ring Road connectTangerang from other areas.
COMMERCIAL PROPERTY FACTORS4
“It is seem that commercial property has strong
correlation to residential market performance in
Greater Jakarta”
BOGORPROPERTY GROWTH
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
-
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
< 1991 1991-1995 1996-2000 2001-2005 2006-2010 2011-2015 2016-2020
Hotel Apartemen Ritel Office
Bogor Commercial Development
units m2
Hotel
13%
Rooms hotel supply growth 13% p.a. in the last 10 years
Retail
7.3%
Retail space growth 7.3% p.a. in the last 10 years
ApartmentBogor Outer Ring Road has an impact on apartment sector
Jagorawi
1978Bogor Outer Ring Road
2009-2014Bogor Outer Ring Road 2
2018
DEPOKPROPERTY GROWTH
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
-
10,000
20,000
30,000
40,000
50,000
60,000
1991-1995 1996-2000 2001-2005 2006-2010 2011-2015 2016-2020
Hotel Apartemen Ritel Office
Depok Commercial DevelopmentToll Cijago
2012
Hotel
4X
Rooms hotel supply growth almost 4 times p.a. in the last
10 years
Retail
42%
Retail space growth 42% p.a. in the last 10 years
ApartmentCijago Toll Road has a significant impact on apartment sector
TANGERANGPROPERTY GROWTH
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
-
5,000
10,000
15,000
20,000
25,000
30,000
1991-1995 1996-2000 2001-2005 2006-2010 2011-2015 2016-2020
Hotel Apartemen Ritel Office
Tangerang Commercial Development
units m2
Jkt - Tangerang
1985
Serpong
Pondok Aren
1999
Pintu Tol
Alam Sutera
2009
Tangerang - Merak
1987
2010
JORR W1
JORR W2.U
2013
Ulujami
Serpong
2004
JORR 2
Serpong -Cengkareng
Future Development
Hotel
31%
Rooms hotel supply growth 31% p.a. in the last 10 years
Retail
12%
Retail space growth 12% p.a. in the last 10 years
Office
22%
Retail space growth 53% p.a. in the last 10 years
BEKASIPROPERTY GROWTH
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
0
5000
10000
15000
20000
25000
< 1991 1991-1995 1996-2000 2001-2005 2006-2010 2011-2015 2016-2020
Hotel Apartemen Ritel Office
Bekasi Commercial DevelopmentJkt - Cikampek
1985
2007
JORR Hankam
Raya - Cikunir
Cipularang
2005
2003
Pintu Tol
Delta Mas
Pintu Tol Grand Wisata
2007
2014
Pintu Tol Cibatu
Tol Becakayu
2018
Hotel
21%
Rooms hotel supply growth 21% p.a. in the last 10 years
Retail
8.0%
Retail space growth 8.0% p.a. in the last 10 years
Office
53%
Retail space growth 53% p.a. in the last 10 years
units m2
Commercial property market have giving significant impact to residential development
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
Bogor Depok Tangerang Bekasi
Retail Office
Comparison of growth of Retail and Office in Bodetabek Area in the last 10 years
-
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
Bogor Depok Tangerang Bekasi
Apartment Hotel
square metre (sqm) Unit and Room
Comparison of growth of Apartment and Hotel in Bodetabek Area in the last 10 years
HOWthe mentioned key factors that drive residential estate market
East Part Of Greater Jakarta
Improvement in infrastructures will be main key factors that
affect residential estate growth in east part of Greater
Jakarta. These including :
Light Rapid Transit
Elevated toll road of Cikampek
Fast Train of Jakarta–Bandung
High population growth will bring to a higher requirement for
residential accommodation particularly in middle to middle
low market segment
Government regulation to encourage the development of
industrial center, including industrial estates along Bekasi –
Karawang corridor
City amenities which is represented by retail center
developments increase significantly
TollLRT Jkt – BdgKertajati airport
HOW
New town conceptTol Serpong-Balaraja
TollLRT Jkt – BdgKertajati airport
the mentioned key factors that drive residential estate market
West Part Of Greater Jakarta
Good city amenities following a significant growth in
property commercial will be a competitive advantages and
attractiveness for residential market in the area
Continue improvement in city amenities will be potentially
contributed by the following :
New town development
New business district development
In addition to natural growth of population, significant
increment in universities development will rise demand
for residential sectors in the area
Government regulation to West Part of Greater Jakarta as
area to encourage business and industry activities that
bordering with DKI Jakarta
HOW
TransjakartaCommuter line
Toll roadLRTCommuter line
Toll roadLRTCommuter line
New town conceptTol Serpong-Balaraja
TollLRT Jkt – BdgKertajati airport
South Part Of Greater Jakarta
Improvement in infrastructure that impact to residential
market in the area is represented by :
Depok – Antasari toll road
Cinere – Jagorawi toll road
Light Rapid Transit
Accessibility through railway basis transportation has been
impacted to residential development performance in the area
Tourism activities in the south part area will bring a higher
competitive advantages in the area
the mentioned key factors that drive residential estate market
CONCLUSIONPROPERTY MARKET IN GREATER JAKARTA
Key FactorsAll key factors affecting real estate market is expected to show an improvementindicators in next short to medium term.
Commercial Property GrowthAn existence and growth of commercial properties will bring competitive advantagesand attractiveness of real estate developments in Greater Jakarta.This provide good city amenities and decrease dependencies to the main city of DKIJakarta.
“Based on all above indicators, we believe that real estate developments in Greater Jakarta will continue to grow and enjoy a
positive movement in both price as well as demand”
CONTACT US
Tommy H. Bastamy
Head of Strategic Advisory Indonesiatommybastamy@coldwellbanker.co.id
Dani Indra Bhatara
Vice President of Strategic Advisory Indonesiadani.indra@coldwellbanker.co.id
Angra Angreni
Research & Consultancy of Strategic Advisory Indonesiaangra.angreni@coldwellbanker.co.id
Research Reports are available athttp://www.cbcindonesia.com/research
Strategic AdvisoryColdwell Banker Commercial IndonesiaKawasan bisnis Granadha, 12th B floorJl, Jend Sudirman Kav 50Jakarta 12930Phone : +62 21 255 39 388 ext. 502Fax : +62 21 255 39 399Email : advisoryservice@coldwellbanker.co.id