HK Realtindo (HKR) Plans to Develop MBR Landed Houses in Serang
The housing sector for low-income communities (MBR) is set to welcome new players. PT HK Realtindo (HKR), a subsidiary of PT Hutama Karya (Persero) that has been active in the commercial segment, is considering options to venture into MBR housing projects.
Currently, HKR is calculating the feasibility of the project. If it comes to fruition, HKR plans to develop MBR housing on an area of 2.5 hectares, from a total of 19 hectares of its land located in Serang, Banten. With that area, according to the calculations of the Acting President Director who also serves as the Director of Finance & Risk Management of HKR, Juni Iranto, approximately 200 MBR housing units could be built.
Juni revealed that the land in Serang, Banten, is her most viable asset for collaboration in the development of MBR housing, and it makes sense from a business perspective. "So we are indeed trying to allocate part of the land; we are starting with 2.5 hectares for the development of FLPP." (Fasilitas Likuiditas Pembiayaan Perumahan). "If there is indeed a market for it, that's great, we will try to enter again," said Juni when met by KONTAN at one of HKR's commercial housing projects located in Sawangan, Depok (September 3, 2024).
Since the plans are still being finalized, HKR does not yet have a definite figure regarding the price of the MBR houses they intend to develop. This is because the amount depends on several factors. However, Juni assures that the price will comply with government regulations.
Just so you know, the government regulates the maximum price limit for MBR housing through the Decree of the Minister of Public Works and Public Housing (PUPR). The latest provisions are outlined in the PUPR Decree Number 689/KPTS/M/2023. The maximum price limits also vary depending on the region where the MBR housing is located.
The figures are adjusted according to the location of the area. The maximum price limit for MBR is set starting from IDR 166 million for Java, except for Jakarta, Bogor, Depok, Tangerang, and Bekasi. This also includes Sumatra, except for the Riau Islands, Bangka Belitung, and the Mentawai Islands.
Meanwhile, the maximum price of IDR 182 million applies to the Kalimantan region, except for Murung Raya and Mahakam Ulu regencies. Next, the house price of IDR 173 million applies to MBR housing in the regions of Sulawesi, Bangka Belitung, the Mentawai Islands, and the Riau Islands, except for the Anambas Islands.
Meanwhile, for the regions of Maluku, North Maluku, Bali, and Nusa Tenggara, as well as Jabodetabek (Jakarta, Bogor, Depok, Tangerang, Bekasi) and the Anambas Islands, Murung Raya Regency, and Mahakam Ulu Regency, the maximum limit for MBR housing is set at IDR 185 million. In contrast, for the Eastern region, which includes Papua, West Papua, Central Papua, the Papua Highlands, Southwest Papua, and South Papua, the maximum price limit is IDR 240 million.
The maximum price limit figures are set for landed house specifications with a land area of 60 square meters (m2) to 200 m2, with a house floor area of 21 m2-36 m2. If the area exceeds the specified land and building dimensions, it does not fall under the MBR category.
The MBR housing program is a government initiative aimed at providing affordable and quality housing for low-income communities. This segment of housing has become one of the focuses of the One Million Houses Program (PSR) that has been promoted by President Joko Widodo (Jokowi) during his 10 years in office.
Last year, for example, the development of MBR dominated the realization of the one million houses program for the year 2023. Out of a total of 1,217,794 housing units built, 1,010,142 units or equivalent to 82.95% of them were MBR houses.
If the Serang project is realized, it will become the first landed house project for the MBR HKR segment. Until now, the portfolio of HKR landed house projects has only consisted of commercial projects. One of them, H Mansion Pejaten, is located in South Jakarta. Meanwhile, the other one, H City Sawangan, is located in Depok.
Juni confirmed that the feasibility of the landed house project for the MBR segment indeed needs to take into account several factors, including the land prices at the development location and the maximum price limits set by the government. According to Juni, HKR's interest in developing the MBR segment is based on HKR's desire as a State-Owned Enterprise (BUMN) to support the government's program.
"One of the things is that for MBR, the price of land and everything else really needs to be competitive, right? Fortunately, we also have a land bank that, based on calculations, can still be viable, so we are trying to enter that as a form of participation of BUMN in the sector as agents of development," said Juni.
