MARKETBEAT

CONDOMINIUM SNAPSHOT
JAKARTA, INDONESIA

Q4 2012

A Cushman & Wakefield Research Publication

ECONOMY
Despite the slower growth, the
Indonesian economy maintained its
positive momentum during 2012, and is
expected to have achieved Gross
Domestic Product (GDP) growth of 6.3%
(from 6.5% in 2011). Annual national inflation for 2012 is
expected to reach 4.5%, higher than the 3.8% recorded in 2011.
On the currency side, the Rupiah depreciated by 0.5% over the
quarter to Rp.9,590 per US$1.00, due to the strengthening of the
U.S. dollar. The stock market also continued its positive
performance throughout 2012 as evidenced by the closing of the
composite index at 4,291, an increase of 12.3% from that
recorded at the end of December last year.

The proposed projects pre-sales activities by segment stood at

61.3% for the middle, 67.0% for the upper-middle, and 57.0% for
the upper class, respectively. The pre-sales rate of the upper
segment increased by 3.2% from the third quarter. Meanwhile,
pre-sales rate of the middle and upper-middle segments declined
by 0.8% and 3.1% quarter-on-quarter, respectively.
ECONOMIC INDICATORS
INDONESIA
GDP Growth

2011
6.5%

2012
6.3%

2013F
6.2% - 6.4%

Inflation Rate

3.8%

4.5%

4.5% - 5.5%

Central Bank-Rate

6.0%

5.75%

5.0% - 5.75%

Source: Government data (Statistic Bureau, Central Bank of Indonesia, Ministry of Finance)

NEW COMPLETED PROJECTS

PROJECT

SEGMENT

OVERVIEW

Margonda Residence 3 (D Mall)

Middle

1 Park Residences (Tower A & B)

SALES ACTIVITIES

1 Park Residence (Tower C)

The inauguration of the new Jakartas governor in October has

brought some changes in terms of Jakartas urban planning policy.
The issue of redeveloping the slump area to a multi-level housing
complex is expected to affect Jakartas condominium market
performance, particularly the lower-middle class projects.
However, during the fourth quarter of 2012, there was no
significant influence of the issue yet, and sales activities remained
stable for both the existing and proposed projects.

Green Bay Pluit (Tower A, B, C, & D) Middle

By the end of 2012, middle segment condominium still dominated

the sales activities, and contributed about 62.0% of the total sales.
Additional 10,843 units of new proposed condominiums were
launched to the market during the fourth quarter, from 17 newly
launched projects.

SALES DEMAND
By the end of 2012, the sales rate of existing condominiums in
the Greater Jakarta area was recorded at 96.0%, an increase of
0.8% year-on-year and 0.1% quarter-on-quarter. The occupancy
rate was recorded at 59.3%, which dropped by 0.5% from the
third quarter of 2012.
The pre-sales rate of the proposed condominium projects stood
at 59.5%, a decrease of 0.5% from the preceding quarter but an
increase of 3.2% year-on-year, leaving around 32,277 units of
future stocks to be absorbed in the future.
During the fourth quarter of 2012, the pre-sales activity of the
proposed condominiums was dominated by middle-class projects,
representing about 49.3% of the overall transactions.
Regarding the method of payment, buyers of lower-middle class
projects prefer mortgage payment, whilst the middle to upper
class buyers prefer one to three-year cash installment, bank
mortgage, and hard cash.

APPROX
UNITS
735

UNIT SIZE
(SQM)
22-52

Upper-Middle

229

72-209

Upper-Middle

150

72-209

3,432

21-36

Verde Phase 1

Upper

137

165-510

Kubikahomy

Middle

289

19-28

NEWLY LAUNCHED PROJECTS

PROJECT

SEGMENT

APPROX UNITS*

Gold Coast Apartment (Tower Atlantic)

Upper-Middle

568

Bloomington (Kemang Village)

Upper

152

Green Park View (Tower G)

Lower-Middle

Menteng Park

Upper

784

Bintaro Parkview (Tower A)

Middle

722

1 Park Avenue

Upper

274

Aeropolis Residences (Phase 2)

Lower-Middle

Saveria Apartment (Tower South & North)

Middle

649

Bassura City (Tower Edelweiss)

Lower-Middle

812

Bogor Green Forest

Upper-Middle

330

BTC Residence

Lower-Middle

464

Majestic Point Apartment (Tower Khan)

Middle

550

Gallery West Residences

Upper-Middle

280

Trivium Terrace (Tower North)

Middle

342

Sentul Tower Apartment

Middle

1,456

Point 8 Terrace Mansion (Block D & E)

Lower-Middle

988

District 8 (Tower Infinity)

Upper

280

*) Total units are approximate numbers and may change over the construction period.
**) Prices are estimated average hard-cash price term, before tax, on semi gross area.
Based on sales price, the Jakarta Condominium market is further classified into 4 (four) price segments:
- Upper
: > Rp.20mio per sm
- Upper-middle
: Rp.15mio per sm to 20mio per sm
- Middle
: Rp.10mio per sm to 15mio per sm
- Lower-Middle
: < Rp.10 million per sm

1,140

1,052

As of December 2012, 164 proposed projects were offered to the

market, which consisted of 47.9% middle segment condominiums
(38,141 units), 28.3% lower-middle, and an equal percentage of
about 11.9% for both upper-middle and upper segment projects,
respectively.
By location, almost all existing projects were concentrated in the
secondary area, holding about 69.2% of the total supply or 73,231
units, whilst the CBD district and prime district stood for about
22.3% and 8.5% respectively. Most of the future projects will be
located in secondary area, comprising 87.2% of the total proposed
projects, whereas projects in CBD and prime area represent 6.0%
and 6.8% of the future supply, respectively.
Most of the existing projects are located in South Jakarta (31.8% of
the total projects), followed by North Jakarta with 22.5%. The
majority of the proposed projects will be located in Tangerang
(21.2%), followed by South Jakarta (19.6%).

SUPPLY, DEMAND, SALES RATE

100%
90%
80%
70%
Sales Rate

120,000
110,000
100,000
90,000
80,000
70,000
60,000
50,000
40,000
30,000
20,000
10,000
0

60%
50%
40%

2009
2010
Demand

2011

105,793
101,565

85,713
81,582

2008

77,625
73,595

2006
2007
Supply

74,187
69,996

30%
68,514
64,584

Over the review quarter, new projects which were launched to the
market included Gold Coast Apartment (Tower Atlantic) at Pantai
Indah Kapuk, Bloomington at Kemang Village, Green Park View
(Tower G) in Daan Mogot, Menteng Park in Cikini, Bintaro
Parkview (Tower A) in Bintaro, 1 Park Avenue in Gandaria,
Aeropolis Residences (Phase 2) in Tangerang, Saveria Apartment
(Tower South and North) at BSD City, Bassura City (Tower
Edelweiss) at Basuki Rahmat Street, Bogor Green Forest in Bogor,
BTC Residence in Bekasi, Majestic Point Apartment (Tower Khan)
in Serpong, Gallery West Residences in Kebon Jeruk, Trivium
Terrace (Tower North) at Lippo Cikarang, Sentul Tower
Apartment at Sentul City, Point 8 Terrace Mansion (Block D and E)
in Daan Mogot, and District 8 (Tower Infinity) in Senopati. These
17 projects brought the total proposed condominium supply in
Greater Jakarta to about 79,622 units. The fourth quarter newly
launched projects were dominated by the lower-middle segment
condominiums (41.1%), followed by middle (34.3%), upper (13.7%),
and upper-middle (10.9%) segments, respectively.

The sales activities of condominium in Greater Jakarta are expected

to rise throughout 2013, as demand from both investors and end
users are still high. A total of 57,318 units are predicted to be
launched next year, and will result in tougher market competition.
Nowadays, some projects are sold out on their launch day, as many
developers offer pre-launched booking schemes to attract the
customer to buy many condominium units. Creative sales
strategies, such as an auction of condominium units during the
launch day, are also offered, enabling buyers to choose the best
value-for-money units.

58,553
55,293

During the fourth quarter of 2012, the total cumulative supply of

Jakartas condominium market stood at 105,793 units, an increase
of 5.4% quarter-on-quarter and 23.4% year-on-year, following the
completion of Margonda Residence 3 (D Mall) in Depok, 1 Park
Residences (Tower A, B, and C) in Gandaria, Green Bay Pluit
(Tower A, B, C, and D) in Pluit, Verde Phase 1 in Setiabudi, and
Kubikahomy at BSD City.

OUTLOOK

43,372
40,905

SUPPLY

recorded at Rp 23,469,819/sq.m. a growth of 3.2% over that in the

third quarter of 2012.

Units

The sales rate of low-cost condominium dropped by 0.1% from

96.2% in the previous quarter and increased by 1.8% over the
preceding years figure of 94.3%, with an occupancy rate of 37.2%.
The pre-sales rate of this sub-segment fell to 71.0%, a decline of
0.8% from the third quarter of 2012.

For further information, please

contact
Research & Advisory Department
PT. Cushman and Wakefield Indonesia
Indonesia Stock Exchange Building Tw.2, 15/F,
Jakarta, Indonesia
+62-21 2550 - 9500
www.cushmanwakefield.com

10%
0%

2012
Sales Rate

CONDOMINIUM SALES PRICE

W

LOCAL CURRENCY (RP/SQM)

LOCATION
CBD Area
Prime
Area

Q411

Q312

Q412

EURO/SQM

19.9Mio 24.05Mio

24.8Mio

1,994

US$/ 12-MONTH
SQFT OUTLOOK
241

18.72Mio 22.73Mio

23.5Mio

1,884

227

DEFINITIONS:
CBD area includes the most prominent business corridors such as, Sudirman, Kuningan, Thamrin, Gatot Subroto, and
Satrio. Prime residential area includes Kebayoran Baru, Senayan, Menteng, Pondok Indah, Permata Hijau, and Kemang,
mostly representing areas that are favoured by high-income families and expatriates.

EXISTING SUPPLY BY DISTRICT

Tangerang, 3.5%
East, 1.0%

Bekasi, 0.4%
Depok, 2.3%

South, 31.8%
North, 22.5%

PRICE GROWTH
The condominium price trend continued to move upwards, along
with the growth of the land price. At the end of 2012, the average
price of condominium in the CBD area was recorded at Rp
24,837,060 per square meter (/sq.m.), an increase of 3.3% quarteron-quarter. Meanwhile, the average price in the prime area was

20%

West, 19.8%

This report contains information available to the public and has been relied upon by Cushman & Wakefield on the basis that it is accurate
and complete. Cushman & Wakefield accepts no responsibility if this should prove not to be the case. No warranty or representation,
express or implied, is made to the accuracy or completeness of the information contained herein, and same is submitted subject to errors,
omissions, change of price, rental or other conditions, withdrawal without notice, and to any special listing conditions imposed by our
principals. 2012 Cushman & Wakefield, Inc. All rights reserved.

Central, 18.5%