Homes for the Nation
Indonesia’s 3 Million
Housing Project
April 2025
Indonesia’s Macroeconomic Developments
The National Economy Continues to Grow Positively and Remains Stable
Strong Leadership of Presiden Prabowo
& Political Stability Foreign Exchange Reserves as of End-February 2025
1 Able to set clear economic goals and maintain policy consistency, 4 Foreign exchange reserves stood at USD 154.5 billion, equivalent to 6.6 months of
thereby enhancing investor confidence and encouraging long-term import financing or 6.4 months of imports plus government external debt payments.
investment.
Financial Sector
Economic Growth in 2024: 5.03% (c-to-c) The Balance of Payments (BoP) in 2024 recorded a surplus of USD 7.2 billion.
2 All sectors experienced positive growth, with the largest contribution
5 Credit growth in February 2025 reached 10.4% (2024 average: 11.3%), while third-
coming from the Manufacturing Industry (18.98% of GDP). party funds (DPK) slightly increased to 5.75%. Indonesia holds an Investment
Grade rating of BBB from S&P.
Inflation is Under Control Consumer Confidence Index remains at an optimistic
Amid global uncertainties, particularly the impact of U.S. tariff policies, level
3 Indonesia's macroeconomic fundamentals remain strong. The economy
6
In February 2025, the CCI stood at an optimistic level of 126.4 (compared to 127.2
continues to grow positively, supported by all key indicators. in January 2025), consistently remaining above the optimism threshold (>100).
2
Indonesia’s Indonesia is now experiencing a major housing deficit
3 Million Housing
Project 9.9 Million households are unable
to attain property ownership
Unlocking a Path to Sustainable
and Inclusive Growth
This 3 Million Housing Project is a transformative initiative to
bridge this massive gap and to address huge demand –
delivering affordable, livable and sustainable homes for
millions.
This effort is backed by a strong commitment from the
government to drive regulatory reform, enable public-private
partnerships, and ensure long-term impact and inclusivity.
3
Government Commitment Support, Certainty Law and Regulation
Enhancing access to financing Incentives for infrastructure
Optimisation of land banks Regulatory compliance
for low-income buyers development
Easements for low-income Offering incentives to Optimising land banks is Simplifying regulations
families to obtain house developers for constructing key to meeting housing on balanced housing
targets. Strategic use of eases compliance and
mortgages could enhance affordable housing or
available land enables the reduces legal barriers.
their purchasing power, infrastructure could further Government to support Clear guidance and
facilitating greater access to support the Government's affordable housing and regulatory support are
housing housing initiatives effectively implement the essential.
balanced residential policy.
4
Presidential Directive
Construction And Renovation Of 3 Million Houses In Urban, Rural, And Coastal Areas
TARGET
3 MILLION
HOUSES
1 MILLION HOUSES 1 MILLION HOUSES
URBAN RURAL
AREA AREA
3 MILLION
HOUSES
COASTAL
AREA
1 MILLION HOUSES
6
POTENTIAL LANDS
IN URBAN AND RURAL AREAS
PROVINCE NUMBER OF TOTAL AREA
PARCELS OF LAND (HA)
Aceh 45 142,91
LAND INDICATED AS POTENTIALLY IDLE
Bali 27 30,24
Bangka Belitung 6 27,06
Banten
Bengkulu
D.I.Yogyakarta
960
6
1
2.679,46
23,39
2,83
14.490,79 Ha
DKI Jakarta 2 3,77
Gorontalo 2 13,56
Jambi 4 22,89
Jawa Barat 622 4.066,71
Jawa Tengah 14 24,66
Jawa Timur 278 1.093,72
Kalimantan Barat 13 23,17
Kalimantan Selatan 101 207,82
Kalimantan Tengah 8 13,51
Kalimantan Timur 20 110,15
Kepulauan Riau 7 627,23
Lampung 16 304,83
Maluku 5 1,27
Maluku Utara 2 4,02
Nusa Tenggara Barat 18 139,16
Nusa Tenggara Timur 16 406,36
Papua 1 0,18
Papua Barat 17 575,32
Riau 23 344,07
Sulawesi Barat 19 166,42
Sulawesi Selatan 16 1.808,80
Sulawesi Tengah 12 128,38
Sulawesi Tenggara
Sulawesi Utara 22
6 29,18
79,94 LANDED HOUSING UNITS PROJECTION
Sumatera Barat 49 1.017,70
1.449.079 Units
Sumatera Selatan 12 54,79
Sumatera Utara 22 317,29
Total 2.372 14.490,79
(Assumption: 1 hectare of land can accommodate 100 housing units)
Source : Ministry of ATR/BPN 7
Support In Licensing Procedures And Tax Incentives
On Acceleration Of The Implementation Of The 3 Million Houses Program
IT'S TIME FOR THE PEOPLE
TO OWN A HOME
From PAID to FREE for the cost of: From SLOW to FAST for :
• Acquisition Duty of Right on Land and Building Building Approval Permit (PBG) reduced from 45 days to
(BPHTB), which is 5% of the house purchase price, is just minutes after documents are complete, by the
subsidized by the Regional Government Local Government
Examples :
• The PBG (Building Approval) fee is covered by the • Local Government of Subang has successfully issued a PBG permit
in 16 minutes 30 seconds
Regional Government • Local Government of Gianyar has successfully issued a PBG permit
in 14 minutes
• Value-Added Tax (VAT) borne by the Government: • DKI Jakarta Provincial Government has successfully issued a PBG
permit in 17 minutes
100% VAT subsidy from January to June 2025 and • Local Government of Badung has successfully issued a PBG permit
50% VAT subsidy from July to December 2025 for in 17 minutes
houses priced between 0–2 billion rupiah, provided • Local Government of Sumedang has successfully issued a PBG
permit in 53 minutes
by the Ministry of Finance
• Local Government of Tangerang has successfully issued a PBG
permit in 59 minutes
8
NATIONAL SINGLE SOCIO-ECONOMIC DATA (DTSEN)
TO GUARANTEE PRECISION IN TARGETING RECIPIENTS OF HOUSING PROGRAMS
DATA PROVISION BY
THREE MILLION HOUSES STATISTICS INDONESIA (BPS)
PROGRAM
By Name By Address (BNBA)
Households Living in Non-Self-
Owned Houses
National Integrated Socio-
Economic Data (DT-SEN) By Name By Address (BNBA)
By name by address Households Living in Owner-
Occupied Uninhabitable Housing
(RTLH)
By Name By Address (BNBA)
Official Handover Report of Statistical Data as
Result of Synchronization with the National Households
Single Socio-Economic Data (DTSEN), between Lacking of Access to Adequate
Statistics Indonesia (BPS) and Ministry of
Sanitation Services
Housing and Settlement Areas
By Name By Address (BNBA)
Households Lacking of Access to
Subject to quarterly updates
(effective until May 3, 2025) Safe Drinking Water
DT-SEN BNBA Data –
For Government Use Only The Government of Indonesia has established a comprehensive database on
households without home ownership, consolidated under the National Single
Socio-Economic Data (DTSEN). 11
Karawaci City
Premium Urban Living in the Heart of Tangerang
IRR 17.11%
CAPEX USD 78,761,642
UPH
511 Lecturer
Using IDR 17,000 exchange rate
5000 Students
Karawaci City
is strategically located just 2 km from top schools and an international hospital, 3 km
from the Karawaci Toll Gate, and 11 km from Tangerang Train Station. Surrounded by a
golf course, shopping centers and green spaces, it offers a complete and convenient
urban lifestyle.
Total Area 37,779m2
Total Towers 14
Total Units 3.136 units (each)
Total CAPEX USD 78,761,642
Selling Price (MBR) USD 23,539
Selling Price (Non-MBR) USD 35,294
MBR to Non-MBR Construction Ratio 50 : 50
Assumed Debt-to-Equity Ratio (DER) 70 : 30 Project Timeline
Assumed Loan Interest Rate 10%
Expected Return Assumption 15%
Weighted Average Cost of Capital (WACC) 11.5%
Internal Rate of Return (IRR) 17.11%
Net Present Value (NPV) USD 3,552,103
12
Pasir Gadung Sky Village
Strategic Living for Jakarta Commuters
IRR 16.45%
CAPEX USD 45.258.754
Using IDR 17,000 exchange rate
Pasir Gadung Sky Village
is located in Cikupa, Tangerang—an industrial with more than 2000 employee and
residential hub favored by commuters working in Jakarta. The area offers easy toll road
access and is close to healthcare (700m–7 km), schools and universities (±2 km), and
shopping centers.
Total Area 22,113m2
Total Towers 8
Total Units 1.792 units (each)
Total CAPEX USD 45.258.754
Selling Price (MBR) USD 23,539
Selling Price (Non-MBR) USD 35,294
MBR to Non-MBR Construction Ratio 50 : 50 Project Timeline
Assumed Debt-to-Equity Ratio (DER) 70 : 30
Assumed Loan Interest Rate 10%
Expected Return Assumption 15%
Weighted Average Cost of Capital (WACC) 11.5%
Internal Rate of Return (IRR) 16.45%
Net Present Value (NPV) USD 1,803,671
13
Jurang Mangu TOD Station
Urban Transit Living with Ultimate Convenience
IRR 15.55%
CAPEX USD 28,507,309
Using IDR 17,000 exchange rate
Jurang Mangu TOD Station
Project Location
is strategically located just 200 meters from the train station, 500 meters from the toll
gate, and 2 km from an international hospital. Surrounded by top schools (500 m–1 km),
Bintaro Jaya Xchange Mall, and various public facilities, it offers excellent connectivity
and urban convenience.
Total Area 15,026m2
Total Towers 5
Total Units 1.120 units (each)
Total CAPEX USD 28,507,309
Selling Price (MBR) USD 23,539
Selling Price (Non-MBR) USD 35,294
MBR to Non-MBR Construction Ratio 50 : 50
Project Timeline
Assumed Debt-to-Equity Ratio (DER) 70 : 30
Assumed Loan Interest Rate 10%
Expected Return Assumption 15%
Weighted Average Cost of Capital (WACC) 11.5%
Internal Rate of Return (IRR) 15.55%
Net Present Value (NPV) USD 929,459
14
Offering Project Structure Indonesia - Foreign Investor
1. The project begins with a cooperation agreement between the
Qatar Investor and the Government of Indonesia, represented
KemenPKP.
2. The Qatar Investor collaborates with Private Sector entities or
State-Owned Enterprises (SOEs) in Indonesia to form a Joint
Venture Company (JVCo)/Special Purpose Vehicle (SPV),
serving as the main vehicle to execute the project.
3. PT PII provides a guarantee agreement for the project,
supporting its financial viability and bankability.
4. KemenPKP designates land for the housing project and
prepares the beneficiary housing queue, ensuring that the
targeted recipients.
5. The JVCo/SPV undertakes the construction of housing units.
6. The housing units are sold to beneficiaries, which include: Low-
income households under government housing programs and
General public/commercial buyers.
7. Banks provide mortgage financing options to the beneficiaries.
8. BP Tapera (Public Housing Savings Management Agency)
offers financing facilities for low-income groups.
9. The JVCo/SPV receives the settlement of unit acquisition
payments, completing the transaction cycle and securing
returns on investment for stakeholders.
15
Invest in Indonesia:
Building Homes and Growing Future Together
16
For more information / Informasi lebih lanjut
Sri Haryati
Director General of Urban Housing [email protected]
The Directorate General of Urban Housing
Direktur Jenderal Perumahan Perkotaan +62 81806714165
Direktorat Jenderal Perumahan Perkotaan
17
Thank you
