The government is planning to build 350,000 units of low-cost rent-apartment for workers in four years starting from 2009 until 2013. Ten twin-block towers for the low-cost apartments have been constructed in Kabil industrial area, Batam, Riau Islands following the plan.
Deputy for Formal Housing at Public Housing Ministry, Zulfi Syarif Koto, said the ten towers of the low-cost apartment have been set up since March 14 after Vice President Jusuf Kalla officiated the project.
"Within four years, as of 2009, it is expected that there will be 350,000 units of low-cost apartments," he said on Friday, March 26.
Ten twin-block of the low-cost apartments in the Kabil industrial area, Batam, built on an eight-hectare area, is predicted to cover 1,000 units of low-cost-apartment having PT Jamsostek as its funder.
In addition to the industrial area in Batam, some industrial areas in Jakarta, Bogor, Depok, Tangerang and Bekasi (Jabodetabek) are ready to provide area of 37.6 hectare for the low-cost apartment. Amongst the areas ready for the construction are the M2000 factory and Jababeka. "The Association of Industrial Area said there is 600 hectares of land that can be made use of across Indonesia," he said.
The government facilitates the permit and the ownership process. He cited that the government will facilitate the ownership because the low-cost apartment aiming at workers has low-rate. Meanwhile, developers will be less interested if constructing building having low internal rate of return (IRR).
The low-cost rent-apartment on industrial area is in accordance with Governmental Regulation No.39/2009 on industrial area which obligates industries to be integrated in an area. The regulation mentions that an industrial area of more than 200 hectare must have housing. Koto said that the ministry will cooperate with the Department of Industry and the Directorate of Housing, Planning, and Urban Development at the Department of Public Works.
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