S. Jakarta 'hot spot' for developers

Agnes Winarti, The Jakarta Post, Jakarta

Property developers still regard South Jakarta as the "hot spot" for developing mixed-use superblocks despite water shortages and pollution in the area, a property analyst says.

"Most developers eye South Jakarta for mixed-use development because large plots of land are still available there," Coldwell Banker Commercial Indonesia's research and analyst manager, Dwi Novita Yeni, told reporters Tuesday on the sidelines of a third-quarter report seminar on the Greater Jakarta property market.

Mixed-use development refers to the multipurpose use of a building or set of buildings as residential, commercial, industrial, office and institutional premises.

Dwi said mixed-use apartment complexes needed to be built on at least a five-hectare plot of land, which South Jakarta still had plenty of.

Gandaria City, Kemang Village and Nifarro in Jl. Kalibata, are examples of the latest mixed-use developments in South Jakarta.

Dwi said apartments and office buildings were still the largest contributors to the property businesses in Greater Jakarta.

Besides land availability, South Jakarta also offers cheaper land prices than that in the central business district.

In April, land prices along Sudirman and in Kuningan had reportedly reached between Rp 12 million to Rp 20 million per square meter, while those in areas like TB Simatupang, in South Jakarta, sold for a mere Rp 3 million.

Meanwhile, head of the environmental damage control unit at the Environmental Management Agency (BPLHD), Daniel Abas, told The Jakarta Post the environmental condition of South Jakarta is currently at "a very concerning level".

More than 80 percent of the groundwater and surface water in South Jakarta is polluted, 40 percent of which is highly contaminated, he said.

According to BPLHD, during the dry season residents in South Jakarta need to dig deeper wells, some as deep as 16 meters, just to find groundwater, while in the wet season they need to dig about 8 meters.

"The normal depth of a well is between 8 and 10 meters," Daniel said.

He also commented on the overwhelming traffic conditions in South Jakarta. "Almost every street in South Jakarta suffers traffic congestion."

These factors, he said, are indicators that South Jakarta's environment is at an alarming state.

"Property development is only good if it does not harm the environment."

Dwi said developers should have a good understanding of the city's spatial planning regulations, which stipulate that 40 percent of a municipality's area should be designated as water absorption areas, while the remaining 60 percent can be developed.

South Jakarta's 145.73-square-kilometer area includes three districts designated for water conservation; parts of Cilandak, Pasar Minggu and Jagakarsa.

Eight other districts, which include parts of Kebayoran Baru, Pancoran, Mampang Prapatan, Kebayoran Lama and Pesanggrahan, function as "backup" areas for the main conservation areas.