Jakarta Condominium Purchases Relatively Stagnant

By : Ahmad Fadli And Aldi Firhand. A | Thursday, February 08 2018 - 21:43 IWST

Apartment Illustration (Illustration)
Apartment Illustration (Illustration)

INDUSTRY.co.id - Jakarta - International property consultant Jones Lang LaSalle (JLL) said that condominium or apartment purchase in Jakarta area is relatively stagnant.

However, it shows expectations in Q4 of 2017, said JLL Indonesia Head of Research James Taylor in the exposure of property in Jakarta, Wednesday (7/2/2018)

He said that the selling rate remains healthy. However, the price level remained stagnant or flat in the period of weakening demand.

However, according to him, the sales rate in Q4 2017 shows the highest sales rate among other quarters throughout 2017 that raises expectations.

Based on JLL data, sales in the fourth quarter of 2017 are as many as 1,300 units, and there are launches of new condominiums that add about 1,400 units to the existing stock of 138,000 units in the property market.

Meanwhile, Head of Residential JLL Indonesia Luke Rowe said that the sales activity of the fourth quarter market in 2017 is likely to be stable with the absorption rate of 63 percent with the greatest demand coming from the lower-middle.

Previously, international property consultant Cushman & Wakefield reminded that the supply of apartment units in the areas of Jakarta, Bogor, Depok, Tangerang and Bekasi (Jabodetabek) continues to grow despite the relatively stagnant price growth.

The Cushman & Wakefield release mentions that 18 condominiums or apartments in the area were completed during Q4 2017, bringing 13,484 new units to the market, an increase of 6.2 percent compared to the total supply in the previous quarter.

However, it was reported that there was also a delayed launch of the new project because the developers wanted to do it this year.

The demand level for the constructed project, he said, continues to decline with an average sales rate of 58.4 percent.

Similar to the stagnant growth in apartment prices, for office areas, declared rental rates will continue to be depressed because the estimated level of filling will decrease compared to 2017 although maintenance costs are expected to increase fourth quarter 2018.

Previously, property consultant Colliers International highlighted the oversupply of offices and apartments in the DKI Jakarta and surrounding areas that could lead to dynamics in the property sector by 2018.

"The oversupply situation in office and residential high-rise continues to put pressure on rental and price levels throughout 2018," said Senior Associate Director of Colliers International Indonesia, Ferry Salanto.

News Comment

Today's Industry

Cyber Attack (Images by IDN Times Jabar)

Jumat, 21 Februari 2020 - 09:09 WIB

Cyber Attack Fears are Delaying Business Innovation

Survey conducted by bug bounty and pentesting platform, HackerOne, has revealed that IT projects are being stifled due to security concerns. More than 80% of UK CISOs and CTOs who were interviewed…

OnRobot (Images by Business Wire)

Kamis, 20 Februari 2020 - 15:33 WIB

OnRobot Expands Innovative Gecko Gripper Family with Compact Gecko Single-Pad Gripper

OnRobot, a global leader in robotic end-of-arm tooling, has launched a compact, single-pad version of its innovative Gecko no-mark adhesive gripper. The new Gecko Single Pad gripper brings the…

Synopsys, Inc. (Images by PR Newswire)

Kamis, 20 Februari 2020 - 15:13 WIB

Synopsys Announces First Application Security Testing Solution

Synopsys, Inc. Announced that it will release a major update to the Polaris Software Integrity Platform to extend its static application security testing and software composition analysis capabilities…

Coronavirus themed Malware (Images by Novel coronavirus COVID-19 FDA)

Kamis, 20 Februari 2020 - 14:46 WIB

Beware of the other virus, the spread of Coronavirus-themed Malware

While the world attempts to take control over the spread of the Coronavirus, and tries to contain, eliminate and prevent it from spreading, hackers around the globe have found the Coronavirus…

Synopsys Software Integrity Group (Images by BusinessNews Indonesia)

Kamis, 20 Februari 2020 - 14:07 WIB

How to Cyber Security, It’s all about developers, except when it’s not

To get security testing results in front of developers, who are in the best position to address them effectively, you need automation and integration. Product security is hard. The goal is to…