Metropolitan Land is Interested in Developing TOD-Based Residential Areas

INDUSTRY.co.id - Jakarta - PT Metropolitan Land Tbk (MTLA) plans to develop residential area based on Transit Oriented Development (TOD) around Light Rail Transit (LRT) station. Currently, MTLA already has a land bank in two locations that will be passed by LRT Jabodetabek.

One of them is a landbank of 3,500 square meters (m2) in MT Haryono Jakarta area which is close to one of the LRT stations currently under construction.

The land is also adjacent to the TOD project developed by Wika Realty and Adhi Karya. Furthermore, MLTA has a land in Bekasi that has been built and potentially developed into a TOD area.

However, MTLA has not yet determined what projects will be developed in these two locations because the design has not been completed. "We are still in the discussion phase for the determination of the pattern," said Olivia Surodjo, Finance Director of MTLA, Tuesday (1/8/2017).

For the development of land in Bekasi, Metropolitand Land will cooperate with state-owned companies. Previously, this company had made a memorandum of understanding for cooperation with Adhi Karya because the original LRT project planned to be financed BUMN and the workmanship submitted to the company's plate.

However, over time, the LRT funding scheme was changed due to limited state budget funds. The project development investment is then handed over to PT Kereta Api Indonesia (KAI) and ADHI only as a contractor. "So for now we are not with Adhi (cooperation)," Olivia said.

For the time being, Metropolitand Land has not been targeting the development of TOD at other points that the government wants to tender.

The government through the Ministry of Transportation will hold the private sector in the development of TOD around the Jabodetbek LRT station. This cooperation is offered to the private sector in order to fund the LRT project more efficiently.

Currently, the Government is developing technical guidance related to the auction. It is estimated that there are about 50 hectares of TOD LRT land ready for development.