Beruflich Dokumente
Kultur Dokumente
Forecast Report
Q2 2016
Accelerating success.
Highlight
Office Sector Retail Sector
Office demand has dwindled for the last two years, bolstering the Bassura City Mall was the only new shopping centre in Ja-
negotiating position of tenants in the market. Newly operating office karta during H1 2016 contributing around 21,000 sq m of
buildings added further downward pressure on rents because of the retail space. Thus far, occupancy performance and rental
additional vacant space they have added to the supply. rates are relatively stable. Average asking rent was record-
ed at IDR566,087/sq m/month as of Q2 2016.
Apartment Sector
During the quarter, apartment sales performance continued to Industrial Estate Sector
languish with a moderate 0.5% growth in price compared to the The industrial market has yet to recover from the generally slow
previous quarter. There were 4,777 new units from the handover sales performance which has led to further downward pressure
of a total of eight apartment towers from five projects. The cumu- on industrial land prices. Two industrial estates reportedly intro-
lative supply of strata-title apartments in Jakarta grew by 2.9% duced prices which were lower this quarter by an average of 8%.
QoQ or 12.4% YoY to a record 167,697 units. Prices of apartments
have been relatively flat as most of the projects hold prices in
order to attract buyers. The average asking price of apartments
Hotel Sector
in Jakarta was recorded at IDR31 million/sq m (excluding VAT), Three new hotel projects began operation in Jakarta during the
increased modestly by 0.5% QoQ. last quarter. In the 3-star category, Archipelago International (131
rooms) and Liberty hotel (60 rooms) opened. In the 4-star ho-
Expatriate Housing Sector tel category, Accor opened a Mercure brand hotel providing 207
rooms. Total star-rated hotels in Jakarta now total 37,695 rooms
There were signs of recovery during H1 2016 with number of re- from 182 projects. The AOR increased 4.9% to 56.7% QoQ and
peat corporate clients who signing new one-year lease contracts. the Jakarta ADR slightly increased by 0.15% to USD82.65 in Q2
Many companies employing expats are currently only willing to 2016Q.
commit to a maximum one-year contract; very few of them are
willing to accept two years rent in advance.
5,000,000
Demand
Infrastructure-related companies including those 4,000,000
building roads and power plants are becoming more
3,000,000
common tenants while insurance, bank and other
sq m
Occupancy 0
Occupancy continued its two year declining trend
2011
2015
2013
2010
2017F
2012
2014
2019F
2018F
2016F
and this quarter was recorded at 85.6%, the lowest
since 2005. Going forward, given a moderate GDP
growth projection and huge projected supply, occu- Existing Supply Additional Supply Supply YTD Future Supply
pancy rates might drop an additional 3% by the end
of 2016. Source: Colliers International Indonesia - Research
Said.
150,000
Four office buildings that will occupy more than 50,000 sq m
will make the Gatot Subroto submarket the biggest office space
0 contributor in 2016. Gatot Subroto will contribute 47% of the
total additional office spaces in 2016, larger than Sudirman by
2011
2015
2013
2010
2017F
2012
2014
2019F
2018F
2016F
Rasuna Said
Looking at how things are progressing, the construction of most
of the new office buildings is already underway. Around 70% of
Sudirman
the total number of office buildings that are scheduled for com-
pletion in 2018 2019 have already began construction works. Thamrin
3,000,000
1,000,000
2,000,000
0
500,000
3,500,000
1,500,000
350,000
Outside the CBD Cumulative Supply
300,000
3,000,000
250,000
sq m
200,000 2,500,000
150,000
100,000 2,000,000
50,000
1,500,000
0
sq m
2010 2012 2014 2016F 2018F
1,000,000
For Lease For Sale
0
2010 2012 2014 2016F 2018F
Outside the CBD
Outside CBD excl. TB Simatupang TB Simatupang
As of Q2 2016, five office buildings officially began operation
outside the CBD. Some of these buildings are found in South Source: Colliers International Indonesia - Research
Jakarta LOffice, Office Tower at Niffaro and Nariba Office
Tower. One is in West Jakarta (Soho Capital at Podomoro City)
Outside the CBD Cumulative Supply Based on Area
and another in North Jakarta (Altira). The total area of new of-
fice spaces this quarter is 150,000 sq m, bringing a cumulative
supply to 2.89 million sq m, for a growth of 12% YoY. West Jakarta
East Jakarta
At least 10 office buildings have been in operation outside the
CBD YoY. The market is anticipating another nine office build-
North Jakarta
ings to be completed by the end of 2016, and this will bring a
cumulative supply to over 3 million sq m. In 2016, new office
South Jakarta
buildings will still be mainly found in South Jakarta (50% of the
total office spaces in 2016). In South Jakarta, Mampang and Central Jakarta
Pasar Minggu corridors arose as new potential commercial ar-
eas for office development, besides the already established TB TB Simatupang
Simatupang and Pondok Indah areas.
400,000
200,000
1,200,000
1,000,000
0
800,000
600,000
300,000
250,000
250,000
200,000
200,000
150,000
150,000
100,000
sq m
100,000
sq m
50,000
50,000
0
2010
2017F
2012
2014
2011
2015
2013
2019F
2018F
2016F
0
2010
2017F
2012
2014
2011
2015
2013
2019F
2018F
2016F
CBD
2016 Telkom Landmark Tower II Gatot Subroto 65,000 For Lease Under Construction
2016 Convergence Rasuna Said 36,367 For Lease & Sale Under Construction
2016 Menara Palma 2 Rasuna Said 50,000 For Lease Under Construction
2016 Ciputra World Jakarta 2 Satrio 70,000 For Lease & Sale Under Construction
2016 Satrio Tower Satrio 31,604 For Lease Under Construction
2016 The Tower Gatot Subroto 56,492 For Sale Under Construction
2016 Menara Pertiwi Mega Kuningan 41,456 For Sale Under Construction
2017 PCPD Tower Sudirman 90,500 For Lease Under Construction
2017 T Tower Gatot Subroto 24,000 For Lease & Sale Under Construction
2017 Lippo Thamrin Office Tower Thamrin 16,500 For Sale Under Construction
2017 Prosperity Tower (within District 8 complex) Sudirman 71,545 For Sale Under Construction
2017 Treasury Tower (within District 8 complex) Sudirman 139,000 For Sale Under Construction
2017 Sopo Del Tower B Mega Kuningan 39,200 For Sale Under Construction
2018 Mangkuluhur Tower Gatot Subroto 53,000 For Lease & Sale Under Construction
2018 Sopo Del Tower A Mega Kuningan 64,000 For Lease Under Construction
2018 Sequis Tower Sudirman 78,000 For Lease Under Construction
2018 Sudirman 7.8 (ex Nugra Santana) Sudirman 52,000 For Sale Under Construction
2018 Tower Two at The City Center Sudirman 101,260 For Lease Under Construction
2018 World Trade Center III Sudirman 70,000 For Lease Under Construction
2018 World Capital Tower Mega Kuningan 72,000 For Lease & Sale Under Construction
2018 Tower 2 @ Ciputra World Jakarta 1 Satrio 70,000 For Lease & Sale Under Construction
2018 Astra Tower Sudirman 80,000 For Lease Under Construction
2019 Icon Tower Sudirman 72,500 For Lease Under Construction
2019 Thamrin Nine Thamrin 97,500 For Lease Under Construction
continued
continuation
2019 Indonesia Satu Thamrin 150,000 For Lease Under Construction
2019 The Hundred Mega Kuningan 45,000 For Lease In Planning
2019 Chitaland Satrio 90,000 For Lease Under Construction
2019 Plaza Gani Djemat 2 Thamrin 8,000 For Lease In Planning
2019 Gran Rubina Tower 2 Rasuna Said 32,000 For Sale In Planning
2019 Centennial Millenium Sudirman 100,000 For Lease Under Construction
2016 ST Moritz Office Tower Puri Indah 19,500 For Sale Under Construction
2016 Puri Indah Financial Tower Puri Indah 38,500 For Sale Under Construction
2016 Gallery West Kebun Jeruk 29,000 For Sale Under Construction
2016 Harton Tower Kelapa Gading 8,000 For Lease Under Construction
2016 Tamansari Parama Wahid Hasyim 10,800 For Sale Under Construction
2016 One Belpark Office Pondok Labu 17,800 For Lease Under Construction
2017 Soho Pancoran Pancoran 30,000 For Sale Under Construction
2017 BKP Office Tower Sunter 16,000 For Lease Under Construction
2017 Hermina Office Building Kemayoran 20,000 For Sale Under Construction
2017 Ciputra International Puri 1 Phase 1 Puri 15,000 For Lease In Planning
2017 Ciputra International Puri 2 Phase 1 Puri 20,000 For Lease In Planning
2017 Ciputra International Puri 3 Phase 1 Puri 30,000 For Lease In Planning
2018 Lippo Tower Holland Village Cempaka Putih 27,000 For Sale In Planning
2018 One Tower Kemayoran 21,400 For Sale Under Construction
2018 Ciputra Twin Tower 1 Kemayoran 40,000 For Sale Under Construction
2018 Ciputra Twin Tower 2 Kemayoran 40,000 For Lease Under Construction
2018 Ciputra International Puri Phase 2 Puri 15,000 For Lease In Planning
2018 Ciputra International Puri 1 Phase 3 Puri 15,000 For Lease In Planning
2018 Ciputra Internatinal Puri 2 Phase 3 Puri 15,000 For Lease In Planning
2019 MNC Tower II Kebon Sirih 60,000 For Lease Under Construction
2019 Jakarta Box Tower Kebon Sirih 36,000 For Lease In Planning
TB Simatupang
90%
Outside the CBD
85%
Occupancy Changes in Outside the CBD
80% area Q4 2015 YoY Q2 2016 QoQ Q2 2015
Outside the CBD 89.4% 85.6% 93.7%
excluding TB
75% Simatupang
TB Simatupang 88.5% 87.4% 81.5%
70% Source: Colliers International Indonesia - Research
2010 2011 2012 2013 2014 2015 2016YTD
Premium Grade A All Classes As of Q2 2016, the overall occupancy rate outside the CBD con-
tinued on a downward trend and was registered at 84.7%. At
Source: Colliers International Indonesia - Research least nine office buildings still have more than 10,000 sq m of
vacant spaces. All of these office buildings began operation in
2015 and 2016. The openings of new office buildings in West,
North and South Jakarta also negatively impacted occupancy
rates.
80% IDR450,000
70% IDR375,000
60%
IDR300,000
50%
IDR225,000
40%
30% IDR150,000
20% IDR75,000
10%
IDR0
0%
Premium Grade A Grade B Grade C
2010 2011 2012 2013 2014 2015 2016YTD
Q2 2015 Q2 2016
Outside CBD exclude TB Simatupang TB Simatupang
Source: Colliers International Indonesia - Research
Source: Colliers International Indonesia - Research
Average Asking Rents in the CBD
Pre-Committed Occupancy of Office Buildings For
IDR750,000
Lease in Outside the CBD (2015 2017)
IDR600,000
2017F
IDR450,000
IDR300,000
2016F
IDR150,000
2015
IDR0
2008 2010 2012 2014 2016YTD
Premium Class All Classes
0 30,000 60,000 90,000 120,000
sq m Source: Colliers International Indonesia - Research
Space Absorbed Vacant Space
IDR200,000
IDR100,000
IDR50,000
IDR0
2010 2012 2014 2016YTD
IDR150,000
IDR120,000
IDR120,000
IDR90,000
IDR90,000
IDR60,000
IDR60,000
IDR30,000
IDR30,000
IDR0
Grade A Grade B Grade C
IDR0
Premium Grade A Grade B Grade C Source: Colliers International Indonesia - Research
Source: Colliers International Indonesia - Research The average service charge outside the CBD climbed 9.3% YoY
to IDR58,037/sq m/month. Since there is only a few Grade-A
As of Q2 2016, average service charge increased 3.9% YTD office buildings outside the CBD, the figure presented may not
and was recorded at IDR80,2015/sqm/month. Due to the influx well represent the market. This is why the service charge for
of newly operating office buildings, the average service charge Grade-A buildings is below IDR100,000/sq m/month only. Al-
costs for Grade-A buildings registered the highest YTD growth, though lower-grade buildings reveal higher service charges, the
compared with other grades. As of Q2 2016, service charge was overall occupancy cost (base rental and service charge) are still
recorded at IDR81,744/sq m/month for Grade-A office buildings. more expensive in higher-class buildings.
Lower grade offices may charge higher maintenance tariff. In TB Simatupang, service charges increased 4.6% QoQ and
Some Grade-C office buildings in Rasuna Said ask for a more reached IDR62,900/sq m/month. Several office buildings have
expensive price. However, the overall occupancy costs (base introduced a new tariff with increment starting from IDR5,000
rent and service charge) will be in line with the class and quality to IDR15,000.
of the buildings.
2018F
Outside the
CBD
2017F
CBD
2016F
IDR0
IDR80,000,000
IDR60,000,000
IDR40,000,000
IDR20,000,000
IDR100,000,000
2015
Source: Colliers International Indonesia - Research The sales volume of strata-title office spaces in 2016 2018
increased around 6% QoQ. The absorption brought the aver-
Pre-Committed Take-up Rates of Office Buildings age pre-committed take-up rate to reach around 60% of the
total office space for sale (strata-title office) in 2016 2018.
For Sale in Outside the CBD (2015 2018)
Meanwhile, for a shorter period, pre-committed take-up rate
of offices for sale in 2016 2017 achieved around 80% as of
Q2 2016. Two future office buildings in Mega Kuningan sold a
2018F
substantial amount of office spaces, which helped the overall
sales performance.
JAKARTA | OFFICE
Q2 2016 Accelerating success.
Supply
Forecast at a glance
By the end of the second quarter of 2016, cumulative supply
of strata-title apartments in Jakarta had grown at a moderate
Supply pace of 2.9% QoQ, equal to 12.4% YoY, to a record 167,697
Jakarta will see an additional 15,442 units for the units. During this quarter, the market received 4,777 new units
remainder of 2016 and a total 25,222 units in 2017. from the handover of eight apartment towers in five projects,
including The Green Pramuka, Royal Springhill, Bassura City,
Demand Casablanca East Residence and 19 Avenue. In terms of market
Although the market saw an increase in launching segment, middle-lower class apartments dominate the current
activity, buying sentiment has remained lukewarm; additional supply at 86.4% of three projects located in non-
investors and end-users are holding their plans to prime areas.
buy apartments in view of the current economic
slowdown. We opine that take-up rates will continue Green Pramuka City (Orchid and Penelope Towers) and Royal
to hover at between 86% and 87%. Springhill (Bouvardia and Bulgari Towers) are both located
in Central Jakarta; however they are targeting different mar-
Rent ket segments, i.e. middle-low and middle-upper, respectively.
Given a drop in the expatriate community, we expect Meanwhile, East Jakarta continued to see new middle-low
asking rental rates will remain unchanged until the class projects from the opening of Bassura City (Edelweiss
end of 2016. Tower) and Casablanca East Residence (Dallas & Casablanca
Towers). In West Jakarta, 338 additional units came from the
Price completion of a mid-rise apartment project, 19 Avenue (Tower
We predict an 9% to 11% increase in the average A). 19 Avenue was previously a stalled Rusunami (low-cost
asking price for apartments for sale due to the high- apartment) project called Orchard Place Residence, developed
er prices quoted by future apartment projects which by PT Bintang Milenium Indonesia. It was acquired by Marga-
will open by the end of the year. hayu Land, who changed the name. Targeting the same low
segment, fully furnished 19 Avenue (Tower A) apartments are
offered at prices ranging from IDR400 million to IDR600 mil-
lion per unit.
Strata-title Apartment Annual Supply same period in 2015. This suggests that developers are ge-
nerally quite cautious over the current market condition, with
30,000 considerable supply going forward and, to some extent, slow
absorption.
25,000
East Jakarta hosts about 87% of the total newly introduced/
launched units from two projects: East 8 and Prajawangsa
20,000 City. East 8, developed by Karya Cipta Group, is targeted at the
middle-lower segment, particularly workers in the surrounding
15,000 areas. East 8 apartment is located in a settled residential area
and will benefit from easy accessibility to public transportation,
including the future LRT and the existing Jagorawi toll road.
10,000 With a similar target market, Prajawangsa City, developed by
Synthesis Development, together with St. Carolus Vereeniging,
5,000 claims to be an improvement on their previous project, Bassura
City, with bigger units and more green space.
0
Another new project by Synthesis Development is Samara
2020F
2014
2015
2013
2019F
2018F
2016F
tot Subroto, which offered bigger units and higher prices. Sub-
sequently, the developer revised the concept, including the floor
Source: Colliers International Indonesia - Research
plan, unit size and pricing strategy, in order to meet the budget
of buyers. As of the end of May, 60 units in Samara Suites have
Newly Launched Projects been booked. Another project located in a so-called expatri-
ate area, Lavish Residence Kemang, offers a single apartment
During this quarter, Jakartas apartment market saw a moderate tower and targets the middle-upper segment. Lavish Kemang
addition of newly launched/introduced projects. Four brand-new Residence is developed by PT Kemang Karya Utama, which has
projects with 5,946 units initiated pre-sale activities in Q2 2016 extensive experience in developing houses and townhouses for
and are expected to be completed in the next four years. The expatriates.
number of units being introduced/launched is 20% lower than the
1,500 3
0 0
Q4 2015
Q2 2016
Q2 2015
Q3 2014
Q3 2015
Q1 2014
Q1 2016
Q4 2014
Q2 2014
Q1 2015
#Units #Projects
New Pipeline
Apartment name location region developer #units Status
2016
The Green Pramuka (Tower Orchid) Jl. Jenderal Ahmad Yani Central Jakarta PT Duta Paramindo 1,000 Built
The Green Pramuka (Tower Penelope) Jl. Jenderal Ahmad Yani Central Jakarta PT Duta Paramindo 1,000 Built
The Royal Springhill (Bouvardia Tower) Jl. Spring Hill Residence Ke- Central Jakarta Springhill Golf Group 120 Built
mayoran
The Royal Springhill (Bulgari Tower) Jl. Spring Hill Residence Ke- Central Jakarta Springhill Golf Group 192 Built
mayoran
Casablanca East Residence (Tower Dallas) Jl. Pahlawan Revolusi East Jakarta Binakarya Proper- 408 Built
tindo Group
Casablanca East Residence (Tower Casa- Jl. Pahlawan Revolusi East Jakarta Binakarya Proper- 719 Built
blanca) tindo Group
Bassura City (Tower Edelweiss) Jl. Basuki Rahmat East Jakarta Synthesis Develop- 1,000 Built
ment
Bassura City (Tower Dahlia) Jl. Basuki Rahmat East Jakarta Synthesis Develop- 1,000 Built
ment
Green Bay Pluit (Sea View) Jl. Pluit Karang Ayu North Jakarta Agung Podomoro 2,072 Built
Group
Kemang Village (The Bloomington) Jl. P Antasari South Jakarta Lippo Karawaci 150 Built
Four Winds Jl. Permata Hijau Raya No.1 South Jakarta PT.Tri TirtaPermata 140 Built
Metro Park Residence Kebon Jeruk West Jakarta Agung Podomoro 1,451 Built
Group
Madison Park Tanjung Duren West Jakarta Agung Podomoro 1,200 Built
Group
19 Avenue Apartment 9 (Tower A) Daan Mogot West Jakarta Margahayu Land 338 Built
continued
2017
2018
Gayanti City (2 Towers) Jl. Gatot Subroto CBD PT Buana Pasifik 318 Under-construction
International
Verde Two (Tower West) Jl. Rasuna Said CBD Farpoint Realty 152 Under-construction
Lavie Jl. Denpasar Raya CBD Wilsor Group 302 Under-construction
South Hill Jl. Denpasar Raya CBD Tan Kian 611 Under-construction
Le' Parc Jl. Thamrin CBD PT. Putragaya 100 Under-construction
Wahana
Regent Residences (tower 1) Semanggi CBD PT. Kencana Graha 100 Under-construction
Global
The Hundred Residence Mega Kuningan CBD PT. Farpoint Realty 100 Under-construction
Indoneasia
The Elements Epicentrum (2 Towers) Rasuna Said CBD Sinar Mas Land 372 Under-construction
Capitol Suites Jl. Prapatan Raya Central Jakarta The Capitol Group 327 Under-construction
Holland Village (Phase II) Cempaka Putih Central Jakarta Lippo Karawaci 230 Under-construction
Signature Park Grande Jl. MT. Haryono East Jakarta KSO Fortuna Indone- 1,100 Under-construction
sia (Pikko)
Sahid Garden Residence Ciracas East Jakarta Sahid Group 476 Under-planning
Gold Coast Apartment (Atlantic Tower) Pantai Indah Kapuk North Jakarta Agung Sedayu 568 Under-construction
Regatta Apartment (Tower New York) Pantai Mutiara North Jakarta Intiland 186 Under-construction
Sedayu City (Tower Melbourne) Jl. Pegangsaan Dua Raya North Jakarta Agung Sedayu 912 Under-planning
Sedayu City (Tower Darwin) Jl. Pegangsaan Dua Raya North Jakarta Agung Sedayu 936 Under-planning
The Kensington Royal Suites (4 Tower) Kelapa Gading North Jakarta Summarecon 790 Under-construction
Gold Coast Apartment (Bahama Tower) Pantai Indah Kapuk North Jakarta Agung Sedayu 600 Under-construction
Gold Coast Apartment (Carribean Tower) Pantai Indah Kapuk North Jakarta Agung Sedayu 600 Under-construction
Gold Coast Apartment (Honolulu Tower) Pantai Indah Kapuk North Jakarta Agung Sedayu 600 Under-construction
Grand Marina Ancol Ancol North Jakarta PT. Bangun Setia 672 Under-planning
Cipta (Jaya Ancol)
Bellevue Place MT Haryono, Tebet South Jakarta Gapura Prima 240 Under-construction
The Aspen Peak at Admiralty (Tower D) Jl. Fatmawati South Jakarta PT. Harmas Jalas- 322 Under-construction
veva
Casa Grande Residence 2 (Tower Angelo) Jl. Casablanca South Jakarta Pakuwon Group 350 Under-construction
Casa Grande Residence 2 (Tower Bella) Jl. Casablanca South Jakarta Pakuwon Group 350 Under-construction
Casa Grande Residence 2 (Tower Chianti) Jl. Casablanca South Jakarta Pakuwon Group 350 Under-construction
Pondok Indah Residences (3 Towers) Pondok Indah South Jakarta Metro Pondok Indah 880 Under-construction
Selatan 8 (Tower Prabu) Jl. Raya Ulujami South Jakarta Karya Cipta Group 344 Under-construction
45 Antasari (2 Tower) Antasari South Jakarta Cowell Development 1,924 Under-construction
Arzuria Apartment Jl. Tendean South Jakarta Tolaram Group 210 Under-construction
Pakubuwono Spring (2 towers) Jl. Teuku Nyak Arief No.9 South Jakarta PT. Simprug Mah- 545 Under-construction
kota Indah (Agung
Podomoro Group)
Branz Simatupang (2 tower) TB. Simatupang South Jakarta Tokyuland 381 Under-construction
continued
2019
The Suite (W Hotel Tower) Jl. Prof. Dr. Satrio CBD Ciputra 200 Under-planning
The Residences at The St. Regis Jakarta Jl. H.R Rasuna Said CBD Rajawali Property 164 Under-construction
Group
Arandra Residence (was Sentosa Resi- Jl. Cempaka Putih Raya No.1 Central Jakarta Gamaland 687 Under-construction
dence)
Menara Jakarta (Tower Equinox) Kemayoran Central Jakarta Agung Sedayu 396 Under-construction
Menara Jakarta (Tower Azure) Kemayoran Central Jakarta Agung Sedayu 860 Under-construction
The Linq Kemayoran (2 towers) Kemayoran Central Jakarta KG Global 1,020 Under-planning
Menteng 37 Jl. Menteng 37 Central Jakarta Pikko Group & Wijaya 99 Under-planning
Wisesa (JV)
The H Residence Kemayoran (Lotus) Jl. Rajawali Selatan Central Jakarta PT Hutama Karya 252 Under-planning
Realtindo
Jaya Ancol Seafront - Oceana Tower Pademangan, Ancol North Jakarta Jaya Ancol 524 Under-construction
Orient Residence Jl. Yos Sudarso, No 76 North Jakarta PT Tri Raton Mega 225 Under-planning
Fatmawati City Center - Corona Park Suite Fatmawati South Jakarta Agung Sedayu 620 Under-planning
Tower
Royal Park at Kebayoran (Arlington Tower) Jl. Cileduk Raya 18, Cipulir South Jakarta PT. Trixindo Selaras 630 Under-planning
Ratu Prabu 3 Residences TB. Simatupang South Jakarta PT Ratu Prabu Tiga 61 Under-construction
Samara Suites (was The Residence Gatot Jl. Gatot Subroto South Jakarta Synthesis Develop- 300 Under-planning
Subroto) ment
Lavish Kemang Residence Jl. Kemang Raya No.3, Bangka South Jakarta PT Kemang Karya 474 Under-planning
Utama
Green Sedayu Apartment Jl. Kamal Raya, Cengkareng West Jakarta Agung Sedayu 644 Under-planning
(Tower Pasadena)
continued
2020
Regatta Tokyo Tower Jl. Pantai Mutiara North Jakarta Intiland 276 Under-planning
Prajawangsa City (8 towers) Jl. Raya Bogor, Cijantung East Jakarta Synthesis Develop- 4,000 Under-planning
ment
East 8 (2 towers) Cibubur East Jakarta Karya Cipta Group 1,172 Under-planning
Fatmawati City Center(5 towers) Fatmawati South Jakarta Agung Sedayu 2,080 Under-planning
Green Sedayu Apartment (Tower New Jl. Kamal Raya, Cengkareng West Jakarta Agung Sedayu 920 Under-planning
York)
Source: Colliers International Indonesia - Research
IDR/sq m
Central Java 3 billion 1 billion
30,000,000
Yogyakarta 3 billion 1 billion
East Java 5 billion 1.5 billion 20,000,000
Bali 3 billion 2 billion
NTB 2 billion 1 billion 10,000,000
North Sumatera 2 billion 1 billion
East Kalimantan 2 billion 1 billion 0
Q3 2012
Q3 2014
Q1 2012
Q3 2015
Q1 2014
Q1 2016
Q3 2013
Q1 2015
Q1 2013
South Sumatera 2 billion 1 billion
Other location 1 billion 750 million
Source: Ministerial Regulation No.13 of 2016
CBD South Jakarta Non-Prime Area
Another appealing effort to bolster the current sluggish market Source: Colliers International Indonesia - Research
introduced projects are offered at a lower price compared to the Average 28,442,570 30,840,637 31,008,439 0.50% 9.00%
average market price, which may hamper further price growth. Source: Colliers International Indonesia - Research
To a greater extent, developers are quite concerned over the
weakened purchasing power of general consumers, which is
reflected in the latest data from the Statistics Bureau Indonesia,
where GDP only grew 4.92% in the first quarter of 2016, slower
than the estimate of slightly above 5%. Therefore, in order to
cope with such a situation, developers have mainly played the
role of a bank by providing installment schemes as their default
payment method. Moreover, in some cases, developers have of-
fered additional discounts, ranging from 3% to 5%, depending
on the installment period, meaning that longer installments re-
ceive a smaller discount.
Central
Jakarta
10%
Source: Colliers International Indonesia - Research
Q2 2016
Q2 2015
3Q 2014
Q3 2015
Q1 2014
Q1 2016
4Q 2014
Q2 2014
Q1 2015
The second quarter of each year (April June) is typically the During the current sluggish market where the amount of hous-
peak season for obtaining new inquiries from expatriates who ing inquiries has noticeably diminished, landlords are generally
are assigned to work in Indonesia. During this period orienta- accommodative to the clients needs particularly amid the glut
tion activities intensify prior to their relocation process in order of residential supply. This situation has forced landlords to be
to understand and appraise the geographical situation while at more flexible in deciding the rental tariff, or alternatively have
the same time familiarizing them with the local culture. Dur- an empty cash-burning dwelling. During the first semester of
ing their familiarization trips, normally they will view houses or 2016 we have experienced discounts ranging between USD50
apartments, medical facilities, supermarkets, shopping malls, to to USD1,000/unit/month for standard expat housing compared
get an idea of where they might want to live in Jakarta. For ex- to the previous semester. Based on our experience, the biggest
patriates relocating with children, the proximity to the preferred discount was granted for relatively small stand alone houses
international school will typically take first priority in deciding with the size of 400 500 sq m which previously commanded
home location. Normally the relocation details need to be de- a USD5,000/unit/month price tag. This is unquestionably due
cided prior to the start of the school academic year in August to the number of vacant units of this type of housing currently
or September. available on the market. More luxurious homes are not as sub-
ject to this range of discount because of the reduced number of
units available.
Kuningan
4 - 5 Bedrooms House 500 - 900 4,000 8,000
Pondok Indah
4 - 5 Bedrooms House 450 - 1,000 3,500 10,000
continued
Permata Hijau
4 - 5 Bedrooms House 400 - 1,500 4,050 10,800
3 - 4 Bedrooms Townhouse/complex 220 3,150
Kemang
4 Bedrooms Townhouse/complex 400 - 700 3,000 4,500
3 Bedrooms House 400 750 2,500 4,000
4 - 5 Bedrooms House 550 - 1,000 4,000 5,500
Cilandak
4 Bedrooms Townhouse/complex 300 - 700 3,000 6,000
3 Bedrooms Apartment + Study 300 - 600 2,500 3,500
4 - 5 Bedrooms House 450 - 750 3,500 5,500
Cipete
3 Bedrooms Townhouse/complex 200 - 300 2,500 3,500
4 Bedrooms Townhouse/complex 400 - 700 3,000 4,500
3 Bedrooms House 300 - 500 2,500 3,000
4 - 5 Bedrooms House 400 - 800 3,000 4,500
Pejaten
3 Bedrooms Townhouse/complex 400 - 600 3,500 4,500
4 Bedrooms House 500 - 900 3,500 5,500
Source: Colliers International Indonesia - Research and Residential Tenant Representation
Menteng
2 Bedrooms Apartment 90 - 142 35 51 54 56
3 Bedrooms Apartment 124 - 213 39 65 70
4 Bedrooms Apartment 319 176
Kuningan
2 Bedrooms Apartment 120 - 145 20 32.5 45.5 67.5
3 Bedrooms Apartment 157 - 166 32.5 39 49 52
4 Bedrooms Apartment 440 45.5
Pondok Indah
2 + 1 Bedrooms Apartment 117 - 190 42 48 45.5 - 55
3 Bedrooms Apartment 190 - 455 45.5 68 52 70
4 - 5 Bedrooms Apartment 285 - 455 66 71 73.5 83
Kebayoran Baru
2 Bedrooms Apartment 140 - 203 42 56
3 Bedrooms Apartment 243 - 302 58.5 78
4 - 5 Bedrooms Apartment 330 - 500 72 - 130
Kemang
3 Bedrooms Apartment 165 - 303 32.5 58.5
Cilandak
3 - 4 Bedrooms Apartment 164 29
3 Bedrooms Apartment + Study 300 58
Cipete
3 - 4 Bedrooms Apartment 220 - 295 52 78
Pejaten
2 - 3 Bedrooms Apartment 102 - 191 18 29
* exclude breakfast
Source: Colliers International Indonesia - Research and Residential Tenant Representation
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
A B C D E Average
Forecast at a glance
Jakarta
Cumulative Supply
Supply
The cumulative retail supply in Jakarta was recorded 5,000,000
at 4.47 million sq m while in the BoDeTaBek area,
4,500,000
the cumulative supply was 2.39 million sq m. Three
shopping centres totaling 78,000 sq m will be added 4,000,000
to the supply in Jakarta by the end of 2016. 3,500,000
3,000,000
Demand
2,500,000
Fashion and F&B retailers remained active in
searching for retail space. We anticipate big retailers 2,000,000
sq m
500,000
Occupancy
Occupancy in DKI Jakarta has been hovering for quite 0
sometime at around 86%. With a limited amount of
2011
2015
2013
2010
2017F
2012
2014
2019F
2018F
2016F
new supply, occupancy is expected to remain rela-
tively unchanged by the end of 2016.
Existing Supply Annual Supply Supply YTD Future Supply
Rent Source: Colliers International Indonesia - Research
The overall rental tariff is likely to increase next year
particularly because of continued demand for space
The beginning of Bassura City Malls operation during the quar-
in upper class malls.
ter marked it as the only new supply of shopping centre during
the first semester of 2016 in Jakarta. The mall is located within
a mixed-use development called Bassura City in East Jakarta.
By contributing circa 21,000 sq m of additional retail space,
the retail cumulative supply in Jakarta was recorded at 4.47
million sq m as of Q2 2016, showing a growth below 1% YoY.
The cumulative supply is expected to grow gradually in Jakarta.
Around 63% of the future supply in 20162019 are still in the
planning stage as of 2Q 2016. Thus far, retail moratorium in
certain commercial areas in Jakarta still exists but is likely sub-
ject to be ceased in line with the improvement in transportation
infrastructure. There might be some plans of new shopping
centre developments in the CBD area, but this has not yet been
officially announced in the market.
Fifteen shopping centres have gradually begun operations with- Distribution of Retail Spaces for Sale Based on
in the last five years in Jakarta. Nine of these shopping centres Area
are located in integrated residential developments (apartments)
to benefit from the local population. Lippo Mall Puri (opened in West CBD
2014), One Belpark Mall (2015) and Bassura City Mall (2016) Jakarta 1%
are the three latest operating shopping centres taking advantage 11%
of the surrounding massive residential developments. East
Jakarta
9%
Annual Retail Supply
250,000
Central
Jakarta
200,000 43%
150,000
North
Jakarta
28%
100,000
sq m
South Jakarta
8%
50,000
Source: Colliers International Indonesia - Research
0
The supply growth of retail spaces for sale (strata-title) has
2011
2015
2013
2010
2017F
2012
2014
2019F
2018F
2016F
4,000,000
Retail Supply Based on Area
3,500,000
West
3,000,000 Jakarta
2,500,000 East
Jakarta
2,000,000
North
1,500,000 Jakarta
sq m
South
1,000,000
Jakarta
500,000 Central
Jakarta
0
2010
2017F
2012
2014
2011
2015
2013
2019F
2018F
2016F
CBD
From the chart above, except for East Jakarta, the other re- 200,000
gions contributed more than 700,000 sq m of retail space as
of Q2 2016. Going forward, East Jakarta is expected to be- 150,000
come the most active region in contributing more retail space
sq m
in the future, together with West Jakarta. Thus far, based on 100,000
construction progress, only AEON Mall Jakarta Garden City is in
the construction stage. 50,000
0
Greater Jakarta
2011
2015
2013
2010
2017F
2012
2014
2019F
2018F
2016F
Cumulative Supply
Annual Supply Supply YTD Under Construction In Planning
3,500,000
Source: Colliers International Indonesia - Research
3,000,000
2,500,000
Cumulative Supply Based on Marketing Scheme
2,000,000 2,500,000
1,500,000
2,000,000
sq m
1,000,000
1,500,000
500,000
0 1,000,000
sq m
2011
2015
2013
2010
2017F
2012
2014
2019F
2018F
2016F
500,000
Existing Supply Annual Supply Supply YTD Future Supply
2017F
2012
2014
2011
2015
2013
2019F
2018F
2016F
Bekasi
Tangerang
Depok
Bogor
jakarta
2016
Pantai Indah Kapuk Mall Agung Sedayu Pantai Indah North Jakarta 30,000 Under Construction
Kapuk
Shopping Mall @ Pancoran Agung Podomoro Pancoran South Jakarta 8,000 Under Construction
Neo SOHO Mall (Podomoro City) Agung Podomoro Slipi West Jakarta 40,000 Under Construction
2017
New Harco Plaza Agung Podomoro Glodok West Jakarta 60,000 Under Construction
2018
AEON Mall Garden City Aeon Cakung East Jakarta 71,000 Under Construction
Mall @ Green Pramuka City Duta Paramindo Sejahtera Pramuka North Jakarta 30,000 In Planning
Mal Puri Indah 2 Antilope Madju Puri Indah Puri Indah West Jakarta 50,000 In Planning
Shopping Mall at Podomoro Park Agung Podomoro Buaran East Jakarta 40,000 In Planning
2019
Holland Village Mall Lippo Karawaci Cempaka Putih Central Jakarta 40,000 In Planning
Mall at The City Center Greenwood Mas Mansyur CBD 65,000 In Planning
Grand Metro Cipulir Priamanaya Cipulir South Jakarta 30,000 In Planning
Pondok Indah Mall 3 Metropolitan Kentjana Pondok Indah South Jakarta 60,000 In Planning
continued
BoDeTaBek
2016
Bekasi Trade Center 2 Gapura Prima Bulak Kapal Bekasi 56,000 Under Construction
Q Big Sinarmas Land BSD City Tangerang 69,000 Under Construction
2017
Grand Dhika City Mall Adhi Persada Realty Bekasi City Bekasi 24,000 Under Construction
2018
Plaza Indonesia Jababeka Plaza Indonesia & Graha Buana Jababeka Bekasi 55,685 Under Construction
Cikarang
AEON Mall Deltamas Aeon Deltamas Bekasi 90,000 In Planning
AEON Mall Sentul Aeon Sentul Bogor 15,000 In planning
Living World Jababeka Kawan Lama Jababeka Bekasi 18,000 In Planning
Vivo Shopping Mall Megapolitan Cibinong Bogor 20,000 Under Construction
Vivo Trademall Megapolitan Cibinong Bogor 13,000 In Planning
2019
Occupancy
Jakarta
Global Retail Development Index 2016
Market Time National
2016 Market Size Country GDP per
Country Saturation Pressure GRDI Score Population Retail Sales
Rank (25%) Risk (25%) capita, PPP
(25%) (25%) ($ billion)
1 China 100.0 61.2 36.2 92.5 72.5 1,372 14,190 3,046
30%
100,000
20%
10% 80,000
0%
2010
60,000
2012
2014
2011
2015
2013
2016YTD
sq m
40,000
CBD Outside the CBD Jakarta
0
The CBD remains an attractive location for branded local and
foreign businesses for expansion. This has caused a wide gap CBD Central South North East West
Jakarta Jakarta Jakarta Jakarta Jakarta
in the occupancy rates of the CBD and areas outside the CBD
since 2014. Nevertheless, amid limited retail space in the CBD,
Q2 2015 Q2 2016
the occupancy only grew moderately during the first semester
of 2016 and was registered at 92%. Source: Colliers International Indonesia - Research
sq m
ing this period were contributed by newly operating shopping 60,000
centres in 20152016. Apart from that, some retailers are now
doing fit-outs for their stores, which are seemingly ready to be 30,000
occupied around the end of 2016.
0
Upper Classes Middle Classes Middle-Lower
Classes
Q2 2015 Q2 2016
100%
75,000
90%
sq m
80% 50,000
70%
25,000
60%
50%
0
40%
Bogor Depok Tangerang Bekasi
30%
Q2 2015 Q2 2016
20%
Source: Colliers International Indonesia - Research
10%
IDR400,000
IDR750,000
IDR300,000
IDR600,000
IDR450,000 IDR200,000
IDR300,000 IDR100,000
IDR150,000 IDR0
Central South North East Jakarta West
IDR0 Jakarta Jakarta Jakarta Jakarta
2010
2012
2014
2011
2015
2013
2016YTD
Q2 2015 Q2 2016
Average asking rents for the whole area of Jakarta was re- IDR800,000
corded at IDR566,087/sq m/month as of Q2 2016. Around 20%
IDR700,000
of the total shopping centres contributed to the increase in the
average asking rent that grew 6% YoY. The most significant in- IDR600,000
crease occurred in North Jakarta, with at least seven shopping
IDR500,000
centres increasing the asking rents between IDR50,000 and
IDR200,000/sq m/month. In some cases, limited vacant space IDR400,000
pushed large well-known shopping centres to adjust the asking
IDR300,000
rent tariff, particularly for main areas like the ground floor. Such
adjustment has brought the average asking rent to climb sig- IDR200,000
nificantly by around 25% in North Jakarta. In East Jakarta, the IDR100,000
rental tariff adjustment was mainly due to the newly operating
shopping centre that changed the overall figure for the region. IDR0
Upper Classes Middle Classes Middle-Lower
As of Q2 2016, the average asking rent for retail occupation Classes
in the CBD was recorded at IDR855,965/sq m/month, while in
Q2 2015 Q2 2016
areas outside the CBD, it was IDR476,009/sq m/month.
Source: Colliers International Indonesia - Research
Based on mall grade, middle- and middle to lower-class shop-
ping centres showed higher growth in rental rates than upper-
class shopping centres YoY. However, in terms of occupation
cost, the rate for most middle-class shopping centres is basi-
cally 45% less expensive than what is quoted by most upper-
class shopping centres. Currently, the range of the average
asking rents for upper-class shopping centres is recorded at
IDR550,000 to IDR1,200,000/sq m/month, while the middle
classes were recorded at IDR300,000 to IDR600,000/sq m/
month (middle) and IDR200,000 to IDR400,000/sq m/month
for middle lower.
IDR250,000
Service Charges
IDR200,000
IDR150,000
Jakarta
IDR100,000 Average Service Charges in Jakarta
IDR50,000 IDR180,000
IDR0
IDR150,000
2011
2015
2013
2016YTD
2010
2012
2014
IDR120,000
IDR400,000
IDR0
2011
2015
2013
2016YTD
IDR350,000
2010
2012
2014
IDR300,000
IDR50,000 IDR120,000
IDR0 IDR100,000
Bogor Depok Tangerang Bekasi
IDR80,000
Q2 2015 Q2 2016
IDR60,000
Source: Colliers International Indonesia - Research
IDR40,000
In the greater Jakarta area, average rental rates in Bekasi and
Bogor showed a relatively significant increase compared to IDR20,000
those of other regions. With the same reason, the main trigger
for the increase was the inclusion of newly operating shopping IDR0
centres with higher asking rent to the overall rental calculation. Central South North East Jakarta West
The asking rents increased 8.4% in Bogor YoY while in Bekasi, Jakarta Jakarta Jakarta Jakarta
the increase was 18.3% YoY. Overall, with other minor changes
Q4 2015 Q2 2016
experienced by the other regions, the average asking rent in
BoDeTaBek was recorded at IDR352,119/sq m/month as of Q2 Source: Colliers International Indonesia - Research
2016, growing 9.4%, YoY.
2011
2015
2013
2016YTD
2010
2012
2014
YTD: Service Charge based on Mall Grade
IDR160,000 Bogor Depok Tangerang Bekasi Average
IDR80,000
IDR80,000
IDR60,000
IDR40,000 IDR60,000
IDR20,000
IDR40,000
IDR0
Upper Middle Middle-Lower
IDR20,000
Q4 2015 Q2 2016
Only six shopping centres made adjustments in the average ser- Q4 2015 Q2 2016
vice charge, with moderate increase of 3.3% YTD to IDR88,158/
sq m/month as of Q2 2016. We recorded about three shop- Source: Colliers International Indonesia - Research
1,500 Delta Silicon also felt that the recent market conditions have
been very slow. This quarter they only performed a land trans-
1,000 action for roughly one hectare with a Taiwanese packaging com-
pany and a local auto parts company. Nevertheless, they expect
500
a brisker outlook next quarter, with several transactions in the
0 pipeline. Such conditions were also experienced by Greenland
Bogor Tangerang Karawang Bekasi Serang
International Industrial Centre (GIIC), where they expect to see
market improvement in the third quarter, with several sizeable
Existing Stock Remaining Unsold Land transactions on the horizon. In total, Bekasi registered a total
Potential Land To Be Developed of 17.5 hectares in transactions, the most compared to other
regions and a 50% increase QoQ.
Source: Colliers International Indonesia - Research
Bekasi Fajar
In Karawang, two industrial estates reported sales which ac-
counted for a total of 4.1 hectares. Though small, this figure
Modern Cikande is higher than last quarters 3.5 hectares. After registering 2
hectares in land sales last quarter, KIIC reported around 3 hect-
Jababeka ares worth of sales from the expansion of a Japanese auto
parts company. Meanwhile, a steel company based in Korea also
KIIC expanded at Suryacipta, taking up 1.1 hectares. Two other indus-
trial estates in Kota Bukit Indah did not record any transactions
Millennium of industrial land for sale or lease. Since the beginning of 2014,
Karawang has registered a total transaction volume of under 10
Suryacipta
hectares every quarter.
Delta Silicon
Millennium sold roughly the same amount of land QoQ, totalling
Krakatau Industrial Estate Cilegon
1.9 hectares, made up of a 1.4-hectare land plot sale to the plas-
tics industry and various standard warehouse buildings ranging
from 600 sq m to 1,000 sq m, totalling about 5,000 sq m of
0 2 4 6 8 10 12
land. There are several other industrial estates in Tangerang,
hectares
Source: Colliers International Indonesia - Research
1,200
1,000
Land Price
Greater Jakarta Industrial Land Prices
800
USD250.00
600
USD225.00
Hectares
400 USD200.00
USD175.00
200
USD/sq m
USD150.00
0 USD125.00
2006
2008
2009
2007
2010
2012
2014
2011
2015
2013
2016YTD
USD100.00
USD75.00
2015
2013
2006
2008
2009
2016YTD
2007
2010
2012
2014
Throughout the first half of the year, the logistics sector be-
came the most active sector, similar to the trends of the last
two years.
to IDR3.5 million, depending on the estate specifications (qual- lowest highest average lowest highest average
ity, facility, etc.) and the tenants. In Karawang, prices are mainly Bogor 120.00 210.21 165.11 0.06 0.06 0.06
offered in US dollar, starting from USD170 to USD200. As of Q2 Bekasi 180.18 240.24 218.17 0.06 0.08 0.07
2016, land prices across greater Jakarta are primarily quoted Tangerang 142.64 150.15 146.40 0.03 0.08 0.06
in ID rupiah, and thus far prices in US dollar are only found in Karawang 170.00 200.00 185.00 0.05 0.10 0.06
Karawang. Serang 150.15 165.17 157.66 0.03 0.05 0.04
*1USD = Rp 13,320
Currently, a 10% discount on the asking price is quite common, Source: Colliers International Indonesia - Research
and still within the target of the transacted price. Larger dis-
counts may occur for large-scale land transactions.
2008
2009
2007
2010
2012
2014
2011
2015
2013
2016YTD
Swiss-belhotel
International MaxOne
19% 19%
Archipelago
International Accor
13% 25%
90 18,900
80 16,800
70 14,700
60 12,600
50 10,500
8,400
40
6,300
30
4,200
20
2,100
10
0
0
2011
2015
2013
Q1 2016
2010
Q2 2016
2017F
2012
2014
2019F
2018F
2016F
2011
2015
2013
Q1 2016
2010
Q2 2016
2017F
2012
2014
2019F
2018F
2016F
Source: Colliers International Indonesia - Research Source: Colliers International Indonesia - Research
New Pipeline
projected
STARRED STR CHAIN
HOTEL NAME LOCATION REGION ROOMS project status completion
RATING SCALE RATE
TIME
Yello Hotel Hayam Wuruk 3-star Not define yet Hayam Wuruk Central Jakarta 372 Under construction Q3 2016
Harper TB Simatupang 3-star Not define yet TB Simatupang South Jakarta 180 Opening Q3 2016
preparation
Whiz Prime Hayam Wuruk 3-star Not define yet Hayam Wuruk Central Jakarta 100 Under construction 2016
Ibis Styles Jakarta PIK 3-star Midscale Class Pantai Indah Kapuk North Jakarta 200 Under construction 2016
Ibis Styles Kemang 3-star Midscale Class Kemang South Jakarta 200 Deferred 2016
Ibis Styles Tanah Abang 3-star Midscale Class Tanah Abang Central Jakarta 225 Post Tender 2017
Grand Zuri Mangga Dua 3-star Not define yet Mangga Dua Central Jakarta 130 Design Stage 2017
Hotel Pasar Senen 3-star Not define yet Pasar Senen Central Jakarta 200 Under construction 2017
Santika TB Simatupang 3-star Upper Upscale TB Simatupang South Jakarta 160 Permit Process Q1 2018
Class
Total 3-star hotel rooms 1,767
Swiss-Belhotel - Kelapa Gading 4-star Upscale Class Kelapa Gading North Jakarta 316 Under construction Q3 2016
Swiss-Belhotel Rasuna 4-star Upscale Class Rasuna Epicentrum South Jakarta 323 Under construction Q3 2016
Epicentrum
Harris Hayam Wuruk 4-star Upscale Class Hayam Wuruk Central Jakarta 238 Under construction Q3 2016
Four Points by Sheraton Jakarta 4-star Upscale Class Thamrin CBD 162 Opening Q3 2016
preparation
Holiday Inn Hotel & Resorts 4-star Upper Gajah Mada Central Jakarta 420 Opening Q4 2016
Jakarta Gajah Mada Midscale Class preparation
Prima Hotel 4-star Not define yet KH Wahid Hasyim Central Jakarta 150 Under construction 2016
Aston Titanium Cijantung 4-star Upscale Class Cijantung East Jakarta 225 Opening 2016
preparation
Suite Novotel Jakarta PIK 4-star Upscale Class Pantai Indah Kapuk North Jakarta 220 Opening 2016
preparation
Grand Whiz Poin Square 4-star Not define yet Lebak Bulus South Jakarta 132 Opening 2016
preparation
continued
Four Seasons 5-star Luxury Class Gatot Subroto CBD 125 Opening Q3 2016
preparation
The Westin Jakarta@Gama 5-star Luxury Class Rasuna Said CBD 283 Opening Q3 2016
Tower preparation
Alila - SCBD lot 11 5-star Luxury Class SCBD CBD 250 Under construction 2016
InterContinental Jakarta Pondok 5-star Luxury Class Pondok Indah South Jakarta 470 Under construction 2017
Indah Hotel & Residences
The Langham District 8@Lot 28 5-star Luxury Class SCBD CBD 200 Under construction 2017
SCBD
JW Marriott @St Moritz 5-star Luxury Class Puri Indah West Jakarta 208 Under construction 2017
JW Marriott @Kemang Village 5-star Luxury Class Kemang South Jakarta 275 Deferred 2017
Park Hyatt Hotel 5-star Luxury Class Kebon Sirih Central Jakarta 150 Under construction 2017
W Hotel @Ciputra World Jakarta 5-star Luxury Class Mega Kuningan CBD 126 Deferred 2018
2
Aryaduta - Holland Village 5-star Upscale Class Cempaka Putih Central Jakarta 180 Under construction 2018
Sofitel 5-star Luxury Class Mega Kuningan CBD 212 Under construction 2018
Regent 5-star Luxury Class Gatot Subroto CBD 127 Under construction 2018
Rosewood Jakarta 5-star Luxury Class Satrio CBD 200 Design Stage 2018
St Regis 5-star Luxury Class Gatot Subroto CBD 280 Design Stage Q1 2019
Waldorf Astoria 5-star Luxury Class Thamrin CBD 181 Abandoned 2019
Total 5-star hotel rooms 3,267
Total star hotel rooms 9,847
Source: Colliers International Indonesia - Research, STR Global
40
30
20
10
2010
Q2 2016
2017F
2012
2014
2011
2015
2013
2019F
2018F
2016F
Q1 2016
Source: Colliers International Indonesia - Research
Number of Passengers Through Soekarno Hatta, In the CBD area, the highest increase in occupancy happened
Ngurah Rai and Juanda Airports in luxury-class hotels. With good market conditions, the AOR
for luxury hotels increased by 4.78% in Q2 2016, bringing the
4,000,000 AOR to 53.17%. The second biggest increase in the CBD area
was experienced by upscale-class hotels with 4.36% increase,
3,500,000
bringing the AOR to 55.26%. Upper upscale-class hotels ex-
3,000,000 perienced 4.04% increase, bringing the AOR to 60.01% in Q2
2016. Upper midscale- and midscale-class+ hotels experienced
2,500,000 3.45% increase, bringing the AOR to 56.83%.
2,000,000
The good occupancy rating by hotels in the CBD area was fol-
1,500,000 lowed by hotels outside CBD. In upper upscale-class hotels, the
AOR increased significantly by 5.73% QoQ, bringing the AOR to
1,000,000 54.59%. Meanwhile, in upscale-class hotels, the AOR increased
by 3.95% to 60.34%.
500,000
2009
2010
2012
2014
2011
2015
2013
2016YTD
100%
90%
Soekarno - Hatta Ngurah Rai Juanda
80%
Source: Statistics Bureau Indonesia
70%
60%
Performance 50%
The tight competition has exerted a big impact on the hotel sec- 40%
tor. To achieve the revenue target, they pushed to optimise ev-
30%
ery sector in the hotel.
20%
10%
0%
Jan Feb Mar Apr May
Jakarta CBD Outside CBD
90% 90%
80% 80%
70% 70%
60% 60%
50% 50%
40% 40%
30% 30%
20% 20%
10% 10%
0% 0%
2013 2014 2015 Q1 2016 Q2 2016 2013 2014 2015 Q1 2016 Q2 2016
Jakarta CBD Outside CBD Upper Upscale Class Upscale Class
60% In the CBD area, the ADR for all classes generally slightly in-
50%
creased. The highest increase happened in luxury-class hotels,
exhibiting 0.87% increase. It brought the ADR to USD178.73.
40% Upper midscale- and midscale-class+ experienced 0.85% in-
30% crease to USD60.87. Upscale-class hotels also experienced a
20%
spike. The AOR increased by 0.59% to USD76.58. In upper up-
scale-class hotels, the increase was only 0.24% to USD120.11.
10%
0% For areas outside the CBD, the ADR were varied. In upper up-
2013 2014 2015 Q1 2016 Q2 2016 scale class, there was a 0.70% increase, which brought the ADR
to USD87.68. Meanwhile, for the upscale class outside the CBD,
Luxury Class Upper Upscale Class
there was a 0.48% decrease, bringing the ADR to USD63.05.
Upscale Class Upper Midscale & Midscale Classes+
Source: STR Global The increase in ADR of Jakarta hotels in Q2 2016 was affected
by the numerous MICE activities held before the festival. Al-
though the increase was not significant, it signalled that the per-
formance of Jakarta hotels is getting better.
USD120.00 USD160.00
USD120.00
USD90.00
USD80.00
USD60.00
USD40.00
USD30.00
USD0.00
USD0.00 2013 2014 2015 Q1 2016 Q2 2016
Jan Feb Mar Apr May
Luxury Class Upper Upscale Class
Jakarta CBD Outside CBD Upscale Class Upper Midscale & Midscale Classes+
Average Daily Rate (ADR) in Jakarta Average Daily Rate (ADR) in Outside the CBD
USD150.00 USD90.00
USD75.00
USD120.00
USD60.00
USD90.00
USD45.00
USD60.00
USD30.00
USD30.00
USD15.00
USD0.00 USD0.00
2013 2014 2015 Q1 2016 Q2 2016 2013 2014 2015 Q1 2016 Q2 2016
The same situation happened in the end of 2014 when the gov-
ernment issued a regulation to ban government meetings in ho-
tels. It brought down hotel performance significantly and the
government market was lost. Hoteliers should prepare for the
worst situation if the government amends the budget.
Accelerating success.