Posts Tagged Property
Summary of Government Regulation No. 41 of 1996 on Residences Ownership by Foreigners Who Are Domiciled in Indonesia
Posted by admin in Foreign Ownership on March 8, 2010
The purpose of the Government Regulation No. 41 of 1996 (the “GR No. 41”) is to give a legal certainty for foreigners who own property in Indonesia. Foreigners who are domiciled in Indonesia are foreigners who give benefits for national development.
The requirements of property ownership by foreigners who are domiciled in Indonesia are as follows:
1. Property which is built on a land:
Having a Right to Use (Hak Pakai) over a state land;
Having a Right to Use which based on an agreement between the foreigner and the holder of rights over land (for example: Rights to Own or Rights to Build)
2. Strata title units which are built on a land with Right to Use over a state land. Read the rest of this entry »
Legal Status of a Property over the Right to Manage
Posted by admin in Right to Manage on January 4, 2010
Not all land has a pure rights over land. There is a Right to Manage (Hak Pengelolaan Lahan – HPL) over some lands, like in some areas in DKI Jakarta, for example Senayan, Kemayoran, Pulomas, etc.
HPL is not a right over land and is not regulated in the Agrarian Law but it is regulated in the Goverment Regulation No.8 of 1953 on Control Over State Lands and Agrarian Minister Regulation No. 9 of 1965 on the Implementation of the Conversion of Control Over State Lands and Provisions on the Subsequent Policy.
HPL object is agricultural land and non agricultural, whereas the subject or the holder of HPL in general is Provincial Government (“PEMDA”), State-owned Corporation (“BUMN”), and Provincial-owned Corporation (“BUMD”) according to the goverment regulation as referred above.
HPL has no ownership period and is given only on state land controlled by PEMDA, BUMN, and BUMD with the purpose to control zoning and land use, so it is suitable with its zoning plan.
HPL is essentially a right concerning authority as stated in Article 1 paragraph 1 Regulation of the Minister of Domestic Affairs No.1 of 1977 on the Application Procedure and Resolution of Grant of Rights Over Parts of the Right to Manage and its Registration, as follows:
- to plan the use of the land;
- to use the land for the purpose of implementing its business;
- to deliver some parts of the land to the third party, according to the requirement specified by the rights holder company, which includes its purpose, use, time period and financial, provided thatthat the grant of right of the land is conducted by the authorities, in accordance with the applicable laws and regulation.
Some kinds of rights of land such as Right to Build (HGB), Right to Cultivate (“HGU”), Right to Use (“HP”) can be issued over the HPL, but in practice and in accordance with Article 7 paragraph (2) of Law No.16 of 1985 on Condominium, a Right to Build is more often issued over HPL based on the agreement between the holders of HPL and the third party. For example, a Right to Build is issued over HPL with a purpose of building an apartment for residence. Therefore, every Rights to Build granted to third party must be approved by the HPL holder and as long as there is no change of use of a HPL land, then such approval shall be granted to third party. Thus, it is clear that an approval serves as a control function and is not an absolute authority from HPL holders.
Ivan Ari
Condominium Development Policy
Posted by admin in Property Law, Strata Title on August 18, 2009
Housing and residence are every human being basic needs. With the increasing number of inhabitants, the land space provided becomes very limited. Because of that, houses are made in a multistory structure or commonly known as condominium (rumah susun). The development of condominium is an alternate problem solution of the needs of housing and residences especially in the cities or urban areas where the inhabitant is always expanding. That is because by developing condominium, the use of land can be suppressed, it provides a more spacious open-air city areas, and it can also be used to rejuvenate a city from the slum areas.
Indonesia has a law that regulate condominium, it is Law No. 16 of 1985 about Condominium (the “Law of Condominium”). The definition of condominium according to Article 1 number (1) on the Law of Condominium is a multistory structure building built in an environment that is divided into parts which functionally structurize horizontally and vertically and consist of units that can be owned individually and can be used separately, particularly for residence, which is completed with shared parts, shared properties, and shared land.
The main regulations of condominium are Law No. 16 of 1985 (enacted on December 31, 1985) and Government Regulation No. 4 of 1988 (enacted on April 26, 1988). There are also other regulations that specifically regulate condominium or strata title.
Direction of policy for condominium in Indonesia can be found within the Law of Condominium, there are three (3) essential substances, which are: Read the rest of this entry »
Contact Our Lawyer
-
