Foreign Investment in Land & Property
Investing in land and property in Indonesia presents significant opportunities for foreign businesses. However, the legal landscape can be complex, particularly regarding ownership structures, permits, and regulatory compliance. At DSDP Counsellors at Law, we provide expert legal guidance on how foreign investors can acquire land and property in Indonesia, navigate foreign investment regulations, and structure joint ventures with local partners. Our services ensure that your investment is legally sound, compliant with Indonesian laws, and aligned with your business goals.
Our Services Include:
1. Acquiring Land Through Hak Pakai or Long-Term Lease
- Hak Pakai (Right to Use): We assist foreign investors in acquiring land through Hak Pakai, the legal right to use land in Indonesia for a specific period (typically 25 to 30 years) with the option to extend. Our team helps clients understand the terms, conditions, and limitations of Hak Pakai as a viable alternative to full ownership.
- Long-Term Leases: For foreign investors seeking long-term land use, we help negotiate and draft long-term lease agreements (typically 25 to 50 years). Our team ensures that lease agreements are compliant with Indonesian law and clearly define terms related to rent, renewal options, and land use.
- We also guide clients on how to structure these agreements to ensure that the terms meet both legal requirements and business needs, while securing the best possible terms for long-term land usage.
2. Structuring Joint Ventures with Local Partners
- Joint Ventures: We help foreign businesses form joint ventures with Indonesian local partners, enabling them to navigate Indonesia’s foreign ownership restrictions. Our team provides strategic advice on creating joint ventures that comply with Indonesian regulations on foreign ownership in sectors where restrictions apply.
- We assist with the drafting of joint venture agreements, ensuring that ownership, management responsibilities, profit-sharing arrangements, and dispute resolution mechanisms are clearly defined and legally binding.
- Our services include advising on the best corporate structure for the joint venture, whether as a PT PMA (Foreign Investment Limited Liability Company) or other structures that align with the local regulations and your business objectives.
3. Obtaining the Necessary Investment Permits
- Foreign Investment Permits (PMA): We help foreign investors obtain the necessary permits from the Indonesia Investment Coordinating Board (BKPM) for land acquisition and property development. This includes navigating the registration process and ensuring compliance with the Foreign Investment Law (PMA).
- Sector-Specific Permits: Certain industries require additional regulatory approvals. Our team assists in obtaining sector-specific permits for industries such as real estate, hospitality, manufacturing, and infrastructure, ensuring compliance with local zoning laws and other regulations.
- We also advise on the necessary licenses and permits for land use, including environmental and building permits, to ensure that all aspects of your investment comply with local and national laws.
Why Choose Us:
With in-depth knowledge of foreign investment laws and regulations in Indonesia, DSDP Counsellors at Law provides comprehensive services to guide foreign investors in acquiring land and property, forming joint ventures, and navigating regulatory requirements. Our team ensures that your investments are structured in compliance with Indonesian laws, minimizing risks and helping you achieve your business goals. Whether through Hak Pakai, long-term leases, or joint ventures, we are your trusted partner for successful foreign investments in land and property in Indonesia.