Commercial Property Prices Down Significantly Ahead of Weekend 2016

JAKARTA, KOMPAS.com – Survey of Bank Indonesia (BI) showed a significant decline in commercial property prices in the third quarter, 2016.

The decline in commercial property price index is called BI was due to limited growth in demand throughout the third quarter of 2016.

commercial property price index stood at 167.34 a decrease of 0.19 per cent on a quarterly basis.

the decline was sharper than that occurred in the previous quarter, which is 0.07 percent .

“the decline in commercial property prices mainly occurred in the apartment segment (-0.59 percent) and retail (-0.34 percent), particularly in the area Jabodebek in line with the growth in demand is limited,” wrote in his survey of BI .

in addition Jabodebek, the highest price decline also occurred in Makassar, which amounted to 0.05 per cent and amounted to -0.04 percent in Medan.

Meanwhile, commercial property prices rise significantly occurred in the hotel segment in almost all cities with a record 10.65 percent growth, amounting to 17.61 percent mainly Bandung, Makassar 13.85 percent, 12.39 percent Jabodebek.

“the increase in the hotel room rates in line with the high demand for their PON activity in Bandung and meetings outside the office, “said BI.

Annually, commercial property prices have increased by 0.12 percent, but lower than the second quarter of 2016 the increase was recorded 0, 89 percent.

comes from the highest price increase convention space segment amounted to 12.24 percent. While annual price declines only occurred in the apartment segment (-1.14 percent), especially in Jabodebek were down -2.97 percent and -2.6 percent as higher Medan additional supply than demand growth.

property .kompas.com

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