Many Subsidized Residential Commercial Modified So, Why?

Housing-Estate.com, Jakarta – Among developers in principle support the program’s development both residential home’s footprint and ruman stacking. They said he was happy to sell cheap houses because the demand is great. But that became a classic problem is the complaints of developers about the availability of land, and regulatory support.

Tower Latumenten

“How the concept of balanced residential, program low-cost housing, the program thousand tower flats (flat), the developer must have support and during this time also did anybody else if not us. But employers will not build if the lose, so government regulators must be able to understand this, “said the Secretary General of Real Estate Indonesia (REI) Day Raharta Sudradjat, to housing-estate.com in Jakarta, Monday (31/10).

Problem construction of flats cost more complicated. In addition to hard looking for cheap land in urban price of the building is also more expensive. The first is still possible to build towers at a price of 3.7 million / m2, now costs over 5 million / m2 outside the ground. Problem spacious apartment units also need to be clear, is it okay types 18, 21, or 36 m2. Everything was tied to the price of production and sales price benchmark.

The lack of clarity about this makes a lot of developers to change the concept of the towers of subsidized products become commercially viable. They worry that size does not correspond to the benchmark consumer does not get a VAT exemption. The problem could be complicated because the developers are already marketing their products as flats subsidies received VAT exemption facility. Because the developers chose to market as commercial towers because consumers already know from the beginning no VAT.

“We want to sell at subsidized prices, but the calculation of income make us change so commercial that consumers subject to VAT and other costs. It is not a matter of licensing, therefore the government should understand this so that the housing program can run business and sustainable development, “he said.

housing-estate.com

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