Agung Podomoro (APLN) Holds Property Investment Festival

Published 15 September 2022 | 03:18 am

JAKARTA, The resilience of the property sector to various economic situations has stood the test of time. Even though it was affected by the pandemic, now is the time for the property sector to bounce back and become one of the pillars of Indonesia's economic recovery. The revival of the Indonesian property sector is now the focus of Agung Podomoro which is realized through the Property Investment Festival – 53 Years of Agung Podomoro which will take place on 6-18 September 2022 at Central Park Jakarta.

"We hope that there will be a revival of people's purchasing power towards property so that the property sector can also recover to be stronger. Agung Podomoro is committed to continuing to contribute significantly through accelerating the progress of our property project development in various regions in Indonesia," said Marketing Director of PT Agung Podomoro Land Tbk (APLN) Agung Wirajaya in an official statement, Thursday (8/9/2022).

Along with the recovery of economic conditions and community activities, the property sector in Indonesia shows a positive trend. The results of the Residential Property Price Survey (SHPR) conducted by Bank Indonesia with a sample of developers in 18 cities noted that the Residential Property Price Index (IHPR) in quarter 1-2022 grew by 1.87 percent Year on Year (YoY).

Agung explained that the company's performance was recorded from sales and operating revenues of Rp2.20 trillion in the first semester of 2022. In line with positive economic growth of 5.23 percent per semester I-2022, the company believes that the prospect of the property industry will be brighter. In semester I-2022, APLN recorded sales of Rp1.55 trillion, up 48.0% from Rp1.05 trillion in the previous same period.

Meanwhile, Agung Podomoro's property projects in various areas such as Podomoro City Deli Medan and Podomoro Park Bandung recorded the largest sales recognition value. "We present a number of quality projects such as the City of Podomoro Tenjo which was built during the pandemic, and was greeted with great enthusiasm until it sold more than 4,200 units within 2 years after its launch. The presence of new projects and property developments in various areas is expected to support the optimization of economic recovery," he said.

Agung said that his party is well aware that the recovery of the property industry requires collaboration from all parties, from developers, industry players, consumers, and the government. In the midst of a dynamic economic situation, he continued, the property industry must be encouraged to recover faster so that people's purchasing power rises stronger.

"The government's incentives to provide relaxation should also be appreciated and supported. We see that this program has a tremendous impact on the community and property industry players," he said.

President Director of PT Era Indonesia Darmadi Darmawangsa said that the relaxation from the government by providing incentives for Government Borne Value Added Tax (PPN DPT) for property purchases also created a very positive sentiment in the property market.

“The economic situation in the future is expected to be more dynamic and challenging, given the increase in prices such as fuel oil (BBM) which is expected to have an impact on rising inflation to 6.6-6.8%. However, it is people who invest their money to buy property that will be more profitable,” he said.

Darmadi said inflationary pressure will weaken purchasing power, but it is precisely in this position that the potential for property investment shines. “The time-tested resilience of the property industry proves that investment in this sector is the most promising. Property is actually an anti-inflation investment asset, which keeps funds or assets safer and even continues to experience value added, "he said.

He gave an example of property prices that continue to rise from year to year will be more profitable than funds that are only stored in banks. Moreover, now the interest on savings in the bank is only 0%.

“Experience has proven that property prices will always go up and the increase is always above the interest rate on deposits in banks and inflation. Investing in property means buying assets that have goods, so that the risk becomes more measurable. Not only that, property investment can bring profits at the same time if it is rented or sold with increasing prices every year," he said.

Source: SOURCE