JAKARTA. Property developer Jababeka expects commercial real estate to see a boost from repatriated funds, as it is more suitable for the three-year lock-up period required under the tax amnesty..
Jababeka director Hyanto Wihadi said commercial real estate would be suitable for repatriated assets as it offers an increasing price over years, generates recurring income and can be utilized for long-term business purposes.
“We hire tax consultants in our marketing offices so that people can consult us directly regarding the eligibility of our properties for their repatriated assets,” Hyanto told thejakartapost.com during a The Jakarta Post seminar entitled "Accelerating Infrastructure Development" in Jakarta on Monday.
Hyanto predicted that Java-based property assets would take the lion's share of investment funds stemming from repatriated assets as a lack of infrastructure made similar investment instruments on other islands less attractive.
“Real estate outside Java is usually purchased by local people who want to develop their homeland,” Hyanto said.
Trimegah Securities analyst Angga Aditya Assaf however predicted that people would place their assets in capital market instruments first, before property. (Anton Hermansyah)
