Emaar in $600m Indonesia project
Dubai, March 19, 2008
Emaar Properties has signed a joint venture deal with Bali Tourism Development Corporation (BTDC) to develop a major tourism project in Indonesia.
The agreement for the Lombok mega-tourism and mixed-use project was signed in the presence of Indonesian President Dr Susilo Bambang Yudhoyono by I Made Mandra, president director, BTDC, and Muhammad Lutfi, chief, Investment Coordinating Board, and Mohamed Ali Alabbar, chairman, Emaar Properties, in Dubai, today.
The Lombok project is envisaged as a world-class residential and resort community sprawling over 1,175 hectares. Masterplanning for the Dh2.2 billion ($600 million) development will begin in April.
Set on the pristine Kuta and Tanjung beaches, the project will be environment-friendly and integrate residential, leisure and hospitality zones. The JV will also explore further growth opportunities in Indonesia.
Mandra said: “The joint venture with Emaar Properties underscores the strong bilateral business relations between Indonesia and the UAE. Indonesia welcomes investments that add to the socio-economic prosperity of our people, and Emaar with its proven competencies as a world-class developer, can contribute to the country’s economic growth. The Lombok project will particularly focus on tourism to complement the growing appeal of the destination.”
Alabbar said: “Bali Tourism Development Corporation has been one of the prime drivers of the Indonesian economy, and has accomplished several milestone projects with a focus on infrastructure building. The joint venture lends momentum to our expansion plans for Indonesia, a key market where we have already been involved in developing eco-friendly homes in Ngelepen to rehabilitate the earthquake affected.”
Emaar is one of the first developers from the Middle East and North Africa region to expand into Indonesia, an emerging market with strong growth potential, especially in the tourism sector. Last year, Emaar signed the Memorandum of Understanding (MoU) with Perusahaan Pengelola Aset (PPA), the state-owned Asset Management Company, for developing the Lombok project.
The focus of the project will be to drive tourism to the region by offering a diverse leisure spread such as diving, snorkeling, hiking and surfing sports, for which Lombok is acclaimed globally. There will be a 7 km natural waterfront supporting a marina, luxury residences, golf course and resorts to be operated by five-star hospitality chains.
Established in 1973, BTDC supports the Indonesian government in economic and national development, with emphasis on strengthening foreign investment and creating job opportunities. BTDC has been instrumental in the inception of some of Indonesia’s renowned development projects including hotels, resorts and shopping complexes. -TradeArabia News Service