Jakarta Post – Publicly listed property developer PT Intiland Development (DILD) has set aside Rp 1.5 trillion (US$159 million) to finance the company’s seven major multi years projects thus year ini Greater Jakarta and Surabaya.
The projects include residential township, office buildings, mixed-use and high-rise, industrial estate and hotels development, Intiland executive director Archied Notopradono said on Tuesday.
“We have set a target of Rp 1.6 trillion in marketing sales this year, which will mostly be derived from our residential projects,” said Intiland executive director Archied Notopradono on Tuesday.
Intiland corporate secretary Theresia Rustandi said that 12 percent (Rp 180 billion) of the company’s capital expenditure will be used to develop township and estate Serenia Hills, 10 percent (Rp 150 billion) for residential estate Graha Natura, and 8 percent (Rp 120 billion) for Ngoro Industrial Park.
About 14 percent (Rp 210 billion) will be used for both mixed-use and high-rise South Quarter and 1Park Avenue, 6 percent (Rp 90 billion) for Whiz hotel chain and 4 percent (Rp 60 billion) for Aeropolis, she added.
“The rest of the capital expenditure will be used to finance the maintenance and the development of our existing estates and high rises,” Theresia told The Jakarta Post.
Intiland is also currently constructing several hotels in Jakarta, Malang, Bogor, Makassar and Manado, which will all begin operation in 2013, according to company director Moedjianto S. Thahjono.
“We will launch one budget hotel Whiz, in Kelapa Gading by the end of this year,” said Moedjianto. The company is currently operating four budget hotels located in Yogyakarta, Semarang and Bali.
During the first quarter of this year, Intiland booked RP 278.6 billion in total revenue 9.25 percent lower than Rp 307 billion booked in the same quarter of last year. The company’s net income in the January – March period of this year was cut in half to Rp 40 billion, compared with the first three months of last year.
“We are optimistic about reaching the targeted 25 percent increase in net income this year as we will start to gain revenue from marketing sales,” Archied said.
Shares in Intiland traded at Rp 340 on Tuesday’s close, unchanged from the previous day. The stock has risen 33.33 percent so far this year. (NAD)