Foreign ownership of freehold land in Indonesia is not permitted at this time. This law is currently under review in Parliament.

The following ownership options are available, with buyer security being of the foremost consideration. Individual villa properties will be sold on a Hak Milik (freehold) title to buyers who can choose from either of the following two options to acquire their property.

Freehold (hak milik)

This option allows Indonesian citizens to purchase properties in their own name and foreigners to do the same using a nominee structure. The nominee structure involves entering into a series of legal contracts with an Indonesian citizen, who holds the title in his/her name but simultaneously passes over all of the material rights to the foreigner.

"Right of use" (hak pakai)

This option has been designed specifically for foreign buyers and provides for ownership in their own name for a period of 100 years. This title is provided in four automatically renewable 25-year "Right to use" agreements overlaying the hak milik title. This is the only title recognised by an Indonesian court of law and fully protects the foreigner owner.

Leasehold

Foreign buyers may also choose a 100 year lease option in their own name.

Please contact your legal advisors to see which option works best for you. We can recommend third party legal advisors in Bali or Jakarta to explain the ownership options available to you.