Category: Building

Condominium on the Land with Right to Build over the Land with Right of Management

Background

Article 7 paragraph (1) and (2) of Law Number 16 of 1985 on Condominium, the developer (the “Developer”) may build a condominium over the land with Right of Management (Hak Pengelolaan) (“HPL”). HPL is a right to control, given by the state which the implementation is delegated to its holder. Rights of land that may be granted over the HPL land are Right to Build (Hak Guna Bangunan) (“HGB”) and Right of Use (Hak Pakai) (“HP”). The Developer is obligated to complete the HGB or HP status of the land prior to the initial offer of any property over the land, in accordance with the prevailing laws and regulation. Therefore, the Developer must be aware of the procedure of the obtaining of such rights and other requirements related to HGB and HP over HPL land, which is set out in the Government Regulation Number 40 of 1996 (“GR 40/1996”) and State Minister of Agrarian/Chief of National Land Agency Regulation Number 9 of 1999 on Procedure of the Granting of Rights of Land and Revocation of Right of State Land and Right of Management (“Regulation 9/1999”).

Read More

Building Construction Permit in Jakarta

Background

As the capital city of state of Indonesia, Special Capital Region of Jakarta (“Jakarta”) is a center of economic and trade center in Indonesia, which located in the west island of Java. Furthermore, as the central of government of Indonesia, Jakarta is also occupied by buildings that serve as the center of government offices, residential homes, and places of business. Aside to having been regulated on the laws and regulations on building structure establishment permit, and regulations pursuant to buildings and structures, buildings in the Jakarta area are specifically regulated in the Regulation of Jakarta Special Capital City Region Number 7 of 1991 on Building in the Special Capital City Region of Jakarta (“Regulation of DKI No. 7 of 1991”).

Building Construction Permit

The building constructions in Jakarta area can be conducted by firstly obtaining its permit from the Governor of the Special City Region of Jakarta (“Governor”), in the form of Building Construction Permit (“IMB”). The IMB application shall be made by written form to the Governor and submitted through the Section of Sub-District Office (Seksi Dinas Kecamatan) or Department of Sub-District Office (Suku Dinas Kecamatan). The Governor may refuse the IMB application, if the construction of building (i) is violating or harming the public interest, (ii) would harm the interest of local communities, such as endangering the health or environment harmony, and, (iii) has not perform the written instruction, as the condition of application process. The IMB shall be revoked, if the building construction has not been implemented within a period of 6 (six) months from the issuance of the permit, or in the event of the building construction is not continued, except it is notified by written notice by the permit holder.
Prior to the issuance of IMB, Section of Sub-District Office or Department of Sub-District Office may issue the Preliminary Permit (Izin Pendahuluan). Preliminary Permit is the permit which is given to build, accordance to the stages of building construction activities, while waiting the definitive permit. Preliminary Permit is specifically regulated in the Decision of Governor of the Special Capital City Region of Jakarta Number 76 of 2000 on the Procedures on Obtaining Building Construction Permit, Building Utilizing Permit (Izin Penggunaan Bangunan), and Building Utilize Feasibility (Kelayakan Menggunakan Bangunan), Governor Regulation of the Special Capital City Region of Jakarta Number 85 of 2006 on the Issuance Services of Building Construction Permit, Decision of Governor of the Special Capital City Region of Jakarta Number 147 of 2000 on the Delegation of Authority Service of Determination of City Plan and the Issuance of Preliminary Permit of Building Construction in the Province to Sub-District Office in Special Capital Region of Jakarta Province, as far as on the Issuance of Preliminary Permit on Building Construction.

Preliminary Permit is divided into 4 (four) parts, i.e. Preparation Preliminary Permit (Ijin Pendahuluan Persiapan), Comprehensive Preliminary Permit (Ijin Pendahuluan Menyeluruh), Comprehensive Structure Preliminary Permit (Ijin Pendahuluan Struktur Menyeluruh), and Foundation Preliminary Permit (Ijin Pendahuluan Pondasi).

Building Construction

Each building shall comply with the administrative and technical requirements in accordance with the function of the building. Having specifically regulated in the regional regulation of Jakarta, the technical and administrative requirements of building are also guided by other regulations on building structure, for example, Law Number 28 of 2002 on Building, Regulation of the State Ministerfor Public Works Number 24/PRT/M/2007 on Technical Guidelines for Building Construction Permit, Regulation of the State Minister for Public Works Number 29/PRT/M/2006 on Guidelines of the Technical Requirements of Building Structure, and Regulation of Minister of Home Affairs of Republic of Indonesia Number 32 of 2010 on Guidelines of the Issuance of Building Construction Permit.

The administrative requirements of the building consists of (i) the status of the rights of the land, (ii) the status of building ownership, and (iii) the IMB, while the technical requirements of the building contains, (i) the requirements of building structure, and (ii) the reliability requirements of building. The building construction in Jakarta area should be conducted by contractors and supervised by the Supervisory Director. The Supervisory Director is a person or a group of experts/entities which is charged to supervise the implementation of building construction activities upon the appointment of the building owner, in accordance with theprovision that is stipulated in the building permits. To perform their duties, Supervisory Director should have a work permit and responsible for the implementation of building construction activities.

Furthermore, having already supervised by Supervisory Director, all the construction activities in Jakarta area was also monitored by the Supervision Department of City Development (Dinas Pengawasan Pembangunan Kota). Supervisory Director of a building construction has an obligation to report each result of stage of its construction activities to the Head of Supervision Department of City Development. Each design and construction plan shall comply with the technical requirements, which also considering the security, safety, the suitability of building and environment from the side of architecture, construction, installation and building equipment, including safety on the fire prevention.

Design or building plan shall be made and accountable by the experts that have aduty to designing and planning the building and obtaining a written work permit from the Governor. Plan Drawing and Building Planning consists of (i) architectural drawing plan, and/or (ii) drawing and structural calculation, and/or (iii) drawing and its installation calculation and equipment of building, and/or, (iv) drawing and another calculation which have been fixed. The Expert who had a duty to design and plan the drawing and structure calculation, should had to adjust its drawing and structure calculation, and shall not deviate from the architectural drawing. The building owner is having an obligation to inform the Head of Supervision Department of City Development in case there are replacements of the designer and/or building planning.

Criminal Provisions

The violation of any provisions stipulated in Regulation of DKI No. 7 of 1991 is subject to the imprisonment with maximum 3 (three) months, or fine in amount up to IDR. 50,000 (fifty thousand Rupiah), by or by not seizing or confiscating the equipment, which has been used to commit the violations of the provisions. In addition to the penalties above-mentioned, Governor may determine penalties in order to penalize the violations.

Ivor Ignasio Pasaribu

Read More

Legal Aspects of Building in Indonesia

Buildings are made to support people’s need of spaces. Building has many functions such as work space, business place, education place, recreation place and many more. In developing countries, especially for small countries, building is used to maximize the use of spaces.

In Indonesia, building is regulated in the Law No. 28 of 2002 on Building (“Law of Building”). According to Law of Building, the definition of building is a physical form of construction works which integrate with the land it stands on, partly or wholly stands over and/or under ground or water, having a function as a place for people to do their activities, either for residence or place to live, religious activity, business activity, sosial activity, culture or any specific activity.

Construction of building is held with the principle of utility, safety, balance, also the harmony between building with its environment. The regulation for building is intended for:
1. Materializing a functional building and suitable with the construction building order which is harmonious and balance with its environment;
2. Materializing an orderly execution of building that ensures technical reliability in terms of safety, health, comfort, and convenience.
3. Materializing a legal certainty in the execution of bulding.

As for building function, according to Paragraph 1 of Article 5 Law of Building, building functions consist of residential function, religious, business, social and cultural, as well as special function. Paragraph 7 of Article 5 stipulated that one building can have more than one function.

Basically, Law of Building is regulating the requirements of a good and fully functional building. As for the implementing regulation of Law of Building is Government Regulation No. 36 of 2005 on Implementing Regulation of Law No. 28 of 2002 on Building (“GR No.36 of 2005”).

The purpose of GR No. 38 of 2005 is to materialize the implementation of orderly buildings, both administratively and technically, in order to materialize a building that is functional, reliable, which ensures safety, health, comfort, and ease of use, and balance and in harmony with its surroundings.

Some of the provisions in GR No. 38 of 2005 still need guidance and technical standard as the guidance to construct buildings. To do so, Minister of Public Works issued the Minister of Public Works Regulation No. 29/PRT/M/2006 on Guidance on Building’s Technical Conditions (“Minister Regulation”). This regulation includes everyone so that every party, person, legal entity and also government body, in constructing building shall fulfil the technical conditions set out in the Minister Regulation.

Retno Anggraeni

Read More

For the last 15 years, our members have written many articles that have been published in various blogs that we manage, including Indonesia Real Estate Law blog and Hukum Properti blog. Our members have also participated in various directories and websites within and outside our firm's blogs, including different legal topics outside real estate-related topics. Thus, this blog is set up as a portal of all of our articles and materials that our members have written to date, within and without our firm's blogs. This blog covers a wide-array of topics, different from specialized topics as in our previous two blogs, Indonesia Real Estate Law and Hukum Properti. We build this blog to be a main source for the readers to understand the vast legal knowledge of our firm and which our firm will continue to share.

Categories

Archives