Can a foreign company lease land in Indonesia?
Can a foreign company lease land in Indonesia?
Foreign residents in Indonesia as well as foreign corporate representative offices are entitled to lease property. No law or regulation limits the duration of a lease. The government offers foreign investors land rights that are relevant to the nature of their business.
How long does it take to get a leasehold in Bali?
It can be 15, 20, 25 or 30 years, depending on the agreement. Acquiring the leasehold of property is straightforward with the lease being in the name of the foreigner or lessee. After the lease ends, the asset goes back to the landowner. However, it is possible to keep extending the lease. The leasehold is paid upfront.
Can a non-resident sign a lease in Bali?
The Agrarian Law requires the persons to be residents to enter into lease agreements in Bali. However, in practice, it is also possible for non-residents to sign lease agreements in Bali. When signing the lease agreement, make sure you ensure your rights to the maximum extent. Namely, the contract should regulate as much as possible.
Who is entitled to leasehold rights in Indonesia?
Leasehold rights are normally granted to tenants of both residential and commercial premises. Foreign residents in Indonesia as well as foreign corporate representative offices are entitled to lease property. No law or regulation limits the duration of a lease.
Is it legal to lease land in Indonesia?
This is a very secure form of land right and if correctly drafted, offers fantastic security for investment in Bali and Indonesia. Indonesian individuals, Indonesian legal entities, foreign individuals and foreign legal entities resident in Indonesia may acquire lease rights.
How does a leasehold investment work in Indonesia?
A Leasehold Investment offers complete protection to the foreigner during the term of the Lease Agreement. A Lease Agreement is prepared, specifying the period of time, usually in terms of up to 25 years, and often with an option to extend.
It can be 15, 20, 25 or 30 years, depending on the agreement. Acquiring the leasehold of property is straightforward with the lease being in the name of the foreigner or lessee. After the lease ends, the asset goes back to the landowner. However, it is possible to keep extending the lease. The leasehold is paid upfront.
How does a foreign investor get land in Indonesia?
Until recently, this was the only means for a Foreign Investor to secure land in Indonesia. A Leasehold Investment offers complete protection to the foreigner during the term of the Lease Agreement. A Lease Agreement is prepared, specifying the period of time, usually in terms of up to 25 years, and often with an option to extend.