Danantara steps in to revive LRT City projects

JAKARTA: State asset fund Danantara plans to inject 456 billion rupiah (US$25.6mil) to revive 12 stalled apartment projects developed by PT Adhi Commuter Properti (ACDP), subsidiary of state-owned construction firm PT Adhi Karya. This comes as the government seeks to resolve delays affecting thousands of buyers.

Stalled construction had triggered a wave of complaints from buyers waiting years for their apartment units to be built by ADCP, a state-owned property developer tasked with building such projects strategically linked to Greater Jakarta’s light rail transit (LRT) network and commuter line stations.

“We have a plan to develop all 12 locations,” said Deputy State-Owned Enterprises Minister Aminudin Maruf on Tuesday after meeting with Adhi Karya.

The 12 LRT City projects range from completed developments to those still under construction or yet to break ground, spanning Tebet, Ciracas, Cibubur and Ciputat in Jakarta to Bekasi, Bogor, Cisauk and Sentul in West Java.

Projects with “stronger sales” and “clearer commercial viability” would be prioritised, Aminudin said, while the government emphasised commitment to reviving all 12 sites.

Aminudin said he was due to visit the project sites within the week, with a meeting with buyers set for Oct 1 to deal with outstanding problems. A resolution plan is expected by Oct 15.

The LRT City projects, launched in 2016, had been hit by weaker property sales that squeezed ADCP’s cash flow, according to Adhi Karya, president director Moeharmein Zein.

About 5,400 apartment units have been sold across the projects, with roughly 3,000 handed over and another 2,400 still awaiting delivery, according to Adhi Karya’s latest mapping.

“Sales at ADCP did not meet expectations because the market declined,” Moeharmein told reporters after a separate meeting with the government on Monday.

ADCP’s financial strain was compounded by the 2018 economic crisis and the Covid-19 pandemic, while the company committed to follow the government’s timeline for resolving the stalled projects, he said.

Completion dates would vary depending on the condition of each development, he noted.

Some projects are close to completion and need only work such as installing ceilings, windows or tiles, while others still require major structural work.

The developer’s latest financial disclosures underscored the scale of delays across its 11 LRT City projects in Greater Jakarta.

ADCP reported negative cash flow of 900 million rupiah as of June 2026, with the deficit continuing to widen each month.

LRT City Jatibening project is targeted for completion this year, while buyers at LRT City Bekasi Timur Green Avenue may have to wait until 2038, and handovers at LRT City Tebet are not projected until 2033.

The Greater Jakarta LRT, not to be confused with Jakarta LRT serving the Kelapa Gading-Manggarai route, was built and is maintained by Adhi Karya, while its trains are manufactured by state-owned company PT Industri Kereta Api Indonesia or Inka.

President Prabowo Subianto on Wednesday inaugurated the Jakarta LRT extension, connecting Kelapa Gading in North Jakarta with Manggarai in South Jakarta.

This marked the latest expansion of the city’s public transportation network. — The Jakarta Post/ANN