Story : Pattamaporn Kittipanachol
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Bali, also known as the ‘Land of the Gods’, has long embraced visitors. Largely due to wealthy foreigners seeking luxurious vacation homes that generate income all year-round or comfortable tropical retirement homes, Bali’s property market is booming.

Jetsetters Playground

Looking east to Lombok, the local government and global investors are working on a new international airport and mega-projects. Hopefully its idyllic beauty will be retained despite its bid to become Indonesia’s newest jetsetters’ playground. 

Bali

Just a few kilometres east of Java, the goldfish shaped 5,632 square km island is home to 3.2 million predominantly Hindu inhabitants. By comparison, Singapore packs nearly 4.6 million people into 637 square km.

Although the south and central regions are heavily developed, the rest of the island remains relatively untouched. A mountain range along the east-west axis causes uneven rainfall yielding a drier north and greener south and eastern plains.

Ready to Erupt

One of the island’s biggest and still active volcanoes is the 3,142 metre high Mount Agung which last erupted in 1963 and is situated in the northeast. To its west is Mount Batukaru, approximately 1,000 metres shorter, with to its distinct topography and unusual beach sand. In the south, beige sand predominates while the north sports black volcanic sand. Bali’s location along a major fault line means that inhabitants live with the risk of occasional earthquakes and volcanic eruptions.

When people think of Bali, it is the southern beach resorts of Bukit, Nusa Dua, Sanur, and the Kuta surfer paradise that springs to mind. In the central region, art, culture and history can be found in lush Ubud, perched on hills 200 to 600 metres above sea level, surrounded by hillside terraced rice fields. The capital, Denpasar, is commercialized but less touristy, catering predominantly to locals.

Indonesia’s Premier Tourist Attraction

As befits Indonesia’s premier tourist attraction, Ngurah Rai International Airport has the toughest security nationwide and convenient direct flights to major cities in the Asia-Pacific. Several international schools and general healthcare facilities are sufficient for the needs of most expatriates though many also fly to Bangkok and Singapore.

Land prices depend on the location, type and quality of building, restrictions, view and the type of title deed. Facilities like access roads, electricity from public and/or back-up generators, water from the municipality and/or well bores, and telephone landlines are important factors as licenses and permits are needed to build or request them.

Varying Prices

Prices can vary greatly even within the same area. In Seminyak, an airy three bedroom furnished villa and pool with a leasehold contract on a 1,200 square metres plot of land is listed for 560,000 USD. The Layar, a five star gated community of 22 villas has a reported 400,000 USD price for two bedroom villas on a 450 square metres of land.

The newest luxury apartment, to be completed by the end of 2009, is Outrigger Panorama Bali Resort & Spa. Situated in the southern Bukit peninsula, near elegant Bvlgari Hotel and Alila Villas Uluwatu resort, the project’s studios and six duplex penthouses are priced between 230,000 USD and 1,150,000 USD.

Research by Exotiq Real Estate in October 2007 tracking land prices changes from 1996 to 2006 reveal dramatic jumps. Prices are quoted per are (100 sqm). Oberoi tops the list, rocketing from 2,000 USD to 100,000 USD. In Seminyak prices leapt from 1,500 USD to 25,000 USD while touristy Bukit plots turned a tidy profit from 2,000 USD to 23,500 USD. Ubud’s riverside locations increased from 2,500 USD to 12,500 USD. Investors who prefer a quiet place, a great view and relatively plentiful large plots of land can be had in the North and East at considerably lower prices.

To be continued in the August edition of Tropical Living…