Singapore Exchange-listed Sinarmas Land Limited has, through its subsidiary PT Bumi Serpong Damai Tbk., entered into a strategic partnership with Mitbana Pte Ltd, a joint venture fund management company of Mitsubishi Corporation and Surbana Jurong, to advance the creation of smart and sustainable Transit-Oriented Developments (TODs) in Bumi Serpong Damai (BSD) City, Indonesia. Established in March 2019, Mitbana is a Singapore-headquartered urban development fund focusing on TOD and township projects in ASEAN and South Asia.
The partnership between Sinar Mas Land and Mitbana seeks to develop first-of-its-kind integrated TODs in Indonesia with new approaches to urban development in a post-pandemic connected world.
BSD City, located in Tangerang, Greater Jakarta, is Sinar Mas Land’s flagship town development that encompasses a total land area of approximately 6,000 hectares. Mitbana will work with Sinar Mas Land to transform over 100 hectares of greenfield land in BSD City into TODs comprising residential units, commercial properties, living amenities and public transport nodes. BSD City is already home to the Apple Developer Academy, co-run by Apple and a local Indonesian university, as well as an innovation and engineering lab run by Singapore-based ride hailing company Grab.
Mr Michael Widjaja, Group Chief Executive Officer, Indonesia’s Sinar Mas Land, said, “We are very excited to partner Mitbana to shift our flagship development in BSD City into an integrated smart city which is interconnected and accessible to key destinations. With this commitment, Mitbana will become Sinar Mas Land’s largest development partner in BSD City, and we look forward to having our partnership bring even better value to our residents and becoming a model for TOD developments in Indonesia.”
The announcement of this partnership comes on the back of recently-released data from the Indonesian Investment Coordinating Board: Singapore was Indonesia’s top foreign investor in the first half of 2020 while Japan was the second-largest. Mitbana’s investment reflects Singapore and Japan’s continued confidence in Indonesia’s vibrant economy and exemplifies a tripartite commitment to creating new economic synergies.
Mr Chong Lit Cheong, Chairman, Mitbana said: “Mitbana’s partnership with Sinar Mas Land in their flagship BSD City township in Indonesia sets the foundation for us to champion smart and sustainable developments in Asia. We look forward to working with Sinar Mas Land to deliver modern TODs in Indonesia that will maximise the convenience of major transport nodes and meet the needs of the growing middle class. Our projects will be developed over several phases, and we look forward to unveiling more details at the opportune time.”
A digital economy hub on Batam Island has been undertaken by a joint venture between Sinar Mas Land and Citramas Group.
Mitbana’s partnership with Sinar Mas Land builds on existing collaborations among Mitsubishi Corporation, Sinar Mas Land and Surbana Jurong. Within BSD City, Mitsubishi Corporation has embarked on ‘The Zora’ project with Sinar Mas Land, an exclusive gated-residential development cluster designed with Mitsubishi’s smart home technology. Separately, Sinar Mas Land, together with another Indonesian conglomerate Citra Mas, has engaged Surbana Jurong to develop a concept master plan for a 62-hectare eco-digital project in Nongsa, Batam. Read more