1 hectare Roadside Property, Sekongkang, Sumbawa
In the above pic you see the property along the main highway which runs from Sekongkang to Tropical beach area and beyond. The property slopes gently up from the road and is partially bush partially jungle environment. The owner says he will clear the land and put a road access into the property.
The asking price for these properties is Rp 7,000,000 / are, or us$ 528 / are.
Note: remember, there are 100 "are" in a hectare.
This equates to (100 * 528) = us$ 52,800
More about the Sekongkang area:
The property is in West Sumbawa. About 1.5 hr ferry boat from Lombok. The main airport in West Sumbawa is about 2.5 hrs away. The best way to get to this area of Sumbawa is by the "fast" boat operated by the mine and available to the public which leaves Benete in Lombock and docks at Kayangan in West Sumbawa about 15 min drive to Sekongkang.
The local village is called "Sekongkang". Lots of great surfing, fishing and beaches in the area all easily accessible by scooter. The local government has made a commitment to invest in this area to increase tourism. A new hospital being built in the near by village and the nearby airport is suppose to start operating again in 2017. About 6 miles away there's a big copper/gold mine that has been in operation for over 20 years. This means the locals are comfortable with foreigners in the area. It also means the area is protected by the government.
The Investment Concept;
This property is a perfect "Land Banking" concept type of an investment. It is a prime locations to take advantage of the future growth of Sekongkang village. It has easy access along the highway. The present owner will clear the land and run an access road into the property. We suggest installation city water as well as drill a well or two to increase attractiveness to the property. As a "Land Banking" investment we would then leave the land as is for at least 3 years and maybe up to 5 years then sell it whole at an estimated 2-5 times purchase price. This property is also ideal for an investor for a second home villa or "Dream Property" type operation running a guest villa operation. It is located within easy walking and scootering distance to all the beaches in the area. The land is reasonably priced and is a great location.
The Estimated Investment Project Breakdown and Estimated Return;
Concept 1 - Land Banking
Asking Price: us$ 52,800
Service the property in the form of extending the road access, drilling wells and/or running city water and electricity into the property and adding landfill is estimated at us$ 5,000.
This project has a 5 year timeframe. All costs and fees estimated slightly high.
|Property Purchase Price||US$||52,800|
|Purchase Tax (5%)||2,640|
|Annual Property Taxes (5 years)||2,500|
|Annual Admin Fee (us$ 1,400/yr)||7,000|
|Total Investment Package||US$||77,968|
|Property Sell Price (3 * original value)||US$||158,400|
|Selling Tax (5%)||7,920|
|Gross Investment Return||US$||144,980|
|10% BTPI.Co (minus our 1% & annual admin)||6,970|
|NET RETURN TO INVESTOR (S)||US$||138,010|
Above are the available properties in Sekongkang identified by BTPI.Co
updated May / 17