1.06 hectare Property, Sekongkang Village, Sumbawa

1.06 hectare SekAgus Village Property, Sekongkang, Sumbawa, Indonesia

In the above pic you see the outline of the 1.06 ht lot which is located in Sekongkang village.  It is located along the main road and is flat and only partial growth.  It is a prime locations in the village offering easy access.  This property offers prime opportunity to either land bank or subdivide into smaller lots.

The local area/village is called "Sekongkang".  Presently in the village there are 4 villa type operations and 2 very basic cafe/restaurant.  Along the beach there are 2 resorts.  The village is only 5 minute walking distance to two beaches which have two world class surfing areas.  Currently most of the tourist traffic are surfers.

 

The asking for this property is Rp 20,000,000 / are, or us$ 1,501 / are.

Note: remember, there are 100 "are" in a hectare.

This equates to (106 * 1,501) = us$ 159,106

1.06 ht SekAgus Village Property 2, Sekongkang, Sumbawa, Indonesia

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;

As mentioned, this property is a perfect "Land Banking" concept type of an investment.  It is in prime locations to take advantage of the future growth of Sekongkang village.  It is well serviced with roads for easy access with minimal road construction necessary for sub dividing. 

 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 

Another option, which can be decided initially or after the minimum 3 year term, is to partition the property into several parcels.  Smaller parcels may be attractive to individual investors and/or business ventures (cafes, villa stays) wanting a "Lot" of 5-20 are for their personal second home or to a business requiring less than 1.06 ht.  If a future sub divission of the property is decided upon, we suggest the construction of a minor road on the property, installation city water as well as drill a well or two and running city electricity to increase attractiveness to the property.

The Estimated Investment Project Breakdown and Estimated Return;

Concept 1 - Land Banking  (no subdivision)

Asking Price:  us$ 159,106

Because of the attractiveness of a future sub divission we are presenting two investment scenario breakdowns.  The first would be a straight simple "Land Banking" type of project.

This project has a 5 year timeframe.  All costs and fees estimated slightly high.

Summary:      
  Property Purchase Price US$ 159,106
  Purchase Tax (5%)   7,955
  Legal Fees   4,000
  Administrative   3,500
  Annual Property Taxes (5 years)   2,500
  Annual Admin Fee (us$ 1,400/yr)   7,000
  BTPI.Co 1%   1,591
  Total Investment Package US$ 185,652
       
Return:      
  Property Sell Price (3 * original value) US$ 477,318
  Selling Tax (5%)   23,866
  Legal Fees   2,000
  Administrative   3,500
  Gross Investment Return US$ 447,952
  10% BTPI.Co (minus our 1% & annual admin)   36,204
       
  NET RETURN TO INVESTOR (S) US$ 411,748
1.06 SekAgus Village Property draft outline
1.06 ht sekAgus sub division draft

The Estimated Investment Project Breakdown and Estimated Return;

Concept 1 - Land Banking  (with subdivision)

Asking Price:  us$ 159,106

The second project would be a "Land Banking" concept plus sub divission type of project.  Sub divission of the property including surveying, legal and land office fees, servicing the property in the form of adding the road access, drilling wells and/or running city water and electricity is estimated at us$ 50,000.

This project has a 5 year timeframe.  All costs and fees estimated slightly high.

Summary:      
  Property Purchase Price US$ 159,106
  Purchase Tax (5%)   7,955
  Legal Fees   4,000
  Administrative   3,500
  Annual Property Taxes (5 years)   2,500
  Annual Admin Fee (us$ 1,400/yr)   7,000
  BTPI.Co 1%   1,591
  Sub Division Costs   50,000
  Total Investment Package US$ 235,652
       
Return:      
  Property Sell Price (3 * original value) US$ 556,871
  Selling Tax (5%)   27,843
  Legal Fees   5,000
  Administrative   6,500
  Gross Investment Return US$ 517,528
  10% BTPI.Co (minus our 1% & annual admin)   43,162
       
  NET RETURN TO INVESTOR (S) US$ 474,366

 


Download the PDF for this property portfolio here - 1.06 ht SekAgus Village


 

GMap of BTPI.Co's available property in the Sekongkang area.

Above are the available properties in Sekongkang identified by BTPI.Co

updated May / 17

 

 

 

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