Developer Ciputra Group on Luxury Evolution in Indonesia
Luxury needs quality, visual charm and people’s perception
Director at Ciputra Group
BACKGROUND. With a Civil Engineering degree under his belt, Artadinata Djangkar joined Ciputra Group in 1990. He climbed up the corporate ladder until he reached the position of Corporate Secretary and at the same time enriched his knowledge by earning a Master of Business Administration degree. He left the group in 2000 and returned in 2005 with more experience and a broader point of view to help him serve as the director of the company. Armed with a long and profound history with Ciputra Group, he has been assisting his company to set the standard for luxury developments, including the prestigious Ciputra World 1 Jakarta.
How do you define luxury?
Luxury has three important aspects. The first is quality, because obviously we need good quality to deem something luxurious. But that is not enough. Luxury needs excellent aesthetic and visual charm. The third aspect, which is no less important, is people’s perception. Luxury has a lot to do with taste and therefore it is very subjective. This third aspect is often linked to brands. When this third aspect is fulfilled, generally the other two are also met.
What is the inﬂuence of luxury towards the developments by Ciputra Group?
In Ciputra Group, when we develop something that has a luxurious value, we do not aim to achieve just the value, but also the commercial objective. The presence of Rafﬂes adds to the credibility of the entire development of Ciputra World 1 Jakarta, and therefore increases the value of the apartment block and other properties in the compound.
What is your view on the Indonesian luxury development market?
Actually this market is growing but only in certain areas. From what I can see, several luxury brands penetrated the Indonesian market after the monetary crisis, especially during the last five years. In addition to our Rafﬂes, there are several other brands including St. Regis and Waldorf Astoria in Jakarta, which are still under construction. In Bali, the luxury scene is even more fantastic, with the presence of Mandapa by the Ritz-Carlton Reserve, for instance. We can safely say that Indonesia’s rapid changes will surely bring more luxury developments in the future.
What will the luxury development market look like in the future?
The market will stay intact because Jakarta has individuals who can afford apartments that cost more than one million dollars. On top of that, some hotel guests in Jakarta and Bali are willing to spend 200-400 dollars per night for a room, so I believe the market exists and will continue to grow, but only in Jakarta and Bali.
Other than in these two cities, the market is quite limited. Which locations are chosen by developers?
For these type of products, the choice of the developers in Jakarta is limited to the CBD area and sometimes in South Jakarta such as the Dharmawangsa area. In Bali, however, there are more options such as Nusa Dua, Jimbaran, Ubud and Seminyak.
What luxury development is currently being done by Ciputra Group?
Ciputra World 1 was the first luxury development handled by Ciputra Group. It includes the Rafﬂes Hotel with 173 spacious rooms. The property is fitted with good quality materials from the marble to carpeting, crystal, sanitary equipment, and the likes, throughout the compound.
We are also preparing several luxury developments in Bali, in the Tabanan area adjacent to Tanah Lot. We are partnering with Rosewood as the operator to develop a luxury hotel concept that comes with villas for sale. Then there is the Ciputra World 2 Jakarta, which will also be located in the area of Jl. Prof Dr. Satrio area. It is a compound comprising an apartment block, an offce and a fve-star hotel.