JAKARTA - PT AKR Corporindo Tbk (AKRA) is targeting revenue from Land Sales in the JIIPE Gresik Special Economic Zone (SEZ) of IDR 2 trillion by the end of this year. Last year, the monetization of KIK contributed around IDR 1 trillion in revenue.

Vembu Suresh, Director of AKRA said that the company is optimistic that the sale of land at KIK JIIPE is more than 75 hectares (Ha) until the end of the year. "Until now, 30 ha have been sold. The total value (75 ha) has reached more than IDR 2 trillion," he said when met by IDNFinancial at AKR Tower, Wednesday (16/8).

His party is looking for tenants from the metal, electronic and chemical industry clusters who need land of more than 5 Ha-20 Ha. "We are not looking for companies looking for 1-2 hectares of land. Instead, prospective tenant companies need electricity, water and a port in one area," he said.

According to Suresh, the KIK JIIPE concept is for companies that prioritize logistics and electricity efficiency. The potential monetization of JIIPE's land reaches IDR 20 trillion. Therefore, his party is selective in choosing prospective tenants in order to get added value when entering the area.

JIIPE's KIK land area is recorded at 1,751 Ha, including 332 Ha of land sold and leased, 1,014 Ha of land bank, and 405 Ha of land for facilities. A number of tenants operating in the area include PT Nippon Indosari Corporindo, PT Fertilizer Inti Technology, PT Clariant Adsorbent Indonesia, PT Waskita Beton Precast, PT Adhimix PCI Indonesia, and PT Cahaya Maju Lestari, and PT Freeport Indonesia.

In the first half of 2023, sales of land for industrial estates, electricity and other utilization accounts for IDR 520.39 billion of the total revenue of IDR 19.71 trillion. Last year, sales of land for industrial estates, electricity and other utilization reached IDR 977.56 billion. (LK/LM)