Watch
New industrial zones have been prepared in 5 major cities east of Java Island, namely industrial estates in Gresik, Lamongan, Tuban, Mojokerto, and Jombang, with a total area of up to 5000 hectares. It is estimated that the rapid development of the next two to five years will be seen in some of these cities.
"Half of the total land area of the industrial area was developed by PT Pelindo III (Persero) in collaboration with PT AKR Land which is 2,500 hectares," said JLL Head of Surabaya Office, Joseph Lukito, Kompas (10/15/2014).
The rest, continued Joseph, came from developers such as PT Intiland Development Tbk, Jawa Pos, and others. PT Pelindo III and AKR Land will build an industrial estate integrated with ports, namely the JIIPE Java Integrated Industrial and Port Estate (JIIPE) industrial area with an investment projection of around Rp 4 trillion.
The development of the JIIPE industrial estate will be carried out in three stages along with the establishment of the industrial estate in East Java. The first phase, covering an area of 700 hectares, was allocated for the construction of industrial estate infrastructure, for example the industrial estate dock, roads and industrial area water supply, electricity related to water supply, gas, and waste treatment in the industrial area. While the second and third stages of physical development took the form of a new port covering 300 hectares.
The port is used as a facility for companies for logistics, distribution and export-import activities in the industrial area. The final phase of 500 hectares will be used as a residential area to serve workers and managers within the industrial estate. "The price offered by the industrial estate is around US $ 150 per square meter," Joseph added.