Meikarta Projects in Bekasi, West Java - Photo by Lippo Cikarang

JAKARTA (TheInsiderStories) – Lippo Group’s property arm PT Lippo Cikarang Tbk, which is currently developing a new satellite town project called Meikarta has reached a deal with ten global institutions to utilize and develop 273,000 square meters of land in the satellite town with an investment value of US$550 million (Rp7.5 trillion).

According to Chairman of Lippo Group, James Tjahaja Riady, one of the global institutions that will participate in the project is Columbia University Medical Center.

In addition to Columbia, nine global institutions will be incorporated in Meikarta, namely University College London, University of North Carolina, Genesis Rehab Services, World Trade Center, HTC Corporation, China Telecom Global Limited, JM Eagle, Zhong Ying Finance, and Lausanne Hotel Management Institute.

Riady said that the cooperation focuses on the development of Meikarta centre of education, research, health and logistics.

The giant Meikarta project, which is being marketed as the “Shenzhen of Indonesia”, is located about 34 kilometres to the east of Indonesia’s capital city of Jakarta, on the western part of Java island.

Although in local media, the Indonesian property developer Lippo Cikarang is aggressively advertising its ambitious Meikarta project to the consumer, there is uncertainty whether the developer has indeed secured all necessary permits required to construct the new township.

Meikarta is being marketed as a 500-hectare property development project, consisting of 100 hectares of open green space, 250,000 units of prime residential property, and 1,500,000 square meters of prime commercial space.

The Rp 278 trillion project is expected to bring a multiplier effect to the now mostly industrial area. Meikarta had already launched a U Tower in January this year.

Lippo Cikarang posted Rp 418.09 billion ($29.2 million) in net income in January-September 2017, down 9.9 percent from Rp 464.08 billion in the same period in 2016. Its revenue was up slightly to Rp1.22 trillion in 2017 from Rp 1.2 trillion in 2016.

Written by Elisa Valenta, email: