Understanding Indonesia's land tenure system is essential for individuals and organizations dealing with land matters. This overview explores key elements such as the Basic Agrarian Law (BAL), land ownership categories, and various land titles, providing a solid foundation for navigating Indonesian land-related issues.With our professional guidance and individualized service, the intricacies of Indonesian land ownership laws and regulations become simple to navigate and comprehend, making investment in one of the world's most idyllic locales straightforward and painless.Investing in Indonesia through a corporation offers security, legal compliance, and peace of mind. Consulting with experienced professionals ensures a clear, long-term, and structured investment roadmap, providing foreign investors with the best solution for success and peace of mind.
1. Agricultural Land Zoning (Green)
Understanding Indonesia's land tenure system is essential for individuals and organizations dealing with land matters. This overview explores key elements such as the Basic Agrarian Law (BAL), land ownership categories, and various land titles, providing a solid foundation for navigating Indonesian land-related issues. With our professional guidance and individualized service, the intricacies of Indonesian land ownership laws and regulations become simple to navigate and comprehend, making investment in one of the world's most idyllic locales straightforward and painless.Investing in Indonesia through a corporation offers security, legal compliance, and peace of mind. Consulting with experienced professionals ensures a clear, long-term, and structured investment roadmap, providing foreign investors with the best solution for success and peace of mind.
2. Residential Land Zoning (Yellow)
3. Commercial Land Zoning (Red)
4. Tourism Land Zoning (Pink)
5. Commercial & Residential Land Zoning (Orange)
Yellow zone land is designated for homes, apartments, or other types of residential properties and is mostly found in urban and suburban areas of Bali. Bali land for sale in this category often has good access to utilities and public services, making it convenient and comfortable for residents.
The Red Zone is designated for commercial and business activities such as shops, restaurants, hotels, and offices. Meant for commercial purposes, land in this zone is divided into three categories: central business district, neighborhood commercial, and tourism commercial. The characteristics of commercial Bali land for sale include strategic locations, close proximity to public facilities, and high population density, making it ideal for businesses that depend on heavy foot traffic or require a central location.
The Pink Zone is designated for accommodations such as hotels, resorts, and villas. There are two types of tourism land zoning in Bali: primary zoning for larger-scale accommodations and secondary zoning for smaller-scale ones. These areas are typically located near beaches, cultural sites, and entertainment spots, providing easy access to Bali’s scenery and culture.
This zone allows for a combination of different buildings in one place, such as residential and commercial spaces. Vertical mixed-use zoning enables multiple activities within a single building, such as retail on the ground floor and residential on the upper floors. Horizontal mixed-use zoning, on the other hand, permits different buildings — such as shops and apartments — to be located within the same area. Mixed-use zoning in Bali represents a balance of various activities and facilities, combining residential and commercial buildings in urban areas like Denpasar and Badung. This approach makes it an ideal location for people who want to live close to where they work, shop, and enjoy recreational activities.
In addition to these mixed-use zones, there are also areas set aside for forests and reforestation, lands prone to landslides, and areas designated for rainwater infiltration. All of these factors influence land prices and the types of structures permitted to be built.
We conduct due diligence before we list land for sale.
1. Rightful Owner with Valid Certificate
2. Tax Payments
3. Zoning Verification
4. Building Permit
5. Land Infrastructure and Property Boundaries
6. Limited Property Access
Firstly, we ensure that the person selling you the land is the rightful owner. Then, we request an updated and valid land certificate.
One of the most critical aspects of land acquisition in Bali is to verify whether the former owner has paid their land taxes before you complete the transaction. Unpaid taxes mean you will not be able to proceed with activities such as acquisition and obtaining a building permit.
Under Bali’s zoning regulations, commercial activities are prohibited in some areas of the island. Therefore, your land could be unsuitable if it does not have the correct zoning for your intended business activities.
If there is a building on the land you are planning to buy, you must ensure that it has a valid building permit (IMB). To avoid any litigation, the building’s classification and function must comply with Bali’s zoning laws. Buildings that do not meet zoning requirements or lack an IMB will be subject to demolition by the government.
It is important to determine the land’s actual size and check for any overlapping property boundaries with due diligence. This confirms the integrity of your land transaction. Even a small overlap can lead to disputes between landowners and their neighbors. Additionally, expatriates should verify the legality of any access roads, as some may be privately owned or publicly owned by the local community. This can also affect the value of your purchased property.
In Bali and Lombok, it is common for foreigners who purchase a villa to also receive permission for road access from the previous owner, who holds the land linked to the foreigner’s villa. However, the landowner may later decide to charge fees for road access, which can lead to disputes and costly court cases. Therefore, foreigners should be aware that road access might not be as "free" as it initially seems.
