shiroa
Hi guys!My name is Harman, I was born in Denpasar and lived there practically all my life, now I'm studying in Surabaya tho. During this holiday, my dad gave me an assignment of surveying market for a serviced apartment (16units) he is going to build, the location would be 200m down the residential street on Jl. Mahendradatta (just before the intersection leading to Jl. Imam Bonjol), which some of you might know of :DHere are some information I'd like to ask you guys, I'd be very thankful if you do reply, hopefully this survey will help to assign market target and set up market strategy.FYI, the apartment size varies from 30m2 to 45++m2 with studio apartment style consisting of kitchen set, bathroom with laundry set, a bed, couch, TV, etc, these are not final and there might be adjustments. 1. Are you working in Bali? If yes, please give the area name of your workplace (for example Kuta, Kerobokan, Sanur, etc)2. Are you married and/or having children?3. What would be the ideal monthly rent cost for you?4. How long would you like to stay in a premise? (hopefully on a long term, please specify :D)5. What kind of basic facilities would you like to have? (in room)6. What kind of other facilities would you like to have? (e.g swimming pool, gym, restaurant)Those are the questions I'd like to ask for now, any critics or questions please don't hesitate to ask :D Oh and please pardon my grammar :D
gilbert de jong
This must be a joke :lol: , if it's not... sorry, but your questions don't make sense at all.you should know what kind of people live in that area or would want to live there, price of land, price of building, and then the estimated/desired return on investment calculated by XX years timeperiod, would determine the rental costs.target-market..since you say it's going to be 'studio-room' setup, forget about people (expats) with a child or children.but to humour you here are some answers to your questions :single, no children.as low as possible.if it aint worth staying there in the first place, I wouldn't. so if I'm already living there it would be long term...timeframe is variable because of many reasons.basic in-room facilities...enough poweroutlets, hot/cold water in the kitchen and bathroom, in the bathroom a sink, bathtub with seperate shower, western toilet :) . in the kitchen 3 or 4 burner stove with exhaust going outside, since it's a studio-style appartment..a eating-bar (separating the kitchen from the livingroom area), guess for saving space a sleeper couch would be adviseable, so the tiles would have to be scratch-proof, and last but not least ofcourse a good AC. oh and dimmable lightsother facilities..nope.I would advise that any space that has been calculated for either a resto or gym or swimmingpool add that space to any rooms to make it a two-room appartment (seperate bedroom) now all this well meant advise you get for free :) , any more advise is going to costs you buddy :mrgreen:
spicyayam
I think it is a good idea doing this kind of development, of course you would need to consider ROI, occupancy rates etc. I think there is a good market for studio or 1 bedroom style accommodation. Maybe something above a kos, but not quite a fully serviced apartment. At the minimum I would like a small kitchen, small lounge. I like having the bedroom separate. A balcony is also nice. Decent wifi and cable tv is a must. I would be prepared to pay around $400 a month for this. Adding a pool/restaurant/gym is only going to make the expenses higher, so I think it would be better not to have these extras.
shiroa
@gilbert de jongwell, in fact i'm not joking about this, but hey! quite a reply u got there, thanks! and that helps me to furtherly expand my thinking :) land is something that we already got, building plan, drawings, yes, but we're not yet into building process yet. in my initial opinion, or my dad's at least, we'd like to see what people want, price and facilities wisely, and our hope is to aim expats who are working in Denpasar, specifically in Kuta, Legian and Kerobokan area (long term, monthly or yearly at best). The rental cost will be decided from there on, for example if the survey says $400/mo than we might calculate everything and possibly leave some facilities like swimming pool or gym behind in order to meet the target price.but still, we would also want some units to be assigned to weekly rental in order to fulfill needs of domestic tourists who'd like to keep their expense low. oh and i forgot to mention separate bedrooms for the larger unit :)once again, your comment and input is deeply appreciated! thanks! :mrgreen:@spicyayamYou hit the spot there! we indeed are aiming for something that is above "kos" so that we can support the niche market of expat-workers and managers, including ones with family and children. Your answer is also very helping, thanks a lot! :)
gilbert de jong
Your welcome :) . like I said above "if not", followed by my comments.one more thought...if you want to target expats working in that area, try to establish contacts with the people who employ them. don't know if there are any mayor employers who have multiple expats working for them, but striking a deal with a business who has, would ensure a good occupancy rate. hope you know how how mean?aha, like so many things here on Bali...the way of calculating is the other way around...first establish targetprice and from there calculate your costs...totaly opposite of what I know. No problem though, whatever works is good.. @spice, you want a seperate bedroom, wifi, cable tv....so your toilet can be in the middle of the living area? :lol: , just joking :D
JohnnyCool
I am going to disagree (surprise, surprise).I think it is a good idea doing this kind of development, of course you would need to consider ROI, occupancy rates etc.[/quote]The southern part of Bali is creaking at the seams. Some Balinese "planners", partly responsible for the unfolding fiasco with respect to roads, for example, maintain that they "planned" Bali's roads on the basis of a total Balinese population of two million people. They now admit that they underestimated things, at the time. The current population of Bali is anybody's guess. Somewhere around three and a half million, (not counting two million domestic and international tourists on top). Significant parts of Bali are [b]seriously[/b] over-crowded. To pretend otherwise is just plain foolish (read "stupid").The overcrowding leads to more demand for non-existent land, (or land tied up in lengthy contracts, typically 25 to 50 years). Bali's water supply is already very compromised. The construction of even more "villas", "resorts" and so on, [i]might[/i] give [i]some[/i] locals [i]some[/i] employment; typically, for a very short time.Of course, locals trapped into believing that their future lies in urban areas, like Denpasar, is understandable. Whether it's sustainable or not, is another matter. Wandering around in small lane ways, "gangs", in and around Denpasar, reveals a part of Bali many never see. An Indonesian friend of mine just contracted two [i]are[/i] of land for [i]Rp[/i] 10 million, for the next ten years. Cheap! He even has an unfinished "house" on it. A concrete box with asbestos roofing and nothing else. He's living there with his wife and three children.Rather than calculating things like "returns on investment", I think it's time enough for Balinese to figure out how they can [b]de-construct[/b] the mess they've accumulated over the years (willingly, unwittingly or unknowingly).I hate to say this, but "Bali", despite its high ranking as a "tourist destination" in various travel magazines, is going down the road to becoming a basket case, and just another environmental nightmare.I'm not convinced that caring Balinese have enough time left to "fix" things. It may already be too late. 8)
spicyayam
JC, I don't doubt Bali is suffering right now and if it gets any worse, there is a good chance that people will eventually be put off by the place, if they haven't been already.One problem is the government is just looking for growth in tourist numbers. The more tourists that visit Bali, the more successful they feel. As some reports are showing, there are more people coming here, but they are staying for shorter periods and spending less.It is something for the OP to consider though. If his father already owns the land the best ROI might be to lease it to someone. If I was him though and still wanted to go ahead with the project, I would be targeting people like nomad4ever, who travel to different countries for months at a time, but don't necessarily want to rent a whole house. I stayed in a kos in Medan and it was just as nice as a decent budget hotel and it had a communal kitchen. It had free wifi, hot water, key card security. That is something I would be looking into. I think expats that come here for work, like hotel management usually get housing as part of their contract and wouldn't be the best market to target.
gilbert de jong
I'm not convinced that caring Balinese have enough time left to "fix" things. [/quote] there's enough time, just not enough caring balinese.Can't blame them though,also wanting to get a pice of the pie...They (balinese like the OP or his father) see foreign investors making money by building condo's/houses/villa's/hotels, so logically if you already own land and have a buck to spare...build something like this too and make money. If a foreigner can..why can't I (balinese) do it too?I do understand what you're saying JC, and I agree with you too...but I can also understand the mindset of a Balinese like I described above.I think expats that come here for work, like hotel management usually get housing as part of their contract and wouldn't be the best market to target.[/quote] yep, that's why I suggested to contact he employers/businesses that hire Expats :) .
Markit
Something is definitely going on here... The previous owner of the land I own has just chopped down a lot of the trees on his remaining property (just last week) so that he can develop/build a kos like rooming house in Denpasar. They are known locally as fairly canny business men.On my visa run talked long and hard to a German lady employing many Balinese, mainly in Denpasar but also in the countryside to do her hand work (clothing, sequins, decorations, etc.) but her main problem was that she couldn't get enough rooming for her local employees.... Hmmmm 2 + 2....
shiroa
hey guys thanks for all the replies.. well, about this environmental things, i do respect all of your opinion, but my dad has worked on building hotels, villas, pools and stuff for 20++ years in Bali, and most of them belong to expats, no offense.. and yes, Balinese or not, the economic condition forces us to open up new lands for building or offices, population wise, there are now many Javanese who come to Bali to settle down since the early 2000, bringing the population number up.. :?
motormouth
I agree with the call of a lot of people from other parts of Indonesia living in Bali(Denpasar). Drive around Denpasar at Idul Fitri and the place is soooo quiet. I wold guess that @ 30%+ of the population in and around Denpasar is from other shores, that includes the likes of me, an expat.For a country that until recently was regarded as 3rd world, Malaysia has a fantastic road system . Surely at some point, the powers that be, could look past the next 4 years ahead and plan accordingly.
