Indonesian property developer Agung Podomoro is in the process of finalising the sale of its Pullman Hotel asset to Strategic Property Investors Company Limited, the manager of a Thai-listed REIT. The sale is expected to close this month, financial director Cesar M Dela Cruz told reporters.
When the sale plan was announced in August last year, Agung Podomoro had wanted to sell three assets, including Central Pesona Palace and Sofitel Bali Nusa Dua. In the end, the company decided to proceed with just the Pullman asset.
“Approval (for the sale) has just recently been granted. So, we’re hoping to close the transaction by the end of this month,” Cesar said.
Agung Podomoro reported a net profit of Rp 696 billion ($52 million) in the first half of 2017, up 125 per cent from the same period last year.
Established in 1969, Agung Podomoro is one of Indonesia’s largest listed property groups with projects that include residential developments of housing, apartment and townhouse; commercial developments of mall and shophouse; and innovative multi-purpose superblock developments in strategic business districts.
In the course of its growth, Agung Podomoro has taken over several real estate development companies facing financial problems in Sunter, North Jakarta. In total, the group has developed over 500 hectares of land into residences, warehouses and industrial estates.
The group has expanded its business portfolio to other areas in Jakarta, Bandung, Bogor, Kerawang, Balikpapan and Bali since early 90s.