Jakarta. Indonesian conglomerate the Lippo Group signed a cooperation agreement on Wednesday with Japanese powerhouse Mitsubishi Corporation to develop property at the Lippo Cikarang industrial estate east of Jakarta.
The companies will join hands to build the Glendale Park apartment towers in the estate’s Orange County development, a mixed-use property project.
“[The project] bodes well for the Orange County’s development because it will not only attract the attention of Japanese property clients and players but also other foreigners and Indonesian buyers into the Lippo Cikarang development,” said Meow Chong Loh, the Lippo Cikarang chief executive.
The development of the two apartment towers is expected to cost $100 million, Loh said. He added that half of the apartment units had already been sold in less than a month, thanks to robust demand for housing in the industrial park.
“We saw big potential when we had a presentation with Loh in June last year,” said Nobuya Ichiki, senior vice president and chief operating officer of real-estate development and construction at Mitsubishi Corporation. “We are collaborating in not just real estate, but future collaboration in asset management.”
The Lippo Group’s businesses span property, telecommunications, health care, media, banking and finance, consumer retail and e-commerce.
Mitsubishi, meanwhile, is involved in mining, shipping, telecommunications, financial services, insurance, electronics, automotive, construction, heavy industry, oil and gas, real estate, food and beverage, chemicals, steel, aviation and more.
The Jakarta Globe is affiliated with the Lippo Group.