legal
legal clarityat every stage of the process
In Bali the risk almost always lies in the documents, not the architecture. So we show the deal structure before the renders: land rights, permits, taxes and the limits of responsibility, in the original files.
ownershipstructure
A foreigner cannot hold freehold title to land in Indonesia. Lawful structures do exist, and we work only within them: no nominee owners and no grey schemes.
- 01
PT PMA
foreign investment company
The project's operating and holding structure. It allows the company to run a hotel business, employ staff and pay taxes in Indonesia on standard terms.
- 02
Hak Guna Bangunan
right to build · HGB
The title under which the building belongs to the project company. Its term and renewal procedure are set out in the certificate, which you see before the transaction.
- 03
Hak Sewa
long-term lease · leasehold
Used for some of the assets: the term and the conditions for renewal and exit are set out in a notarial agreement registered under Indonesian law.
What we do not do
No nominee owners. No promises to “sort out the permit later”. No sales on land where the zoning question is still open. If a project does not pass the legal filter, it does not go on sale at all, rather than going on sale “with a caveat”.
due diligence
what we checkbefore entering a project
- 01
Land title
The certificate, the history of transfers, and whether the boundaries match the cadastre and the plot's actual area.
- 02
Zoning
Whether the plot is permitted for hotel use, and the limits on height and setbacks.
- 03
Permits
The PBG building approval, conformity with the design documentation, and the plan for obtaining the SLF on completion.
- 04
Encumbrances
Mortgages, easements, disputes, third-party rights and the obligations of previous owners.
- 05
Taxes
BPHTB, VAT, tax on rental income and the corporate obligations of the PT PMA, calculated before the transaction.
- 06
Contractor
Licences, a record of completed buildings, financial standing and the guarantees in the contract.
the investor'sdocument package
- 01Land title certificate (SHM / HGB)before the deal
- 02Zoning statement for the plotbefore the deal
- 03Building approval (PBG)before the deal
- 04Certificate of fitness for use (SLF)on completion
- 05PT PMA constitutional documents and share structurebefore the deal
- 06Legal opinion from an independent adviserbefore the deal
- 07Sale and purchase agreement / PPJB, notarial format the deal
- 08Management and income distribution agreementat the deal
- 09Project tax map (NPWP, BPHTB, PPh)at the deal
The full package for a specific project is opened in the Invest Portal. Copies of opinions and permits are handed over at a meeting, before any agreement is signed.
FrequentQuestions
Can a foreigner own property in Bali?
What if the permits have not yet been issued?
Who checks the documents besides you?
What taxes does the investor pay?
What happens to the asset on inheritance or sale?
The financial modelon request
Leave your details and we will send the project model, the legal structure of the deal and access to the Invest Portal. No passing you around: one manager stays with you from the first call to reporting.