Can Foreigners Buy Property in Kedungu

Freehold Sits Outside the Law Here

Hak Milik can only be registered to an Indonesian citizen. That rule comes straight from UUPA Articles 9 and 21, and it applies exactly the same in Kedungu as anywhere else in the country.

A PT PMA, a foreign-invested company, cannot hold Hak Milik either, even though it is an Indonesian legal entity. If a seller offers you freehold on this coast, something in that offer does not match Indonesian law.

Three Routes Foreigners Actually Use

Each structure carries its own paperwork and its own limits:

• Hak Sewa leasehold. A lease, not a title: a notarised contract lets you occupy a block someone else holds as Hak Milik. Nothing about it sits on a BPN certificate, and foreigners can sign one freely.
• Hak Pakai. Reserved for a foreigner already holding a KITAS or KITAP, and usable only above a price floor regulation sets.
• PT PMA holding HGB. Set up this Indonesian company and Hak Milik is still off the table, but it can carry Hak Guna Bangunan, the right to build, or Hak Pakai instead.

Rp 5,000,000,000 for a landed house, Rp 2,000,000,000 for a condominium unit: Permen ATR/BPN 18/2021 is the regulation behind those numbers, as reported by Kompas Properti in June 2023. Reconfirm the figure before relying on it, since thresholds like this move.

Term lengths run the same way for Hak Pakai and HGB alike when the underlying land is state-owned or Hak Pengelolaan: 30 years to start, a 20-year extension, then a further 30-year renewal, capping out at 80 years total. Land carved from someone else's Hak Milik caps lower, at 60 years across one 30-year term plus a single 30-year renewal.

A PT PMA is not free to set up either. BKPM Regulation 5/2025 puts reported minimum paid-up capital at around Rp 2,500,000,000, and the wider investment plan required on top of that runs to Rp 10,000,000,000 per business licence code, per location.

What Kedungu's Own Listings Actually Sell

None of this is theoretical for this coast specifically. Kedungu Real Estate's own stock runs entirely on lease terms:

• A one-bedroom listing near 29 years.
• A two-bedroom at 25 years.
• Three-bedroom units spanning 23 to 29 years in total.

Nuanu adds a separate leasehold layer through Black Sands Oasis, a studio-to-four-bedroom project due to hand over in Q2 2028, per New Homes Indonesia. No freehold option turned up anywhere in the listings reviewed for this coast.

That pattern changes how you should read a listing here. Confirm which of the three structures, Hak Sewa, Hak Pakai or a PT PMA, actually sits behind it before you assume you know what you are buying.

Why the Nominee Shortcut Still Fails

Some sellers still pitch a nominee arrangement, an Indonesian citizen holding Hak Milik on paper for a foreign buyer behind the scenes. It has never been legal, and Bali has recently made that explicit rather than leaving it implied:

• UUPA Article 26(2) bans transferring land rights to foreigners through any indirect method, including this one.
• Surat Edaran Mahkamah Agung Nomor 10 Tahun 2020 directs Indonesia's courts to declare nominee agreements null and void, for failing the lawful-cause test in Civil Code Article 1320.
• Perda Provinsi Bali Nomor 4 Tahun 2026 goes further at the provincial level, explicitly prohibiting land ownership transferred through nominee schemes, backed by fines, revoked permits, forced demolition and possible criminal charges for related land-conversion breaches.

A nominee deal is not a shortcut. It is a structure a court can unwind, and the state can reclaim the land once it does.