Sector Update / Property / Click here for full PDF version
Author(s): Halima Yefany ; Aurelia Barus
- Despite attractive SOE banks financing promos, Danantara's housing expo generated only Rp2tr (20% of target), suggesting subdued demand.
- Subsidized and affordable housing offerings remained concentrated in less accessible areas, priced at Rp166-387mn.
- Maintain Neutral on the sector, given soft housing market conditions and a subdued ROE outlook, which justify current valuations.
Danantara's housing expo: attractive financing options
We attended Danantara's first housing expo at PIK 2 on 27-30 Aug 2026, featuring >130 developers, financial institutions, and housing-related companies. The expo showcased projects across subsidized to higher-end segments, alongside SOE banks' financing promos with 1% down payment, progressive fixed rates from 2.75% p.a., and tenors of up to 30 years. However, transactions reached only Rp2tr vs. the Rp10tr target, suggesting that lower financing costs alone may not be able to lift demand.
Coverage developers: broad offerings, but demand remained soft
Four developers under our coverage participated in the expo and offered Himbara financing promos, including tenors of up to 30 years, subject to buyer and bank eligibility. showcased its Eluna and Elora apartments at the Kota Kasablanka extension, alongside special promos including a 44g gold reward and free administration and insurance fees of up to Rp60mn. launched its Lacewood cluster in CitraGardenCity from Rp1.8bn, while offered up to 20% discounts on selected products and furniture vouchers of up to 1.5% under its Royal Key program. Based on our checks with companies under coverage, expo demand was generally soft, with most transactions concentrated around the Rp2bn ticket size, including 's Izzi project. secured few premium-unit sales at the Kota Kasablanka Extension and Permata Hijau, while also closed several deals, albeit in limited volumes, indicating that buyer demand remained selective despite the attractive promotions.
Subsidized and affordable housing: mostly in less accessible locations
Subsidized and affordable housing offerings ranged from Rp166mn to Rp387mn, covering both landed and vertical projects by (NR), (NR), and Perumnas. Key offerings included Perumnas' Samesta Parayasa in Parung Panjang, priced from Rp387mn with monthly instalments of c.Rp3.3mn, and Pondok Banten Indah by Kawah Anugerah Property at Rp166mn, with free BPHTB, PBG, and PPN DTP. also offered Isabella Tower at Grand Kamala Lagoon from Rp190mn cash or Rp240mn via KPA at a 6% flat rate. Most projects are located 1-2 hours from CBD, with Grand Kamala Lagoon being the notable exception.
Maintain Neutral rating on the sector
We maintain our Neutral call on the sector, as subdued ROE outlook justifies its current valuation discount at -2 s.d. below its 5 years mean. remains our only BUY rating and top pick, supported by its resilient recurring income and stable ROE outlook, with our pecking order is: > > > . Key risks include regulatory changes and weaker macroeconomic conditions.
Sumber : IPS