Large-scale land development of landed housing and apartment based on developers networking in Jabodetabek

Abstract

The immense development of residential land in Jabodetabek and unreasonable property prices indicate an uncompetitive housing market. It argues that the phenomenon of oligopolistic market condition, either in the property or land market, is bridled by a minority of developers. It is reinforced by the emergence of a network formed among the development firms. In order to deliberate developer’s network, we incorporated institutional land development study approach, market structure and business competition theory. Subsequently, social networks analysis among large-scale housing developers will be explained. This study revealed out that the development of residential land was found to lead into a more competitive climate with monopolistic competitive market type. Four investigations: multiple positions; stock ownership; consortium; and kinship, were selected to divulge a large-scale housing developer network that are formed either directly or indirectly. The network created a semi-oligopolistic type of land domination. A few well-known developers became the dominant actors through landed housing and apartment developers network. The emergence of this network phenomenon is indicated by poor regulations and its institutions. Moreover, policies regarding spatial planning and business competition have not been integrated yet.