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Data statistik pertumbuhan perkantoran surabaya
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SURABAYA REAL ESTATE research & forecast report
www.colliers.com
1h 2013 i the knowledge
Property Sector Overview
office sectorTotal office stock in Surabaya is 278,598 sq m which represents only 4% of the total office stock in DKI Jakarta. However, the office market in Surabaya is expected to further grow and is anticipating additional 318,821 sq m of office space over the next four years. Meanwhile, the average asking base rental rate in Surabaya was recorded at IDR85,233/sq m/month which was only 40% of the average rental rate in Jakarta.
apartment sectorAs of 1H2013, leased and strata-titled apartment in Surabaya totaled at 15,339 units. Again, by comparison this number represents only 11.5% of the supply in Jakarta. From 2H2013 to the end of 2015, the Surabaya market expects to see an additional 13,918 units.
The price of apartments in Surabaya is recorded at an average of IDR15.8 million/sq m/month which is about 30% lower than the average price in Jakarta.
retail sectorTotal retail space in Surabaya was registered at 957,088 sqm of which 61% represents leased malls. Between the period of 2H2013 and 2016, another 261,750 sq m is expected to come to the market. Meanwhile with 83% occupancy rate, the average asking base rental rate for retail in Surabaya is recorded at IDR375,076/sq m/month or 80% of the rental rate in Jakarta.
hotel sectorThere are a total number of 39 star-rated hotel projects in Surabaya providing a total of 6,619 rooms. There will be a significant increase in the number of hotel room between 2013 and 2015 with 20 new star-rated hotels providing 4,251 rooms. The average occupancy rate was registered at between 61% and 69% during the 1H 2013. The ARR for 3-star hotels was IDR342,409; for 4-star hotels, IDR395,602; and for 5-star hotels, IDR649,556.
office sector
SupplycUmUlatiVe sUpplY of office space
Colliers International Indonesia - Research
The growth of the office supply in Surabaya was sluggish particularly from 2000 to 2012. During that 12-year period, there was only a total of 92,424 sq m of new additional office space, with the supply growing only 3% annually. With no new office buildings expected to enter the market, the cumulative supply in 1H 2013 was 278,598 sq m. For the remainder of 2013, there will be no new office buildings beginning operations.
The office market in Surabaya is not comparable to that in Jakarta. The business people in Surabaya are characteristically low profile and tend not to opt for prestige. Local companies may have offices in a house or use part of their factory building for office uses because zoning regulations for office use is not stringently
implemented. This situation will likely continue, particularly driven by the demand from small businesses. On the other hand, the opportunity may come from medium to large business entities which need bigger office space. Some developers predict that demand will grow by 10 to 15% in 2013, mainly derived from mid-scale companies needing office space below 300 sq m. Such companies come from Jakarta or other areas to open a branch office in the city.
Notwithstanding the limited new office supply, the office market in Surabaya is anticipating a boom in supply from 2014 to 2016. With a projection of 234,081 sq m of additional office supply, the three years ahead will see an annual growth of 20%.
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YTD
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sq m
Existing Supply Annual Supply
Colliers International Indonesia - Research
p. 2 | colliers international
SURABAYA | 1h 2013 | oFFiCe
cUmUlatiVe sUpplY of office space based on marketing scheme
Colliers International Indonesia - Research
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sq m
For Lease For Strata-title
new office sUpplY pipeline (2014 - 2017)
office bUilding name location sga (sQ m) deVeloper name marketing scheme
2014Marvel City Jl. Ngagel 12,000 Consortium Kencana Group, PT Dian Istana and
PT Avila PrimaFor Lease
Puncak Bukit Golf Square Jl. Bukit Darmo Boulevard 30,000 PT Surya Bumimegah Sejahtera (Puncak Group) For Lease
2015Skyline Office Tower Jl. Mayjen Sungkono 38,821 PT Menara Bumi Sejahtera For LeaseGraha Pena II Jl. A Yani 8,000 PT Graha Pena Jawa Pos (Jawa Pos Group) For LeaseThe Samator Kedung Baruk 25,000 PT Samator Land For Lease
2016Puncak CBD Jajar Tunggal Jl. Jajar Tunggal 30,000 PT Surya Bumimegah Sejahtera (Puncak Group) For LeaseOne Galaxy Jl. Dharmahusada 40,000 PT Puri Galaxy (Sinar Galaxy Group) For LeaseOffice @Jl. A Yani Jl. A Yani 30,000 PT Trikarya Graaha Utama For Strata-titlePakuwon Center Jl. Basuki Rahmat 20,260 Pakuwon Group For Lease &
For Strata-title
2017Tunjungan Plaza VI Jl. Basuki Rahmat 39,740 Pakuwon Group For Lease &
For Strata-titleIntiland Tower Extention Jl. Panglima Sudirman 20,000 PT Intiland Development Tbk For LeaseCitraRaya City Center Kota CitraRaya 25,000 PT Ciputra Surya Tbk. (CitraLand Surabaya) For Lease
Colliers International Indonesia - Research
p. 3 | colliers international
For several periods, 84% of the total office space in Surabaya was marketed as offices for lease. Strata-titled office space had not been popular in the early years of the Surabaya office era until the introduction of Graha Pangeran in 1996. In 2010, Graha Pangeran changed ownership and since then it has been operated as offices for lease. In the future, we will delete Graha Pangeran from our commercial building database since the owner intends to use the whole space for themselves (owner-occupied building).
The market for offices for lease is tough in Surabaya because office buildings have to compete with shop-houses or even landed houses used for office purposes. Prior to 2012, only two office buildings had strata-titled offices; however, the strata-titled market was not as brisk as expected. To cope with a slack market, strata-titled offices were converted to offices for lease. In 2012, The Spazio was launched with strata-titled offices. Unlike the previous buildings, The Spazio was well absorbed.
Prior to 1990, the first two office buildings operated in Surabaya with a total of around 10,000 sq m. During the next decade (1990 - 2000) there were 15 office buildings operating
in the city, mainly concentrated in Central Surabaya, bringing a total of 183,974 sq m of office space. From 2000 to 2010, less office buildings were built compared to the previous decade, bringing around 65,624 sq m of office space into the market. From 2011 onward, only two office buildings were built, i.e. Trillium and The Spazio office buildings.
From 2011 to 2013, only two office buildings with a total of only around 26,800 sq m were operated. Even this year, there are no new office buildings being completed. Since the early period of office building history in Surabaya, the size of buildings has been no larger than 25,000 sq m, which is considered a small to medium size building in Jakarta. However, in the next one to three years, we expect to see larger buildings of around 40,000 sq m. After Graha Pangeran was introduced in 1996, it was not until 2003 that the second strata-titled office building was introduced. In 2007, another strata-titled office building was operated, followed by a fourth in 2012. The total strata-titled office space in Surabaya is 23,200 sq m, representing 16% of the total office stock. In the Jakarta market, strata-titled offices comprise 19% of the total office stock.
office bUilding distribUtion bY region in sUrabaYa (based on nUmber of propertY)
Colliers International Indonesia - Research
Regarding location, 65% of the office space is in Central Surabaya, which includes Jalan Embong Malang, Jalan Basuki Rahmat, Jalan Jenderal Sudirman, Jalan Urip Sumoharjo and part of Jalan Darmo. South Surabaya is the second commercial area, particularly in Jalan MayJend Sungkono and Jalan Jend. A. Yani
contributes 19% of the total office stock in Surabaya. In West Surabaya, the office building concentration is mainly along Jalan HR Muhammad, while the Gubeng area is the main office location in East Surabaya. The only area with no office buildings is North Surabaya.
Central Surabaya
65%
South Surabaya
19%
East Surabaya
8%
West Surabaya
8%
colliers international | p. 4
SURABAYA | 1h 2013 | oFFiCe
fUtUre office bUilding distribUtion bY region in sUrabaYa (based on nUmber of propertY)
Colliers International Indonesia - Research
Central Surabaya
25%
South Surabaya
33%
East Surabaya
25%
West Surabaya
17%
The pattern of future office distribution is completely different from currently, as mentioned above. South Surabaya, particularly in Jalan Mayjend Sungkono and Jalan Jend A.
Yani, will see more office space in the future, followed by East Surabaya. Up to 2017, there will be 12 new office buildings.
Occupancyhistorical occUpancY rates based on region
Colliers International Indonesia - Research
occUpancY rates based on area in 1h 2013
Colliers International Indonesia - Research
50%55%60%65%70%75%80%85%90%95%
100%
2008 2009 2010 2011 2012 2013YTD
Central Surabaya South Surabaya East Surabaya West Surabaya average
50%
55%
60%
65%
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75%
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90%
95%
100%
Central Surabaya South Surabaya West Surabaya East Surabaya
p. 5 | colliers international
SURABAYA | 1h 2013 | oFFiCe
The level of office space absorption is good in Surabaya, recorded at 87.7% as of June 2013. Compared to the ending occupancy rate in 2012, this figure is 3.6% higher, largely driven by the good performance of office buildings located in Central Surabaya. Some buildings in Central Surabaya experience good performance. After major refurbishments over the last two years, buildings like Gedung Bumi Mandiri 2 captured significant numbers of tenants, while Wisma BII had both tenant expansion and new tenants coming in. Office tenants in Surabaya are predominately national-scale companies, with only a few local companies, which normally opt for occupying shop-houses or rukan. Most multinational companies taking Surabaya office space are branch offices from Jakarta or come from eastern Indonesia, such as Makassar, Balikpapan
and Papua. Overall, the characteristics of companies having offices in Surabaya are somewhat different from Jakarta where office spaces being occupied are relatively small. Local companies and companies from outside Surabaya are projected to dominate this small occupiers market.
According to our records, around 20.000 sq m of office space was occupied from 2010 to 2012. This is a negligible amount compared to the annual office space absorption in Jakarta. Fortunately, the amount of office space being absorbed is somewhat balanced with the availability. Such a balance will likely continue and will maintain occupancy at a healthy level. Based on business lines, insurance and financial institutions became the main demand generator.
aVerage asking base rental rates based on area
Colliers International Indonesia - Research
The average base rental rate for offices in Surabaya has been relatively stable for some time, at IDR85,233/sq m/ month, only a minor change from the end of 2012. Based on area, Central Surabaya achieved the highest rental rates ranging from IDR55,000 to IDR120,000/sq m/month, followed by West Surabaya at IDR75,000 to IDR100,000/sq m/month. With a
relatively sluggish market, rent tends to be flat as well.
The service charge cost is the main reason for landlords to adjust the total occupancy tariff. As of 1H 2013, the average service charge was an average of IDR47,466/sq m/month.
Base Rental Rates and Service Charge
0 20,000 40,000 60,000 80,000 100,000 120,000 140,000
Central Surabaya
South Surabaya
West Surabaya
East Surabaya
IDR /sq m/month
colliers international | p. 6
SURABAYA | 1h 2013 | oFFiCe
apartment sector
Apartments For Strata-title Sale
Surabaya, as a metropolis and the second-largest city in Indonesia after Jakarta, will see continued growth in the property market, given the citys rapid development. Like Jakarta, the property cycle in Surabaya was affected during the Asian financial crisis in 1997 and global financial crisis in 2008, but since then, the property market has sustained an upbeat trend. The momentum of the booming apartment market in Surabaya started in 2009 and continues to grow. Surabaya has only 14,748 strata-title apartment units, which constitutes
only 12.0 per cent of Jakartas apartment market. These strata-title apartments are scattered across East, South, West and Central Surabaya. Despite having a small relative population and number of apartments, Surabaya is an interesting market for selling strata-title apartments. Because it is a growing economy and the centre of trading, education and industrial activities in Indonesia, Surabaya is an attractive location for affluent people and investors from other cities, and in particular from eastern Indonesia.
Supply
cUmUlatiVe sUpplY of apartments for strata-title in sUrabaYa
Colliers International Indonesia - Research
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p. 7 | colliers international
SURABAYA | 1h 2013 | apartment
Strata-title apartments emerged in Surabaya in 1996, with a combined total of 525 units becoming operational at Regency Apartment, Puncak Marina and Taman Beverly located at Jalan Embong Malang, Jalan Margorejo Indah and Jalan HR Mohammad respectively. Between 1996 and 2008, the supply of apartments stagnated. In 2008 Metropolis Apartment came on-line and from then until 2012, an average of 2,725 apartment units entered the market in Surabaya annually. A further annual influx of 4,639 units is anticipated over the next three years. Although most of the projects scheduled to enter the market in 2013/2014 are currently under construction, and the 2015 projects are largely still in the planning phase, they have all already been pre-sold.
West and East Surabaya are the two preferred locations for apartment developments with 54.0 and 32 per cent of the total supply respectively. Meanwhile, South and Central Surabaya compete for the remaining significantly smaller portion of apartment stock with 10 and 4.3 per cent respectively. The development of apartments was initially focussed in West Surabaya with East Surabaya not far behind. Developers are flocking to West Surabaya to build luxury apartments, which is attracting expatriates and business people. Despite the
fact that its apartment market developed later than in West Surabaya, East Surabaya offers a captivate market from the eastern Indonesia, particularly the growing number of middle to upper class families. As well as professionals, East Surabaya appeals to students from other parts of Indonesia because of its role as an education centre with universities like Airlangga University, Sepuluh Nopember Institute of Technology (ITS), and Petra University.
Based on our survey, we anticipate a further growth in supply in Surabaya between now and 2015, with an additional 13,918 units anticipated. The table below lists projects that are under construction. East and West Surabaya continue to dominate the market with the majority of projects over the next two years. In West Surabaya, there are an additional six projects totalling seven towers, including three apartment projects located within the Pakuwon Indah complex, one apartment project in Ciputra World Surabayas mixed-use compound, and one tower extension from Puncak Permai apartment, located in Raya Darmo. On the other hand, East Surabaya will receive 11 new towers from five projects, most of which are large-scale developments targeting to mid-low range pricing segment.
list of apartments in sUrabaYa
apartment name location deVeloper #Unit
1996Puncak Marina Jl. Margorejo Indah PT Tridjaya Kartika 214Taman Beverly Jl. HR Muhammad PT Surabaya Land 200Regency Apartment Jl. Embong Malang Pakuwon Group 111
1997Taman Sejahtera Jl. Gayung Kebonsari PT Taman Sejahtera 198Kondominium Graha Family Jl Graha Family PT Intiland Development Tbk. 260
1998Puri Matahari Jl. HR Muhammad PT Prasidha Inti Jaya 139
2008Metropolis Jl Raya Trenggilis PT Aktifitas Putra Mandiri 813
continued
p. 8 | colliers international
SURABAYA | 1h 2013 | apartment
apartment name location deVeloper #Unit
continuation
2009Waterplace Jl. Pakuwon Indah Pakuwon Group 1,600Grande Waterplace Jl. Pakuwon Indah Pakuwon Group 747Twin Tower (Tower B) Jl. Kalisari PT Mapan Sejahtera 96The Cosmopolis Residence Jl. Arief Rahman Hakim PT Aktifitas Putra Mandiri 180De Residence Jl. Pakuwon Indah Pakuwon Group 114
2010Twin Tower/Aston Place (Tower A) Jl. Kalisari PT Mapan Sejahtera 96East Coast Apartment Pakuwon City Pakuwon Group 792Adhiwangsa Golfview Residence Jl. Bukit Darmo Boulevard PT Bukit Darmo Property Tbk. 170Aryaduta Residences Jl. A Yani PT Lippo Karawaci Tbk. 238UC Apartment (Berkeley Tower) CitraLand Surabaya Ciputra Group 504High Point Apartment Jl. Siwalankerto PT Sambadha Wahana Development 352
2011The Square Jl. Siwalankerto PT Petra Town Square 440Puncak Permai (Tower A) Jl. Raya Darmo III PT Surya Bumimegah Sejahtera (Puncak Group) 1,254Puncak Permai (Tower B) Jl. Raya Darmo III PT Surya Bumimegah Sejahtera (Puncak Group) 1,254Trilium Residence Jl. Pemuda PT Pemuda Central Investindo 330The Via and The Vue Jl. Mayjen Sungkono 87 Ciputra Group 464
2012DR Apartment Jl. Keputih PT Diparanu Rucitra 640Puncak Permai (Tower C) Jl. Raya Darmo III PT Surya Bumimegah Sejahtera (Puncak Group) 1,254Gunawangsa (Tower A) Jl. Raya Menur Pumpungan PT Gunawangsa Investindo 640Gunawangsa (Tower B) Jl. Raya Menur Pumpungan PT Gunawangsa Investindo 640Puncak Kertajaya (Tower A) Jl Raya Kertajaya Indah
RegencyPT Surya Bumimegah Sejahtera (Puncak Group) 1,008
Colliers International Indonesia - Research
Central Surabaya
4%
South Surabaya
10%
East Surabaya
32%
West Surabaya
54%
apartment distribUtion bY region in sUrabaYa
Colliers International Indonesia - Research
p. 9 | colliers international
SURABAYA | 1h 2013 | apartment
most actiVe deVelopers in sUrabaYa bY nUmber of Units
Colliers International Indonesia - Research
There are several developers with existing apartment developments under way in Surabaya. Both Pakuwon Group and Puncak Group each have a project in West and East Surabaya. Pakuwon Group is developing Waterplace Apartment at Pakuwon Indah superblock in West Surabaya, and East Coast Residence at Pakuwon City superblock in East Surabaya. Puncak Group has a number of massive projects including Puncak Permai
Apartment in West Surabaya and Puncak Kertajaya Apartment in East Surabaya. PT. Guna Wangsa Investindo and PT. Aktifitas Putra Mandiri have projects in East Surabaya, namely Gunawangsa Apartment and Metropolis and Cosmopolis Residence respectively. Ciputra has The Via and The Vue Apartment and UC Apartment at JI. Mayjend Sungkono and Citraland complex in West Surabaya respectively.
new sUpplY pipeline
apartment name location deVeloper #Unit
2h 2013Puncak Kertajaya (Tower B) Jl. Raya Kertajaya Indah Regency Puncak Group 1,008Puncak Permai (Tower D) Jl. Raya Darmo III Puncak Group 1,254
2014The Peak Residence Jl. Basuki Rahmat Pakuwon Group 190Orchard Mansion Pakuwon Indah Pakuwon Group 940De Papillio Tamansari Jl. Ahmad Yani Wika Realty 446Tanglin Mansion Pakuwon Indah Pakuwon Group 940
2015Bale Hinggil Apartment Jl. Ir. Soekarno PT Tlatah Gema Anugrah 2,014Puncak Dharmahusada Jl. Ir. Soekarno Puncak Group 1,250Puncak Bukit Golf Jl. Raya Bukit Darmo Boulevard I Puncak Group 1,250Voila Apartment Jl. Mayjen Sungkono Ciputra Group 216Ritz Mansion Pakuwon Indah Pakuwon Group 450Linden Tower Jl. Ngagel 123 Consortium Kencana Group, PT Dian Istana and PT Avila Prima 360Educity Apartment Jl. Kejawan Putih Mutiara No. 17 Pakuwon Group 3,600
Colliers International Indonesia - Research
Puncak Group32%
Pakuwon Group23%
PT Gunawangsa Investindo
9%
PT Aktifitas Putra Mandiri
7%
Ciputra Group6%
PT Diparanu Nucitra4%
PT Petra Town Square3%
Others16%
p. 10 | colliers international
most actiVe deVelopers in sUrabaYa bY nUmber Units of planned apartments
Colliers International Indonesia - Research
aVerage take-Up rates for completed apartments in ih 2013
region take-Up
Central Surabaya 91.7%South Surabaya 97.0%East Surabaya 96.2%West Surabaya 96.6%
Colliers International Indonesia - Research
The trend of living in high-rise apartment buildings in Surabaya commenced in 2007, and in 2008, the market was flush with new apartments marking the era of apartment-living in the city of Surabaya. Over the last three years the influx of new apartment units has always been followed by good absorption rates. The apartment market has remained optimistic in line with the growing national economy and healthy business environment in Surabaya. Up to the end first half of 2013, the take-up rates of existing apartments in Surabaya reached 96.3 per cent, leaving only 543 units unsold.
Significant demand was generated by new couples, students and investors looking for good returns and capital gain from the secondary market. Location wise, buyers have different perspectives when buying in East Surabaya verses West Surabaya. Investors favour apartments in the West as the leasing market is strong, particularly with the option of targeting expatriates who like to live and work
close to the central business district, which is nearby. West Surabaya also provides facilities like golf courses which attract both the western and Japanese market, as well as embassies and international schools. In the interim, the profile of apartment buyers in East Surabaya is people from eastern Indonesia, such as Kalimantan, Makassar and Papua, whose buying motive is generally to provide accommodation for their children who study in Surabaya. Furthermore, they are considering establishing a second home-base for vacations or doing business in Surabaya.
Apart from the two most preferred areas, South and Central Surabaya registered similarly high take-up rates of 97.0 and 91.7 per cent for completed projects. With a lack of new developments since The Square Apartment (completed in 2011), South Surabaya registered the highest take-up rate, while Central Surabaya still has about 9.0 per cent of its units available at Trillium Residence.
Demand
Pakuwon Group44%
Puncak group34%
PT Tlatah Gema Anugrah
14%
Wika Realty3%
Consortium Kencana Group, PT Dian Istana and PT Avila Indah
3%
Ciputra2%
p. 11 | colliers international
SURABAYA | 1h 2013 | apartment
For apartments under construction, the overall pre-sale rate registered at 57.6 per cent. West Surabaya recorded the highest pre-sale rate with 62.5 per cent. Some on-going projects located in West Surabaya have performed well, i.e. between 50.0 and 90.0 per cent. Ciputra World Surabaya is pursuing the construction of The Voila Apartment, while the Pakuwon Indah Superblock projects will develop The Ritz Mansion, The Orchid Mansion and Tanglin Mansion. Overall, apartments under construction
in East Surabaya registered a pre-sale rate of 56.6 per cent. Some large-scale projects that are still under construction include Gunawangsa MERR (2 towers), Educity Apartment (4 towers), and Puncak Kertajaya (Tower B). Most of these developments have recorded a pre-sale rate of at least 50.0 per cent. South and North Surabaya are the two areas with no new apartment projects forecast for the next 2-3 years.
aVerage take-Up rates of apartment Under constrUction
region take-Up
Central Surabaya 45.9%East Surabaya 56.6%West Surabaya 62.5%
Colliers International Indonesia - Research
During the first half of 2013, the asking price for strata-title apartments in Surabaya ranged between IDR6.7 million and IDR35 million per sq m, while the average asking price across all apartment classes in Surabaya is IDR13.6 million per sq m. It should be noted that these figures are based on available units in the market.
By area, Central Surabaya, which is the downtown area of Surabaya, captured the highest price. The average apartment price in Central Surabaya was recorded at IDR25 million per square metre, while the highest apartment price was IDR35 million per sq m. High land prices, which were triggered by the scarcity of land stock in the downtown area, bolstered the increase in apartment prices. As of June 2013, the only available and ready-to-occupy units were at Trillium Residences. The remaining on-going projects like The Peak Residence and One Icon Residences, developed by Pakuwon Group, and Praxis, by Intiland, are still under construction.
East and West Surabaya are experiencing a range of developments from apartments in the mid-low range pricing segment to luxury apartment. A significant number of apartments in the mid-range to luxury segments being developed by reputable large developers, while projects in the mid-low range pricing segment are generally developed by smaller developers. In East Surabaya, the price per square metre ranges between IDR6.7 million to IDR22 million per sq m. On average, apartment prices in East Surabaya are registered at IDR13.2 million per sq m. Similarly, West Surabaya registered a range of between IDR7.4 million and IDR25.4 million per sq m, with the overall average price recorded at IDR13.2 million per sq m.
In South Surabaya, price disparity among developments is virtually non-existent because apartment projects are aiming at similar segments. There are only six apartment projects in South Surabaya, with De Papillio Tamansari still under construction during the reviewed period. Asking prices range from IDR11.0 million to IDR16.6 million per sq m.
Asking Price
p. 12 | colliers international
SURABAYA | 1h 2013 | apartment
apartment price-range bY location in sUrabaYa
Colliers International Indonesia - Research
IDR 0
IDR 5,000,000
IDR 10,000,000
IDR 15,000,000
IDR 20,000,000
IDR 25,000,000
IDR 30,000,000
IDR 35,000,000
IDR 40,000,000
Central Surabaya South Surabaya East Surabaya West Surabaya
Pri
ce/s
q m
colliers international | p. 13
SURABAYA | 1h 2013 | apartment
Apartment For Lease (Serviced and Non-serviced)
Until the end of June 2013, the supply of apartment units for lease in Surabaya, including serviced apartments and non-serviced apartments, was limited comprising only 3.8 per cent of the total apartment units available. There are eight apartment projects for lease in Surabaya with the majority being service apartments. The serviced apartments in Surabaya were largely attached to hotel developments, such as Novotel Suites, Sheraton Residence, Paragon Apartment, Somerset Residence, and JW Marriott Guesthouses. There is only one project in South Surabaya, Puncak Marina located in Jl. Margorejo Indah. This apartment has 30 non-serviced apartment units. Overall, the total supply of apartment for lease up to the first half of 2013 in Surabaya was 591 units.
Based on area, there are four service apartment projects in West Surabaya including Graha Residen, Java Paragon Apartment, Somerset Residence and Puri Darmo. Graha Residen is the oldest development, established in 1989, and the only low-rise apartment in Surabaya.
Paragon Apartment is part of the Java Paragon Hotel and Residences project, and is conveniently located near the international school and golf courses at Jl. Mayjen Sungkono. Somerset Surabaya Serviced Residence is located near toll road which have an easy access to industrial districts of Margomulyo, Gresik, and Pasuruan, while Puri Darmo Serviced Residence is located in Jl. Raya Kupang Baru and its bright colours dominate the roof-line in the area.
South and Central Surabaya have, respectively, one and two apartments for lease. Puri Marina Apartment in South Surabaya is operating as non-service apartments. Meanwhile, two service apartments in Central Surabaya are both located at Jl. Embong Malang, comprising Sheraton Residence and JW Marriott Guesthouses.
Only one serviced apartment project is located in East Surabaya. Novotel Suites is located in Jl. Ngagel, catering for both business guests and leisure travellers.
Supply
Colliers International Indonesia - Research
list of completed apartments for lease
apartment name location region #Units
Graha Residen Jl. Darmo Harapan West Surabaya 151Java Paragon Residences Jl. Mayjen Sungkono West Surabaya 64Puri Darmo Service Residences Jl. Raya Kupang Baru West Surabaya 92Somerset Service Residence Jl. Raya Kupang Indah South Surabaya 104Puncak Marina Jl. Margorejo Indah South Surabaya 30Sheraton Residence Jl. Embong Malang Central Surabaya 53JW Marriott Guesthouses Jl. Embong Malang Central Surabaya 27Novotel Suites Jl. Ngagel East Surabaya 70
Because the majority of apartments for lease are serviced apartments, they are given more emphasis. Demand for serviced apartments was largely driven by long-term corporate tenants, particularly expatriates who work in Central Surabaya and beyond Surabaya itself. Corporate tenants from the banking and other service industries are mainly located in Central Surabaya, while corporate tenants in manufacturing industries opt for apartments close to the toll road because their work places
are located in cities outside Surabaya, like Gresik and Sidoarjo. Korean, Japanese and Chinese tenants are the predominant expatriates in the area, followed by Americans and Australians. Overall, the occupancy rate of serviced apartments in Surabaya registered at 71.0 per cent. Apart from this, short term occupiers also help to maintain the current level of occupancy, particularly during the period reviewed.
Demand
p. 14 | colliers international
SURABAYA | 1h 2013 | apartment
By area, the occupancy rate of service apartments in East Surabaya is recorded at 80.0 per cent, followed by Central Surabaya with 75.0 per cent, during the first half of 2013. Meanwhile, West Surabaya posted a 67.0 per cent occupancy rate. Going forward, the occupancy rates of serviced apartments will
potentially experience increasing competition from the newly-built strata-title apartments. The majority of serviced apartment constitute older developments, which could potentially lead to open leasing in the newly-built strata-title market, since expatriates prefer newer units.
Leased apartments in Surabaya generally uses rupiah denominations for leasing transactions. Based on our survey, the average rental rate ranges from IDR85,469 to IDR248,929/sq m/month (or US$8.75 to US$25.48/sq m/month). For luxury serviced apartments managed by five star international hotel brands, rental rates were recorded at between IDR138,350 and
IDR272,222/sq m/month (or US$14.16 and US$27.87/sq m/month. Meanwhile, the rental rate for serviced apartments which are locally operated, including Puri Darmo Service Apartment and Graha Residen, ranges between IDR89,362 and IDR135,556/sq m/month (or US$9.15 to US$13.88/sq m/month.
Rental Rates
aVerage rental rates for serViced apartments in sUrabaYa
Colliers International Indonesia - Research
IDR 0
IDR 50,000
IDR 100,000
IDR 150,000
IDR 200,000
IDR 250,000
IDR 300,000
IDR
/sq
m
Based on type, the monthly rental rate for one-bedroom and two-bedroom serviced apartments in Surabaya registered at IDR17.38 million to IDR18.38 million (or US$1,780 to US$1,882) per
unit. A three-bedroom serviced apartment is considerably higher at an average of IDR23.56 million (US$2,412) per unit.
colliers international | p. 15
SURABAYA | 1h 2013 | apartment
Retail Sector
Supply
retail cUmUlatiVe sUpplY
Colliers International Indonesia - Research
Retail space in Surabaya grew at a fast pace in early 2000. The number of retail spaces grew significantly from 2002 to 2011 when an additional 667,387 sq m of retail space entered the Surabaya market. The highest influx occurred in 2006 and 2008. In 2006, the retail market in Surabaya saw 141,600 sq m of new retail space while in 2008, the market witnessed
the greater amount of 191,846 sq m (the highest annual supply in Surabaya retail history). Since then, retail space in Surabaya only grew by 50,000 sq m until 2011. During 2012 and up to the middle of 2013, there was no new retail space in Surabaya and this will likely continue up to 2014.
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
YTD
2013
F
2014
F
2015
F
2016
F
sq m
Existing Supply Annual Supply
existing
Colliers International Indonesia - Research
colliers international | p. 16
SURABAYA | 1h 2013 | retail
Retail projects are mainly located in downtown Surabaya and this is reflected in the chart below. Central Surabaya leads with 33 % of the total 957,088 sq m of total cumulative supply up to 1H 2013. Of the overall supply in Central Surabaya, Tunjungan Plaza is the main contributor of retail space. Since opening in 1986, Tunjungan Plaza has been expanding.
Besides Tunjungan Plaza, Grand City and ITC Mega Grosir Surabaya are also located in Central Surabaya, making the total retail supply in Central Surabaya higher than in other areas. South Surabaya is the second highest area with retail space. In 2011, the mall at Ciputra World was the latest retail center to open in South Surabaya.
distribUtion of retail space based on area
Colliers International Indonesia - Research
CentralSurabaya
33%
South Surabaya
27%
North Surabaya
14%
East Surabaya
13%
West Surabaya
13%
The supply of retail space in Surabaya is still dominated by retail for lease (about 588,521 sq m or 61% of the total supply). This is contributed by 22 retail centers that have been operating in Surabaya since 1986.
On the strata-title front, since the opening of Pasar Atom from 1976 to 1H 2013, there are only a total of 368,567 sq m of strata-titled
retail space which is contributed by 14 retail centers. The highest annual supply historically was recorded in 2008 when there was 90,000 sq m of new strata-titled retail space in operation. One of the biggest strata-titled centers was CITO (City of Tomorrow), contributing more than 70,000 sq m; it is the biggest strata-titled center in Surabaya.
retail cUmUlatiVe sUpplY based on marketing scheme
Colliers International Indonesia - Research
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
YTD
2013
F
2014
F
2015
F
2016
F
sq m
For Lease For Strata-Title
colliers international | p. 17
SURABAYA | 1h 2013 | RetAiL
list of operating shopping centres in sUrabaYa
shopping centres name location region deVeloper namemarketing
schemePasar Atum Jl. Bunguran North PT Senopati Perkasa Strata-titleTunjungan Plaza I Jl. Basuki Rahmat Central PT Pakuwon Jati For LeaseSurabaya Plaza Jl. Pemuda Central PT Bayu Waringin Lestari For LeaseTunjungan Center Jl. Tunjungan Central PT Lamicitra Nusantara Tbk For LeaseSurabaya Mal (Hi Tech Mall) Jl. Kusuma Bangsa North PT Sasana Boga For LeaseTunjungan Plaza II Jl. Basuki Rahmat Central PT Pakuwon Jati For LeaseJembatan Merah Plaza 1 Jl. Kasuari North PT Lamicitra Nusantara Tbk Strata-titleGalaxy Mal Jl. Dharmahusada Indah Timur East PT Alam Galaxy (Sinar Galaxy Group) For LeaseTunjungan Plaza III Jl. Basuki Rahmat Central PT Pakuwon Jati For LeaseTunjungan Plaza IV Jl. Basukit Rahmat Central PT Pakuwon Jati For LeasePlaza Marina Jl. Margorejo Indah Raya South PT Tridjaja Kartika For LeasePakuwon Supermal Indah Jl. Bukit Darmo West PT Pakuwon Jati For LeasePakuwon Trade Center Jl. Bukit Darmo West PT Pakuwon Jati Strata-titleMaspion Square Jl. A. Yani South PT Maspion Tbk For LeaseGolden City Mall Jl. Abdul Wahab Siamin South PT Pakis Mega Indah For LeaseDarmo Trade Centre Jl. RA Kartini South PT Arwinto Intan Wijaya Strata-titleGalaxy Mal II (extention) Jl. Dharmahusada Indah Timur East PT Alam Galaxy (Sinar Galaxy Group) For LeaseBG (Bubutan Golden Junction) Jl. Bubutan Central PT Sentral Supel Perkasa Strata-titleITC Mega Grosir Surabaya Jl. Gembong Central PT Citraagung Tirta Jati Strata-titleRoyal Plaza Jl. A. Yani South PT Dwijaya Manunggal For LeasePusat Grosir Wonokromo Jl. Raya Wonokromo South PT Duta Pertiwi Strata-titlePasar Atum Mall Jl. Bunguran North PT Senopati Perkasa For LeaseJembatan Merah Plaza 2 Jl. Kasuari North PT Lamicitra Nusantara Tbk Strata-titlePusat Grosir Surabaya Jl. Dupak Central PT Lamicitra Nusantara Tbk Strata-titleTunjungan Electronic Centre Jl. Tunjungan Central PT Lamicitra Nusantara Tbk Strata-titleKapas Krampung Plaza Jl. Kapas Krampung East PT Gitanusa Sarana Niaga Strata-titleSurabaya Town Square (Sutos) Jl. Pepaya West PT Graha Megaria Raya For LeaseKapas Krampung Trade Center Jl. Kapas Krampung East PT Gitanusa Sarana Niaga Strata-titleCity of Tomorrow Jl. A. Yani South PT Surya Mitra Jaya (Lippo) Strata-titleCentral Point Shopping Mall Jl. Ratna, Ngagel South PT Waringin Group For LeaseButhan Trade Mall Jl. Bubutan (ex Mardi Santoso
Hospital)Central PT Bubutan Indah Megah Strata-title
LenMarc Shopping Paradise Jl. Bukit Darmo Boulevard West PT Adhibaladika Agung For LeaseGrand City Mall Jl. Gubeng Pojok Central PT Hardaya Widya Graha For LeaseEast Cost Center Jl. Kejawan Putih Mutiara,
Pakuwon CityEast PT Pakuwon Jati For Lease
Ciputra World Mall Jl. Mayjen Sungkono South PT Ciputra Surya Tbk For Lease
Colliers International Indonesia - Research
p. 18 | colliers international
SURABAYA | 1h 2013 | retail
Ciputra World Surabaya was the latest mall and opened in 2011; since then and until 2014, there will be no new retail space. Only in 2015 and 2016 will a new supply of retail space appear, including both new retail centers and the expansion of existing projects. Over the next three years, Surabaya will see additional new retail space of 261,750 sq m.
Looking at the composition of retail distribution in the future, Central Surabaya remains the prime retail location. South Surabaya will also continue to be a preferred retail location. It is interesting to note that East Surabaya will have the largest retail space from the planned Galaxy Mall extension.
fUtUre
distribUtion of fUtUre retail space based on region
Colliers International Indonesia - Research
Central Surabaya
22%
South Surabaya
23%North Surabaya
15%
East Surabaya
29%
West Surabaya
11%
new pipeline of shopping centres in sUrabaYa
shopping centres name location regionnla
(sQ m)marketing
schemedeVelopment
statUs2015Mall @Praxis Superblock Jl. Embong Sonokembang Central 22,750 For Lease In Planning
2016Marvell City Jl. Raya Ngagel East 15,000 For Lease In PlanningMall @A. Yani Jl. A. Yani South 30,000 For Lease In PlanningCiputra World 2 Jl. Mayjen Sungkono Central 34,000 For Lease In PlanningPasar Atum Mall 2 Jl. Bunguran North 40,000 For Lease In PlanningMaspion Square 2 Jl. A. Yani South 30,000 For Lease In PlanningOne Galaxy Mall Jl. Dharmahusada Indah Timur East 60,000 For Lease In PlanningPuncak CBD Jajar Jl. Jajar Tunggal West 30,000 For Lease In Planning
Colliers International Indonesia - Research
colliers international | p. 19
SURABAYA | 1h 2013 | retail
Shopping Center Performance The overall occupancy rate for all retail centers in Surabaya was 81% in 1H 2013. This level is 1.7% higher than the figure last year. Shopping centers for lease (malls) experienced a good occupancy level of 83% while the occupancy for strata-titled shopping centers was 74%. All regions in Surabaya enjoyed the average performance of around 80% in 1H 2013 with some prominent shopping centers enjoying full occupancy. Only some shopping centers located in West Surabaya had occupancy levels below 70% due to the low performance of one retail center (some pre-committed tenants have not opened stores yet) that operated since 2011, located on Bukit Darmo Boulevard.
In general, as the second biggest city in Indonesia, Surabaya is a rosy market for retail business given the population and being the center of economy for the eastern part of the
country. Certain malls have shown impressive performance due to the location, appropriate concept and always being updated on retail trends. In fact, there are some operating malls with lackluster performance. They may have committed tenants who are not open, or in some cases, many tenants open but there is low shopper traffic. Not only in Jakarta, Mitra Adi Perkasa (MAP) - Indonesia-based retail companies engaged in the trading of clothing, shoes, accessories, bags and sports equipment have been quite dominant in Surabaya. One of the brands, Zara, will occupy around 2,500 sq m in Galaxy Mall. One upcoming extended mall in the west has secured Debenhams as their anchor. Other retail companies like Kawan Lama are also actively expanding into the Surabaya retail market as well as ACE Hardware and Informa.
occUpancY rates based on region
Colliers International Indonesia - Research
50%
55%
60%
65%
70%
75%
80%
85%
90%
95%
100%
Central Surabaya South Surabaya North Surabaya East Surabaya West Surabaya
nUmber of operating department stores in sUrabaYa
Colliers International Indonesia - Research
0 1 2 3 4 5 6 7
Matahari
SOGO
Centro
Metro
Ramayana
Cahaya
Grand Palace
Dep
artm
ent S
tore
p. 20 | colliers international
SURABAYA | 1h 2013 | retail
nUmber of operating hYpermarket in sUrabaYa
Colliers International Indonesia - Research
0 1 2 3 4 5 6 7
Hypermart
Carrefour
Giant
Lotte Mart
Hyp
erm
arke
t
Asking Rental Rates and Service Charge Overall, the average asking rental rates for retail centers in Surabaya was IDR375,076/sq m/month in 1H 2013. Four prime shopping centers have contributed to an overall increase of 10.2% in the asking rental rates compared to 2012. During the first six months of 2013, these shopping centers adjusted the pegged rate (a fixed exchange rate of IDR against US$) as well as introducing new asking rental rates as a result of the good mall performance.
As a business district, retail centers in Central Surabaya captured the highest rental rates at
an average of IDR506,749/sq m/month. The high rents in Central are at two retail centers, namely Tunjungan Plaza and Grand City. Meanwhile, the lowest asking rental rate of IDR269,983/sq m/month are found in East Surabaya at two new relatively new shopping centers located further east of the city. However, the latest figures do not reflect the overall market in the east because one prominent and established shopping center, Galaxy Mall, achieved a high rent by targeting the medium to upscale segment.
asking rental rates based on region
Colliers International Indonesia - Research
IDR 0
IDR 100,000
IDR 200,000
IDR 300,000
IDR 400,000
IDR 500,000
IDR 600,000
Central Surabaya North Surabaya East Surabaya West Surabaya South Surabaya
colliers international | p. 21
SURABAYA | 1h 2013 | retail
historical asking rental rates and serVice charge
Colliers International Indonesia - Research
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
IDR 0
IDR 100,000
IDR 200,000
IDR 300,000
IDR 400,000
IDR 500,000
IDR 600,000
2008 2009 2010 2011 2012 2013YTDA
skin
g Re
ntal
Rat
es Service Charge
Rental Rates Service Charges
The service charges of shopping centers in Surabaya have been relatively flat. Currently, the average service charge is IDR66,556/sq m/month. Despite increasing basic electricity
tariffs in early 2013, there has been no significant impact on the overall operational costs and only brought a minor increase of 1.8% over those at the end of 2012.
p. 22 | colliers international
SURABAYA | 1h 2013 | retail
hotel Sector
Supply
composition of star-rated hotels
Colliers International Indonesia - Research
For the first six months in 2013, two hotels had soft openings. PT Sahid International Hotel Management and PT Karya Gunawangsa operate the new 3-star Hotel Sahid Gunawangsa,
which has 170 rooms and is located at Jalan Menur Pumpungan 62, Manyar. Another hotel operates during that period was the 4-star Grand Darmo Suite, providing 200 rooms.
As of 1H 2013 there are 39 star-rated hotels providing a total of 6,619 rooms. The 3-star
hotel category dominates in terms of the number of hotels and number of rooms.
The characteristics of business hotels in Surabaya are similar to those in Jakarta. The hotel market is very much underpinned by local
guests, particularly those who come as corporate guests from either private corporations or the government.
bY nUmber of hotels bY nUmber of rooms
3-star55%
4-star29%
5-star16% 3-star
38%
4-star34%
5-star28%
Colliers International Indonesia - Research
colliers international | p. 23
SURABAYA | 1h 2013 | hotel
hotel growth in sUrabaYa based on nUmber of rooms
Colliers International Indonesia - Research
Until 2007, the growth in the number of hotel rooms in Surabaya had been sluggish and only in 2008 did the market begin to see the number of additional rooms grow modestly until 2011.
From 2012 to 2015, the number of hotel rooms will increase substantially. From 2013 to 2015, there will be 20 star-rated hotels providing 4,251 rooms.
0
1,000
2,000
3,000
4,000
5,000
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
YTD
2013
P
2014
P
2015
P
room
s
3-star 4-star 5-star
new hotel sUpplY pipeline
hotel name location gradeno. of rooms
statUs
2013Alana Ketintang 3-star 162 Under ConstructionQuest Ronggolawe 3-star 135 Under ConstructionSwiss-Belinn Manyar Manyar 3-star 143 Under ConstructionSantika Premier Gubeng 4-star 96 Under ConstructionSwiss-Belhotel Darmo 4-star 232 Under ConstructionWahana Basuki Rahmat 4-star 220 Under Construction
2014Harris Mayjen Sungkono 3-star 250 Under ConstructionIbis Basuki Rahmat 3-star 180 Under ConstructionCitadines Ngagel 3-star 288 Under ConstructionToma Jaksa Agung Suprapto 3-star 125 Under ConstructionCasarita Margorejo 4-star 200 Under ConstructionSwiss-Belhotel Mayjen Sungkono 4-star 220 Under ConstructionRich Palace HR Muhammad 4-star 195 Under ConstructionAryaduta Jend. A Yani 5-star 245 Under ConstructionDouble Tree Basuki Rahmat 5-star 198 Under Construction
2015Grandhika Ngagel 3-star 150 In PlanningSolaris Bagong Ginayan 3-star 180 In PlanningSwiss-Belinn Tunjungan 3-star 187 In PlanningGrand Clarion Raya Juanda 4-star 555 In Planning
Colliers International Indonesia - Research
p. 24 | colliers international
SURABAYA | 1h 2013 | hotel
The number of hotels in Surabaya over the next three years will be high and quite a few hoteliers feel that the number of new hotels should be controlled. Apart from the above list of new hotels, there are some new hotel operators in the stage of applying for a development permit. Most likely, in one or two years, the number of hotel permits in Surabaya will be limited to maintain healthy competition among hotels and to help promote the development of the cities surrounding Surabaya in order to lessen the
urbanisation of Surabaya.
Hotel development continues to be an attractive property investment in Surabaya for several reasons. The invention of new energy sources in several places in East Java has drawn investors and created demand for hotels. In addition, Surabaya is relatively safe with less upheaval from students or other demonstration activities.
composition of star-rated hotels based on region
Colliers International Indonesia - Research
existing fUtUre
Central Surabaya
45%
West Surabaya
3%
East Surabaya
18%
North Surabaya
5%
South Surabaya
29%
Central Surabaya
45%
West Surabaya
5%
East Surabaya
30%
South Surabaya
20%
Demand Since 2007, the number of foreign visitors to Surabaya through Juanda Airport has increased by 7% annually. This year, the government of
Surabaya City set a target of a 10% increase or 218,000 people who will come to Surabaya through Juanda Airport.
nUmber of foreign Visitors throUgh jUanda airport
Tourism and Creative Economy Department
0
50,000
100,000
150,000
200,000
250,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 target 2013
colliers international | p. 25
SURABAYA | 1h 2013 | hotel
Domestic visitors, which are the main driver for hotel occupancy in Surabaya, increased in number every year. The period from 2007 to 2008 was a slow period for incoming domestic tourists; however, with the beginning of operations of Juanda Airport as an international
airport in 2009, the number of domestic visitors to Surabaya jumped, by 140%. This continued until 2012 with an annual growth rate of around 8%. This year, the head of the Surabaya Tourism Agency set a target of 10 million domestic visitors coming to the city.
nUmber of domestic Visitors coming to sUrabaYa
Statistics Indonesia
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
2007 2008 2009 2010 2011 2012 target 2013
The domination of domestic guests is also reflected in the guest profile. From 2007 to 2012, the ratio of domestic versus foreign guests was 85 : 15.
In terms of regions, Central Surabaya is preferred the location compared to West Surabaya because of its proximity to commercial
and entertainment spots. Even private corporations would consider hotel locations within the catchment of shopping facilities.
Meanwhile, South Surabaya is also a potential location for hotels because of its proximity to the airport.
the ratio between foreign and domestic Visitors coming to sUrabaYa
Statistics Indonesia
0%
20%
40%
60%
80%
100%
2007 2008 2009 2010 2011 2012 2013 YTD
colliers international | p. 26
SURABAYA | 1h 2013 | hotel
Performance The occupancy level of all starred hotels in Surabaya reached 66% in 2012, which is a decline of 4% compared to the figure for 2011. The drop in occupancy level was mainly due to the influx of new hotels during the period.
During the first half of 2013, a number of MICE
events were held in Surabaya, among them Second Senior Officials Meeting (SOM 2) for APEC members, meetings facilitated by private corporations and the government with offices in Surabaya or other cities outside of Surabaya. This helps maintain the occupancy levels for 3-, 4- and 5-star hotels at 61 to 69%.
aVerage occUpancY rates (aor)
occUpancY rate of star rated hotels in sUrabaYa
Indonesia Hotel and Restaurant Association - Surabaya
0%
20%
40%
60%
80%
100%
2007 2008 2009 2010 2011 2012 2013 YTD
3 star 4 star 5 star average
From 2007 to 2012, the average length of stay of foreign guests was 2.48 days, while that of
domestic guests was 1.66 days.
length of staY of foreign and domestic gUests in sUrabaYa
Statitstics Indonesia
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
2007 2008 2009 2010 2011 2012 2013 YTD
days
foreign domestic
The room rates of hotel in Surabaya were mainly driven by MICE activities. Overall, from 2010 to 2012, the Average Room Rate grew by 5.7% annually. The highest growth in the ARR was experienced by 4-star hotels (7.3%
annually) while the 3- and 5-star hotels recorded lower growth of 2.8 and 6.4%, respectively. The ARR for 3-star hotels was IDR342,409; for 4-star hotels, IDR395,602; and for 5-star hotels, IDR649,556.
aVerage dailY rates (adr)
colliers international | p. 27
SURABAYA | 1h 2013 | hotel
colliers international indonesia:
World Trade Centre 10th & 14th floorsJalan Jenderal Sudirman Kav. 29 - 31Jakarta 12920Indonesiatel 62 21 521 1400fax 62 21 521 1411
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$2.0 billion in annual revenue
1.1 billion square feet under management
Over 13,500 professionals
Copyright 2012 Colliers International
The information contained herein has been obtained from sources deemed reliable. While every reasonable effort has bee made to ensure its accuracy, we cannot guarantee it. No responsibility is assumed for any inac-curacies. Readers are encouraged to consult their pro-fessional advisors prior to acting on any of the material contained in this report.
www.colliers.co,
Accelerating success.
Michael Broomell Managing Director
World Trade Centre 10th & 14th floorsJalan Jenderal Sudirman Kav. 29 - 31Jakarta 12920Indonesiatel 62 21 521 1400 ext 131fax 62 21 521 1411
Ferry SalantoAssociate Director, Research
World Trade Centre 10th & 14th floorsJalan Jenderal Sudirman Kav. 29 - 31Jakarta 12920Indonesiatel 62 21 521 1400 ext 134fax 62 21 521 1411Email: [email protected]
aVerage dailY rates of star rated hotels in sUrabaYa
Indonesia Hotel and Restaurant Association - Surabaya
With the increasing average room rate, the revenue per available room also increased by 3.8% annually. RevPAR for 3-, 4- and 5-star hotels was IDR220,278; IDR273,370 and IDR399,744.
As hotels in Surabaya characterised as business hotels, corporations and government account
for 80% of the occupancy of business hotels in Surabaya. The good things of hotel in Surabaya are interesting hotel rates. According to a hotelier in Surabaya, the room rates there are relatively low compared to Bali and even Yogyakarta, and hotels in Surabaya are generally good and have favourable MICE facilities.
reVenUe per aVailable room of star rated hotels in sUrabaYa
Indonesia Hotel and Restaurant Association - Surabaya
reVenUe per aVailable room (reVpar)
IDR 0
IDR 100,000
IDR 200,000
IDR 300,000
IDR 400,000
IDR 500,000
IDR 600,000
IDR 700,000
IDR 800,000
2007 2008 2009 2010 2011 2012 2013 YTD
3 star 4 star 5 star average
IDR 0
IDR 50,000
IDR 100,000
IDR 150,000
IDR 200,000
IDR 250,000
IDR 300,000
IDR 350,000
IDR 400,000
IDR 450,000
2007 2008 2009 2010 2011 2012 2013 YTD
3 star 4 star 5 star average
SURABAYA | 1h 2013 | hotel