Property developer PT PP Properti is building a five-star plus rated hotel in the Mandalika special economic zone (SEZ) in West Nusa Tenggara (NTB) with investment of Rp 1 trillion named Paramount Lombok Resort (US$69.59 million).
Director S. Linda Gustina said on Friday that the hotel was a joint venture between the firm and United States-based real estate and infrastructure developer EBD Paragon. The hotel would be operated by hospitality firm Paramount Hotels and Resorts.
She said the company had started construction in April on a 7.6-hectare plot of land. The 1,500-room hotel named Paramount Lombok Resort and Residences was expected to be fully operational by 2021.
The hotel is not the only one being developed by PP Properti in NTB. Linda said the company was also developing Park Hotel Lombok in Mataram, which was expected to be finished in the same year.
Besides developing hotels, she said, the subsidiary of state-owned construction firm PT PP was developing lifestyle malls in cities such as Bekasi in West Java, Surabaya in East Java, and Balikpapan in East Kalimantan under its commercial property division.
These projects, Linda added, would hopefully increase the recurring income contribution to the firm’s revenue.
As of March 2018, PP Properti booked an increase of 13.9 percent in sales to Rp 642.23 billion. However, its recurring income only contributed to 5.01 percent of its total revenue.