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Jakarta Post

100 investment projects in Bali set to be demolished this year

Creative Desk (The Jakarta Post)
Jakarta
Wed, August 13, 2025 Published on Aug. 13, 2025 Published on 2025-08-13T10:32:03+07:00

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major crackdown on illegal developments is underway in Bali, with authorities recently announcing the formation of a special task force and the imminent demolition of 40 residential complexes.

More than 100 properties, including villas, boutique hotels and residential compounds, are under investigation and may face the same fate due to widespread violations, ranging from missing permits, building on restricted land and ignoring zoning regulations.

“This is not a warning, it’s action. We are upholding the law and protecting public interests,” said an official from the Badung government.

As the landscape shifts, Bali’s real estate market is undergoing a stark transformation, with unstable projects facing legal collapse set to be supplanted by a new wave of development driven by legal transparency and sustainable profitability.

Bohdan Matuschchak, CEO of PGD Aparthotel, one of the few developments not just compliant with the law, said the transformation is reflective of a growing trend: building smarter, even if that means slightly lower short-term returns.

“We chose full legal compliance. It’s more expensive and takes longer, but it’s safer for investors. Our land is leasehold, the zoning is hotel-approved and all permits are secured,” said a representative of the developer.

PGD Aparthotel, developed by Premier Global Development in Bali’s sought-after Canggu district, was designed from the outset as an alternative to the legally risky villa model. Everything, from the architectural design to land ownership, meets local regulations.

Crucially, the property will be operated by Ribas Hotels Group, an international hotel management company with 11+ years of experience and a portfolio of 56 projects across Bali, Ukraine, Poland and Moldova. They provide full-cycle hospitality management, from launch to daily operations, ensuring consistent returns without the stress of self-management.

In a market where paperwork can now make or break your investment, aparthotels like PGD offer a safer and smarter path, combining private ownership with the professional structure and legal stability of a hotel operation.

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