The Decline in Vertical Housing Development During the COVID-19 Pandemic

To meet the housing and settlement needs, particularly in urban areas, the government built apartment buildings. However, since 2017, the trend of apartment building construction has declined.

10,497 apartment units were built in 2015. Then, apartment construction increased to 7,740 units in 2016 and 13,251 units in 2017. After that, apartment construction decreased to 11,670 units in 2018 and 5,634 units in 2019. Similarly, in 2020, apartment construction further declined during the Covid-19 pandemic. The number of units built was recorded at only 823.

The majority of apartment buildings are occupied by Islamic boarding schools (ponpes) and Indonesian police/military (TNI) personnel. As of September 25, 2020, 31% of beneficiaries were from ponpes and 20% from police/TNI.

Other beneficiaries include students (19%), low-income communities (15%), civil servants (ASN) (9%), workers (5%), and fishermen (1%).

Apartment buildings are one alternative solution to address housing and settlement needs, especially in increasingly populated urban areas. Apartment buildings can be a solution because they reduce land use, thus providing more open urban space.