Freehold Right to Use, known as "Hak Pakai" (HP), is a type of land ownership allowing specific uses, commonly for residential purposes.
This right is valid for up to 80 years, including extension and renewal periods. HP can be owned by Indonesian individuals, companies (domestic and foreign), and individual foreigners under certain conditions.
Key Functions of HP:
Specific Use Rights: HP allows the owner to use the land for specific functions, mainly residential.
Renewal and Extension: The right can be extended and renewed, up to a maximum of 80 years.
Transferability: HP can be transferred or sold to other eligible individuals or companies.
Legal Protection: Owners have legal protections under Indonesian law, ensuring the right to use the land as specified.
In simple terms, HP offers a way to use land in Indonesia, primarily for residential purposes, for up to 80 years. It is available to Indonesian citizens, companies, and individual foreigners, with specific conditions on use, pricing, and land area.