1.     Actually the term strata title is not a term used in Indonesian legal literature. Strata title is occasionally used in common law jurisdictions, such as Singapore and Australia, which allows joint ownership in addition to other physical manifestations of horizontal and vertical ownership. Regarding terminology, while the terms rumah susun, apartments, flats, and condominiums are used synonymously, the relevant legal language for Indonesia uniquely employs the term rumah susun.

2.     The legal basis for rumah susun regulations are:

-       Law No. 16 of 1985 on Rumah Susun, and;

-       Government Regulation No. 4 of 1988 on Rumah Susun.

The Definition of rumah susun under the Law is:

"A multi-storey building which was built in such a manner as to be divided into parts that are functionally structured in separate horizontal and vertical directions and the units can each separately be owned and inhabited primarily as a means of shelter, equipped with parts, goods, and lands that must be used together by the people living under the building."

Individual apartment owners possess the following common rights:

1.     joint rights over common parts,

2.     joint rights over common objects / goods,

3.     joint rights over lands

all of which are a unified rights and are inseparable.

Ownership of a Unit of Rumah Susun ("HMSRS") is considered exist the ‘Deed of Separation’ has been registered and the ‘Land Book’ is made. To provide legal certainty surrounding the creation of flats, the government provides a strong evidentiary tool called the HMSRS certificate which is issued by the Land Office in the regency / city.

According to Article 7 of the Law, land used for construction of rumah susun must be:

1.           Ownership Rights [equivalent to a ‘freehold’]

2.           Rights to Build (HGB)

3.           Rights to Use over the state’s lands

4.           Rights to Manage (HPL) 

3.     The important thing to note when you are interested in buying an apartment is to examine the rights relating to the unit of rumah susun. Problems can arise if the apartment was built on land that possesses an HGB over a HPL status. Article 38 of the Government Regulation states that if the rumah susun is built on lands that have the status of HPL, the developer must first apply for an HGB over a HPL status. In the event the latter status has not been obtained, then the rumah susun units cannot be sold.  

Hopefully this information is helpful.

Selviyani, SH, MH (IKA Advokat UI)