RealEstat.id (Jakarta) – Bali is one of the areas that offers property price increases (capital gains) and high occupancy rates. The increasingly massive tourism sector on the Island of the Gods has also encouraged property development, thus attracting more interest from local and international investors.
At the end of 2024, Bali was named the World's Most Romantic Destination 2024 for the first time at the 2024 World Travel Awards, beating eight competitors. Previously, this title had always won by other famous places in the world, such as Seychelles, Mauritius, and the Maldives.
First held in 1993, the World Travel Awards is a prestigious award event in the travel and tourism industry, even referred to as the "Academy Awards of the travel industry". The winners are determined by professionals in the travel industry and the public.
Meanwhile, in October 2024, Bali was also named the most beautiful island in Asia by readers of the United States magazine Condé Nast Traveler in the Readers' Choice Awards.
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According to a survey released by Rumah123, the property market in Denpasar, Bali, has experienced a significant price increase, reaching an average of 13.2% per year. This increase is the highest compared to 13 other major cities in Indonesia.
The latest data shows that demand for houses in Denpasar jumped by 25.8% in October 2024, compared to the same period in 2023.
According to Rumah123's Head of Research, Marisa Jaya, price growth that exceeds inflation makes property investment a very stable choice.
"This offers the potential for long-term profits, making housing as an investment a safe choice amid economic uncertainty," she explained.
The rapid development of the property industry on the Island of the Gods has led NPG Indonesia, a property development company based in Bali, to provide an insight into the situation.
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NPG Indonesia General Manager, Evgeny Obolentsev, estimates that in 2025 property prices in Bali will increase by around 5% to 10% compared to 2024.
"Our predictions are based on several reasons, including Bali's popularity as a tourist center and growth center for digital nomads continues to drive demand, in addition to the continued growth of Bali tourism as a major destination for international tourists," he said.
According to Evgeny, the increase in foreign investment in the Bali real estate market is generally attracted by the potential for high profits. This makes the land bank increasingly limited—especially in popular areas in Bali—while property prices are expected to be pushed up because demand continues to exceed supply.
In general, he explained, in the long term, a dynamic property market like Bali experiences price increases of around 5% to 10% per year. However, fluctuations can occur, depending on several factors, such as location, tourism trends, and property type.
"Bali itself is an area in Indonesia that has the most significant property value growth compared to other areas. However, it should be remembered that Bali also has its own characteristics, so a different approach is needed in determining the right type of property," Evgeny Obolentsev explained.
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Townhouse Development Trends in Bali
He explained that as a region that relies on the tourism sector, not all types of property development can be done in Bali, especially for property investment.
"Unlike other big cities in Indonesia, developing townhouse-type housing is the most logical choice, considering that many owners aim to rent their properties to tourists," said Evgeny.
Why are townhouses the most suitable in Bali? Evgeny Obolentsev gave several reasons. First, townhouses are small residential complexes with a limited number of houses, ranging from 30 - 50 units. Thus, the area and investment required are not as large as building a housing cluster.
Second, the design of townhouses is made the same and owners are generally not allowed to change the original design of the house freely. The houses are built in rows with one main gate and security officers guarding them 24 hours a day, making them very suitable for consumers who prioritize security.
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Evgeny Obolentsev says that townhouses are not just homes, but the foundation of a thriving community, where people from different backgrounds come together in the same environment and foster a sense of equality and connection. Similar residential design ensures that the focus is on building relationships, not showing off.
“With underground parking that keeps the neighborhood streets clear, residents can enjoy a harmonious living environment that blends in with each other. Townhouses are about creating a close-knit community where everyone feels welcome, valued and connected,” he says.
Third, townhouses have more complete shared-facilities than residential clusters, such as swimming pools, club houses, high-speed internet, children's play areas, green open spaces, multi-function rooms, and jogging tracks.
Fourth, townhouses are usually designed to be more luxurious and elegant, even tending to be villa-style, so that they can attract potential tenants to live or stay there.
"And we believe that the trend of building townhouse residential complexes will strengthen and be popular in the coming years," said Evgeny.
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He further emphasized that the residential’s design and complete facilities will be a special attraction which is the main reason for tourists in determining their choice of place to stay.
The current trend, added Evgeny, is that nowadays tourists are looking for accommodation locations that are instagrammable and can support remote working, so determining the design and completeness of the facilities is the main basis before building a residential complex.
"And Bali is the perfect place for remote working, because currently supporting facilities for the work, life, balance concept are easily available," said Evgeny Obolentsev.
Another issue that is also considered to have an important role is sustainability. According to him, this has slowly become the main reference for tourists in choosing their accommodation location.
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Ecoverse Project Progress
Furthermore, Evgeny Obolentsev highlighted the Ecoverse’s development, a premium residential project located at the gate of Nuanu Creative City, a major landmark in the Nyanyi area, Tabanan Regency.
Spanning 44 hectares, Nuanu Creative City is a visionary hub in Bali that embodies a commitment to harmonious living. It nurtures a vibrant community of creators, leaders, and changemakers, offering thoughtfully designed spaces for education, art & culture, wellness, entertainment, and nature-inspired living. Together, these interconnected elements form a seamless ecosystem that fosters collaboration, creativity, and meaningful connections.
Ecoverse is a residential complex that features 35 apartment units and 16 2-and-3-storey townhouse units, which offer extraordinary comfort through high-quality building construction and harmony with the surrounding nature.
Evgeny Obolentsev explained that NPG Indonesia always prioritizes the principles of sustainability in every residential project developed in Bali, through the alignment of buildings, facilities, and modern lifestyles with nature and the surrounding environment.
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"We always apply several sustainability features, such as renewable energy in each unit through the use of solar panels, waste processing systems, osmosis water filters, and Rain Water Traps," he said.
According to Evgeny, the real challenge is how to adapt the building to the surrounding nature. After all, what makes everyone fall in love with Bali is its nature and culture.
"This is very important for us, so that there is a harmonious balance between tourism growth and the nature and culture of Bali itself for the future residents of Ecoverse," explained Evgeny.
He added that when the Ecoverse project is completed in the Fourth Quarter of 2025, all residents will be able to enjoy the facilities owned by Nuanu Creative City, such as ProEd Global School, Luna Beach Club, Lumeira Spa, garden areas and pedestrian paths, which are only a few minutes' walk away.
"And Ecoverse will be the only new residential complex in front of the gates of Nuanu Creative City that is ready to be occupied in 2025," he concluded.
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