Teak Management Programs on Freehold Land

This program combines the benefits of the “micro management programs” on leased land, with the long term growth of a real estate investment, allowing an investor to be both a "tree owner" and a "land owner"; in the case of non-Indonesian nationals, the land is owned by an Indonesian PMA company (a PMA is a "Foreign Investment Company", i.e. a limited liability company which has been previously authorized by the Government to be owned by non-Indonesian citizens) with all the necessary licenses from the Indonesian Government. A PMA company has limited liability, and can both own land under an HBG title, and have its shares owned by foreigners.

Depending on the case, an investor's ownership over the land and the trees may also be secured both by a sublease in the owner's name (to secure the trees), and by a mortgage of the land in his name (to secure land ownership; land mortgages to foreigners are legal under Indonesian law).
For all contractual, financial and legal issues, BTF is advised by PT P&A International Consulting, an international consulting firm with offices in Bali (www.paconsultingbali.com). All interested parties are invited to contact P&A International Consulting for any clarification regarding the ownership and/or other programs offered by BTF, and to seek their own indipendent legal advice prior to finalizing any tree ownership agreements or any agreements with BTF.
Pricing for freehold land and preplanted teak trees depend on the amount of the investment, and the negotiations for the actual plots of land, the expected future land appreciation, and many other factors which are specific to each transaction, but are still very reasonable.
BTF now has located two project sites, available for review and due diligence by investors, both site comprising absolutely gorgeous mountain land perfect for teak, and also for resort developments in the future, overlooking the ocean. One site in is the area of Lovina, and one in the Karangassem area.
In these type of freehold projects, BTF may offer investors 10,000 teak trees, with 25 years fully managed plan, including actual freehold OWNERSHIP of 5 hectares of ocean view land with tremendous development potential over the medium term), for approx Euro 600,000 (this would be equivalent to Euro 60 per 1 tree; vis-avis Euro 30 per 1 tree without the ownership of the land, which already is a stand alone investment.
BTF can work out these ownership programs, tailored to meet the requirements also of smaller individual investors (for example, 1,000 teak trees with 1/2 hectar of land, with 25 years managed plan, @ approx Euro 75,000/Euro 75 per tree. All pricing and figures are subject to the Euro/Indonesian Rupiah exchange rate at the relevant time. PT P&A International Consulting (www.paconsulting.bali.com ), is available to assist on all local and international legal and contract matters, at the highest international standards.
In the case of these freehold land programs, an investment today of approx Euro 75,000 over 25 years is expected to generate a profit from the trees farming, PLUS the value of the freehold real estate at the time of harvest of the trees.
In the case of the BTF Lovina freehold project, the specifics of this project (a combination of low purchase price for the land, which has 180 degrees ocean views, and is only 5 minutes from resort town of Lovina, where tourism is expected to recover as a popular resort over the next 25 years period) are designed to maximise the increase of value of the underlining real estate.
Based on very very prudential projections of ocean view land price increases in Bali, it would not be unrealistic to expect the price of the Lovina plantation to be be worth anywhere from Euro 35 to Euro 50 per square meter AND UP!
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Lovina site Lovina site
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Lovina site - North-East ocean view Lovina site - North-west ocean view
 
 
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