Practice Areas
Real Estate and Land
Land title due diligence, property transactions, building permits, land disputes, and foreign ownership rules for property in Bali.
We carry out due diligence on land status, including the type of right such as Hak Milik (SHM), Hak Guna Bangunan (HGB), Hak Guna Usaha (HGU), and Hak Pakai, and verify the records with the local land office. We also guide transactions through the sale and purchase agreement (PPJB) and the deed of sale and transfer (AJB) executed before a PPAT.
For development projects, we assist with building approvals (PBG), resolve land disputes through the land agency and the courts, and structure ownership in a way that suits foreign investors and buyers. In Bali in particular, we explain the risks of nominee arrangements and set out alternatives that align with current regulations.
What we do
- Due diligence on land certificates and their history
- PPJB and AJB guidance before the PPAT
- Name transfers (balik nama) and transfers of rights at the land office
- Building approvals (PBG) and development permits
- Land disputes, possession claims, and ownership suits
- Ownership structures for foreign buyers, including Bali villas
- Long-term leases and property management agreements
Frequently asked questions
What is the difference between SHM and HGB, and why does it matter when buying property?
SHM (Hak Milik) is the strongest and most complete form of land right and has no fixed term. HGB grants the right to build and own structures on land for a set period that can usually be extended, so the difference affects value, the length of ownership, and who may hold the right.
Can a foreign national buy a villa in Bali?
Foreign nationals generally cannot hold freehold (Hak Milik) land. Common alternatives are Hak Pakai or a long-term lease, or ownership through an Indonesian company (PT PMA) holding an HGB, subject to the rules in force and their possible changes. Each structure should be assessed against the specific land status and the business licences required.
What are the risks of a nominee or name-borrowing arrangement for land ownership?
In a nominee arrangement, the land is registered in the name of an Indonesian citizen while the foreign party enjoys the economic benefit indirectly. Such arrangements carry significant risk because courts may treat them as void or unenforceable, and they can lead to disputes with heirs or with the nominee. We do not recommend them as a basis for investment.
Tell us about your legal matter
A free 30-minute initial consultation, in person or online.