North Bali Airport – Kubutambahan Airport Project at Risk as Ownership Dispute Emerges over 370—Hectare Parcel of Land Needed to Develop Aerodrome.
Plans to build a new international airport in northeast Bali at Kubutambahan may have encountered a major impediment. In the process of issuing an official “location permit” officials have discovered that 370-hectares of land needed for the project are not owned by the Village of Kubutambahan but, instead, is under a long-term lease held by a private company PT Pinang Propertindo.
As reported by Metrobali.com, PT Pinang Propertindo, owned by Adi Suari, officially leased the land starting from 1991 under a contract valid until 2062.
Fearful that this development could spell the end of plans to develop a new North Bali airport at Kubutambahan, local officials are trying to persuade Adi Suari to surrender the land to be used by the new airport.
The existence of a long-term lease on the land intended for the North Bali airport is problematic on several levels. In the original plans, the land presumably held by the Village of Kubutambahan would “given” to the new airport projects. If Adi Suari is prepared to surrender his claim on the property, are their budgeted funds available to pay him compensation so construction can go ahead? The situation may be complicated even further once the details of Adi Suari’s leasehold becomes public. For instance, who is the actual owner of the large tract of land who would resume ownership of the land in 2062 and, presumably, also expect to be compensated for the property?