Keppel Land breaks ground for International Financial Centre Jakarta Tower 2


Indonesia’s first BCA Green Mark Platinum office tower will meet rising demand for sustainable and quality office space in Jakarta


The business community operating in Indonesia's capital can soon look forward to a brand new state-of-the-art eco-office when International Financial Centre Jakarta (IFC) Tower 2 is completed in 2015. The office tower will be the first in Jakarta to be awarded the internationally-recognised Green Mark Platinum Award from the Building and Construction Authority (BCA) of Singapore.


Keppel Land broke ground for IFC Tower 2 in a ceremony this morning which was graced by Dr Lee Boon Yang, Chairman of Keppel Corporation, and attended by more than 150 guests comprising government officials, leading financial institutions, tenants and business associates.


Speaking at the ceremony, Mr Choo Chiau Beng, CEO of Keppel Corporation and Chairman of Keppel Land, said, "Indonesia's growth towards being one of Asia's major economic centres will continue to see more companies looking to set up or expand their presence into Jakarta. This is where IFC Tower 2 will meet the increased demand for investment-grade offices that bear the Keppel quality hallmark."


Incorporating the latest innovative green technology, IFC Tower 2 features eco-breakthroughs which include the recycling of rain water for irrigation, installation of water- and energy-efficient fittings in common areas as well as use of double-glazed low emission glass to reduce heat transfer while providing occupants an optimal indoor working environment.


These initiatives combined are expected to yield overall annual savings of over 25% in energy consumption and 6,000 m3 of water.


Mr Choo added, "We recognise that going green is no longer an option, but a responsibility. We want to do our part by developing properties that harmonise with the environment as well as enhance the quality of life for the communities.


"We are confident that Tower 2 will attract multinational and local corporations seeking a green business address in the heart of Jakarta's central business district."

Strategically located in the epicentre of Jakarta's financial district and within the golden triangle zone, IFC Tower 2 will offer a total net leasable area (NLA) over 50,000 sm of prime Grade A column-free office space. IFC Tower 2 will complement the fully-occupied Tower 1, which offers approximately 28,000 sm of office space.

Working with like-minded partners, Keppel Land has appointed internationally-acclaimed architecture firm NBBJ as lead designer.

Indonesia recently regained its investment-grade status after an upgrading by two rating agencies - Fitch and Moody's. The upgrade is expected to drive further economic growth and improve investor confidence. The increase in foreign direct investment is also expected to boost demand for quality office space as more companies set up or expand their presence in Jakarta.

According to Jones Lang LaSalle, the robust demand, low vacancy and limited new supply saw the Jakarta office market enjoy solid growth as at the end of the first quarter in 2012. Occupancy rates for Grade A office buildings improved to an average of 96.2%, with some even close to full occupancy. Average net rent for Grade A office spaces also strengthened 10% quarter-on-quarter to reach US$17.25 psm per month as at the end of the first quarter in 2012.


Keppel Land remains committed to grow with Indonesia over the long term and will continue to seek opportunities in Jakarta and Indonesia as a whole to cater to the rising demand for quality offices and homes.