Marriott International To Open Three Hotels In Indonesia’s New Capital City, Nusantara

15-9-2023 (JAKARTA) Marriott International, the renowned global hotel operator, has revealed plans to establish three hotels in Indonesia’s new capital city, Nusantara, located on the island of Borneo. The move, which comes in collaboration with local partner Pakuwon Jati, is seen as a significant endorsement of the ambitious project by the Indonesian government.

Under the agreement, Marriott will work with Indonesian real estate developer Pakuwon Jati to launch three hotel properties in Nusantara. The government is set to begin transferring some of Jakarta’s functions to the new capital in August next year. The relocation, estimated to cost 466 trillion rupiah ($30 billion), is President Joko “Jokowi” Widodo’s brainchild. He believes that the move will alleviate the challenges faced by Jakarta, such as overcrowding, pollution, and heavy traffic, while also stimulating development in a remote area of the vast archipelago.

While many Indonesian companies have announced investment plans for the new capital city, foreign companies have been adopting a cautious approach. Therefore, Marriott’s announcement holds great significance. The agreement entails the opening of three Marriott brands in Nusantara: Four Points by Sheraton, Westin Hotels & Resorts, and Tribute Portfolio.

Marriott International CEO Anthony Capuano expressed his belief that these three hotels will be the first of many to be added to the new capital. In an interview with the local Jakarta Post, Capuano emphasized the importance of timing and the risks involved in real estate transactions, including political factors. He noted that waiting too long often results in the best sites being taken.

Ramesh Jackson, the area vice president for Indonesia and Malaysia at Marriott International, described the deal as a “landmark agreement” and highlighted Marriott’s commitment to expanding its presence strategically in Indonesia. He also expressed support for the local government’s efforts to accelerate the country’s economic transformation, particularly with the establishment of the new capital city in Nusantara.

Alexander Tedja, the president commissioner of Pakuwon Jati, welcomed the partnership with Marriott International and expressed excitement about the joint project. Tedja believes that the collaboration will inspire travelers to embark on new journeys to Indonesia’s new capital city.

In addition to Marriott’s announcement, Pakuwon Jati revealed its plans to construct a shopping mall integrated with apartments and hotels in Nusantara, further contributing to the development of the new capital.