The Indonesian government plans to demolish the existing Hotel Sultan buildings to make way for a new, comprehensive landmark development. Rosan Roeslani, Minister of Investment and Downstream Industry and CEO of the Danantara Investment Management Agency, confirmed on June 22, 2026, that the site will be redeveloped as part of a broader, 200-hectare transformation of the Gelora Bung Karno (GBK) area.
Status of the Hotel Sultan Site
Following a successful legal execution, the Pengadilan Negeri (PN) Jakarta Pusat officially handed over the Hotel Sultan property to the government. The transfer includes two land plots—identified as HGB Number 26/Gelora (53,709 square meters) and HGB Number 27/Gelora (83,666 square meters)—and 15 distinct structures, including the Main, Garden, and Lagoon towers, as well as the Golden Ballroom and various support facilities.
Did You Know? The court-ordered transfer, finalized on June 18, 2026, involves 15 specific structures on the site, ranging from luxury hotel towers and apartments to specialized facilities like the Nippon Resto, fitness centers, and tennis courts.
Development Plans for the GBK Area
Rosan stated that Danantara intends to manage the site through its subsidiaries, such as Injourney or Meru, once administrative processes at the Ministry of State Secretariat (Kemensetneg) conclude. The government aims to redesign the entire 200-hectare GBK complex, which includes the former hotel grounds and surrounding sporting facilities. While the area will retain its focus on sports, the goal is to elevate all facilities to international, world-class standards to stimulate a new economic center in Jakarta.
Expert Insight: The transition from a hospitality-focused asset to a state-managed, multi-use economic hub signals a pivot toward maximizing the yield of prime urban real estate. By integrating the site into a 200-hectare master plan, the government is moving away from standalone property management toward a district-wide approach that prioritizes logistical, transport, and accessibility improvements alongside tourism.
Future Outlook and Economic Impact
President Prabowo has directed that the development be handled comprehensively to ensure it provides a tangible economic impact for the Indonesian public. While the project is in its early stages, the master plan is expected to include new hotel accommodations alongside the upgraded sporting infrastructure. The government is currently evaluating various development options, weighing the necessity of improving logistics, transport, and overall cleanliness to establish the area as a new, iconic destination for Indonesia.
Frequently Asked Questions
What will happen to the current Hotel Sultan buildings?
According to Rosan Roeslani, the current buildings are slated for demolition as part of a plan to transform the site into a new, comprehensive area.
Who will manage the site after the handover?
The Danantara Investment Management Agency will oversee the property, likely utilizing Injourney or Meru for management once the Ministry of State Secretariat completes the necessary administrative processes.
Will the area continue to function as a sports facility?
Yes, the government intends to retain the sports function of the GBK area while upgrading all facilities to meet international standards to create a new economic center.
How do you envision the transformation of the historic GBK area impacting the daily experience of Jakarta residents and visitors?
