The duration of the Right to
Build has been regulated in Article 35, paragraphs (1) and (2) of the Basic
Agrarian Law Number 5 of 1960, which is 30 years and can be renewed for an
additional 20 years. This also applies to the Right to Build on Management
Rights. However, with the provisions of Article 19 of Government Regulation
Number 12 of 2023 concerning the Granting of Business Licenses, Ease of Doing
Business, and Investment Facilities for Business Actors in the Nusantara
Capital, the duration of the Right to Build on Management Rights granted can
reach 160 years with 2 cycles. This, of course, causes disharmony between the
Basic Agrarian Law Number 5 of 1960 and Government Regulation Number 12 of
2023.
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