How Much Does Land in Lombok Cost?

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Lombok, an island in West Nusa Tenggara, Indonesia, has emerged as a hotspot for investors and individuals seeking property in a tropical paradise. Its pristine beaches, vibrant culture, and growth potential have attracted global attention.

This article explores Lombok’s real estate market, focusing on land costs, factors affecting prices, and essential tips for prospective buyers.

Lombok at a Glance

Geographical Overview: Lombok sits east of Bali and is part of the Lesser Sunda Islands. Its diverse landscape, from Mount Rinjani to stunning coastlines, offers various opportunities for real estate development.

Economic and Tourism Impact on Land Value: Tourism and government initiatives have significantly influenced the island’s economy and land values to promote Lombok as a premier destination. These efforts have increased land prices, especially near key tourist attractions.

Kuta Lombok and Kuta bali map

Factors Influencing Land Prices in Lombok

Location and Accessibility: Land prices in Lombok vary widely based on proximity to beaches, airports, and other infrastructure. Coastal areas and places near the Lombok International Airport command higher prices.

Zoning and Land Use Regulations: Government and land use regulations are crucial in determining land value. Areas designated for tourism and commercial development often have higher land prices.

Infrastructure and Development Projects: Ongoing and planned infrastructure projects, such as roads and utilities, boost land values by improving accessibility and attracting investment.

Market Demand and Investment Trends: Growing interest from domestic and international investors in Lombok has spurred land price increases, with certain areas seeing more demand due to their development potential.

Lombok Island

Comparative Analysis of Land Costs

Coastal vs. Inland Areas: Coastal regions, particularly those with beachfront access, tend to have higher land costs than inland areas. However, inland regions offer more affordable agricultural and residential development opportunities.

Tourist Hotspots vs. Emerging Locations: Established tourist areas like Senggigi and Kuta have higher land prices while emerging locations offer lower costs with the potential for significant appreciation.

Sunset with purple hues at Selong Belanak Beach

Purchasing Process for Foreign Investors

Legal Framework and Ownership Types: Indonesia has specific regulations regarding foreign land ownership, typically involving leasehold agreements for non-Indonesians. Understanding these laws is crucial for a smooth acquisition process. You can read our guide on buying property in Lombok as a foreign investor for more information.

Steps in Acquiring Land: The process includes identifying suitable properties, conducting due diligence, and navigating the legalities of land purchase in Indonesia.

Potential Pitfalls and How to Avoid Them: Foreign buyers should be aware of legal restrictions, potential scams, and the importance of working with reputable agents and legal advisors. Our team at Explora Lombok can help you navigate the legal process.

Current Land Prices in Lombok

In Lombok, land prices can vary significantly depending on the location and size of the property. From the recent data and listings available, it’s clear that both the south coast and other strategic areas of Lombok are attracting interest for personal use, investment, and development projects.

For instance, in areas like Selong Belanak, land prices have been listed at around $82 per square meter for a 1,800 sqm plot. Prices in Kuta, another popular area, show a wider range depending on the exact location and proximity to key attractions, with plots of 500 sqm going for around $122 per square meter. Other areas like Torok Bay offer land from 800 sqm starting at $70,000, indicating a competitive market that caters to a range of budgets and preferences.

If you’re looking for Lombok lands for sale, check out our exclusive properties in Mawi, Torok, and Tunak.

The growth of the expat community in South Lombok, driven by remote working trends and quality education offerings, along with unprecedented infrastructure development, has played a significant role in the demand for land. The Lombok property market continues to mature, with individual investors showing strong interest, particularly from Australia, Jakarta, Singapore, and Northern Europe.

Looking forward, the market anticipates increased pricing in key locations, especially along the south coast, driven by the competitive price of construction and the expectations of high yields in the medium to long term. The undersupply of high-end accommodation, highlighted by large events, suggests that villa owners and land investors may continue to benefit from this trend.

Financial Considerations for Buyers

Taxes and Fees: Understanding the tax obligations and additional fees associated with land purchases is essential for budgeting and financial planning.

Financing Options and Investment Returns: Options for financing land purchases in Lombok include bank loans and private financing. The potential for high investment returns, particularly in growing tourist regions, makes Lombok an attractive option for investors.

The Future of Lombok’s Land Market

The future of Lombok’s land market shines bright, aided by Indonesia’s strategic initiatives to position Lombok as the next major tourist and investment destination. Government efforts, including the Mandalika Project—a special economic zone designated for tourism and green energy projects—signal a robust commitment to Lombok’s development. Additionally, the expansion of Lombok International Airport and infrastructure improvements are set to increase land values further.

Kuta Mandalika sign

Investors can look forward to a market ripe with opportunities, from luxury resort developments to affordable housing projects. The emphasis on sustainable and eco-friendly developments aligns with global trends, promising a balanced growth that respects Lombok’s natural beauty and cultural heritage.

Buying Tips for Prospective Landowners

Prospective landowners eyeing Lombok should prioritize due diligence to navigate the complexities of the Indonesian real estate market.

Engaging with a reputable real estate agent familiar with local laws and land rights, including the nuances of Hak Milik (freehold) and Hak Sewa (leasehold) ownerships, is crucial.

Understanding local customs and building relationships with the community can facilitate smoother transactions and integration into Lombok’s social fabric.

Legal checks, environmental assessments, and verification of infrastructure access should form the core of your due diligence process. Additionally, consider the area’s long-term development plans to ensure your investment aligns with future growth trajectories.

Expert Opinions on Investing in Lombok

Real estate experts and seasoned investors are bullish on Lombok’s potential, citing its natural beauty, strategic location, and the Indonesian government’s investment in infrastructure as key drivers. The consensus is that Lombok offers a unique blend of investment opportunities catering to high-end luxury markets and more affordable segments.

Experts advise focusing on areas with planned infrastructure upgrades and those designated for tourism development. They also highlight the importance of sustainability and community engagement in project development, reflecting a shift towards responsible investment practices.

For more information, read our article Why is Lombok the Best Place to Invest Right Now?

sea view at Lombok land for Sale - torok hills

Comparative Advantage of Lombok Over Other Destinations

Lombok distinguishes itself from Bali and other destinations with its unspoiled landscapes, lower population density, and significant government investment in infrastructure and development projects. While Bali has long been the crown jewel of Indonesian tourism, its challenges with over-tourism and environmental degradation give Lombok an opportunity to offer a sustainable alternative.

Emerging markets within Southeast Asia are competing for investor attention, but Lombok’s combination of natural beauty, cultural richness, and investment support from the Indonesian government positions it uniquely for growth. The island’s focus on eco-tourism and sustainable development further enhances its appeal in a globally conscious market.

Challenges Facing Lombok’s Land Market

Investors and landowners in Lombok face several challenges:

  • Legal Hurdles: Navigating the complex legal framework for land ownership and investment in Indonesia requires careful planning and expert advice.
  • Environmental Concerns: Balancing development with environmental conservation is a constant challenge. Investors must consider the impact of their projects on Lombok’s ecosystems.
  • Social Impact: Ensuring that development benefits local communities and does not lead to displacement or cultural dilution is critical.

FAQs: Everything You Need to Know About Land in Lombok Cost

  • How do foreign investors legally acquire land in Lombok?
    • Foreign investors can legally acquire land in Lombok by establishing a PT PMA (Foreign-Owned Company), which allows them to hold a Hak Guna Bangunan (HGB) title, essentially a right to build. This title can be held for up to 80 years, offering significant control over the land and property through the company. The PT PMA is considered the safest and most secure way for foreigners to invest in Indonesian land.

  • What are the current trends in land prices in Lombok?
    • Land prices in Lombok have been experiencing a notable increase, especially in popular areas along the south coast, such as Selong Belanak and Kuta. This trend is driven by Lombok’s growing appeal as a tourist destination and the Indonesian government’s investment in infrastructure. The property market continues to attract investors from traditional markets, with expectations for further price increases in key locations.

  • How can buyers ensure their investment is secure?
    • Buyers should conduct thorough due diligence to ensure a secure investment, including checking the land’s legal status, zoning regulations, and outstanding taxes. Utilizing a reputable notary and seeking independent legal advice can further secure the transaction. For foreign investors, purchasing through a PT PMA adds a layer of legal protection and flexibility.

  • What are the best areas in Lombok for land investment?
    • The best areas for land investment in Lombok include the south coast’s popular beaches like Selong Belanak and Kuta, which are favored for their stunning natural beauty and development potential. Other emerging areas, such as Torok, Mawi, and the regions around the new international airport, also present interesting opportunities.

  • How does the Indonesian government support foreign investment in Lombok?
    • The Indonesian government supports foreign investment in Lombok through initiatives like the “10 New Balis” plan, which aims to promote tourism beyond Bali. Infrastructure developments, including the new international airport and the Mandalika Project, are part of this support. The introduction of the Omnibus Law, simplifying the business and investment process, further encourages foreign investment.

  • What steps should be taken to navigate the land purchasing process smoothly?
    • If they are foreigners, investors should establish a PT PMA to navigate the land purchasing process smoothly. Conducting comprehensive due diligence on the property, understanding the different types of land titles, and being aware of the zoning laws and regulations are crucial. Engaging a reputable lawyer or consultant who can provide independent advice and assist with the legal aspects of the transaction is also advisable​.


Lombok presents a compelling opportunity for investors and buyers seeking land in a rapidly developing market. Lombok is poised for significant growth with its natural beauty, strategic location, and growing economy. Buyers can make informed decisions and capitalize on Lombok’s opportunities by understanding the market dynamics, legal requirements, and investment potential.

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