Foreign nationals cannot hold freehold title to land in Indonesia directly. For investors looking to own property at Horizen, the practical route is a PT PMA — a foreign-owned limited liability company — which holds the asset on the investor's behalf under Indonesian law.
What a PT PMA is
PT PMA stands for "Perseroan Terbatas Penanaman Modal Asing," or foreign capital investment company. It is a standard corporate structure that allows non-Indonesian citizens to invest in and control Indonesian assets, including real estate, within a regulated legal framework.
Why Horizen uses it
Structuring ownership through a PT PMA gives European investors clear, compliant title to their villa, rather than relying on informal nominee arrangements. It also provides a corporate vehicle through which rental income can be collected and managed.
What this means for owners
Each Horizen villa purchase is structured to keep the PT PMA process straightforward for the investor, with the legal and administrative steps handled as part of the acquisition. Owners retain control of the entity that holds their villa.
This article is a general overview and not legal or tax advice. Speak with the Horizen team for guidance specific to your situation.