The Analysis of "Highest & Best Use" Government Land of Deli Serdang District

A. P. Sipayung, N. Matondang, H. T. Fachrudin

2018

Abstract

Government assets were very much in the public spotlight today due to the lack of optimal asset utilization, which was in accordance with Constitution of Indonesia 2004 No. 32 regarding to the Regional Government, where the Regional Governments are granted autonomy to regulate and manage government affairs and when necessary, to optimize the sources of Regional Original Income (PAD), particularly the revenues from government asset management sector. One of the vacant land owned by Deli Serdang regency of 22,802 M² located on Jalan Raya Medan - Lubuk Pakam KM 21.5 Tanjung Morawa needed to be optimized to increase the PAD of Deli Serdang Regency. The Highest and Best Use (HBU) analysis method was used to further identify the most optimal and beneficial use of the property for such vacant land. The results obtained in this research was the Product Promotion Center by generating Net Present Value of Rp. Rp38.142.832.106, - (thirty eight billion one hundred forty two million eight hundred thirty two thousand one hundred six Rupiah), Internal Rate of Return of 27.92%, Payback Period of 5 years 7 months and Benefit Cost Ratio of 7.67 and maximum productivity that provided an increase in the value of land from Rp. 1,003,000, - / M² up to Rp. Rp1,186,591, - / M² or Productivity increased 118%.

Paper Citation

in Harvard Style

Sipayung A., Matondang N. and Fachrudin H. (2018). The Analysis of "Highest & Best Use" Government Land of Deli Serdang District. In Proceedings of the International Conference on Natural Resources and Sustainable Development - Volume 1: ICNRSD, ISBN 978-989-758-543-2, pages 32-37. DOI: 10.5220/0009897100002480

in Bibtex Style

@conference{icnrsd18,
author={A. P. Sipayung and N. Matondang and H. T. Fachrudin},
title={The Analysis of "Highest & Best Use" Government Land of Deli Serdang District},
booktitle={Proceedings of the International Conference on Natural Resources and Sustainable Development - Volume 1: ICNRSD,},
year={2018},
pages={32-37},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0009897100002480},
isbn={978-989-758-543-2},
}

in EndNote Style

TY - CONF

JO - Proceedings of the International Conference on Natural Resources and Sustainable Development - Volume 1: ICNRSD,
TI - The Analysis of "Highest & Best Use" Government Land of Deli Serdang District
SN - 978-989-758-543-2
AU - Sipayung A.
AU - Matondang N.
AU - Fachrudin H.
PY - 2018
SP - 32
EP - 37
DO - 10.5220/0009897100002480