Land Zonings in the Anambas Islands

Resort development land zonings in the Anambas Islands define what can be built, whether rezoning is possible, and how commercially viable a private island or beachfront site will be for resort or villa development.

Indonesia recognises three core zoning classifications for private islands and coastal land in Anambas. Each zoning type carries distinct permissions, constraints, timelines, and risk profiles that directly affect development strategy, capital exposure, and exit potential.

Forestry (Hutan Produksi) — Conservation-First Land

Forestry (Production Forest) zones are designated to support long-term ecological balance and regulated forest use. These areas are not intended for permanent land-use conversion and carry strict development limitations.

Typically permitted activities include:

• Regulated, sustainable logging under government supervision

• Non-destructive harvesting of forest products

• Low-impact eco-tourism such as guided nature walks or wildlife observation

• Reforestation and biodiversity enhancement initiatives

Activities generally prohibited include:

• Permanent conversion to non-forest uses

• Residential, resort, or industrial construction

• Large-scale land clearing or unsustainable logging practices

From an investment perspective, Forestry-zoned land is usually suitable only for conservation-aligned holding strategies or highly constrained eco-tourism concepts, subject to exceptional approvals. It is not appropriate for conventional resort or villa development.

Forestry (Hutan Produksi) land is not suitable for resort or villa development in Indonesia. This zoning is legally reserved for regulated forest use and conservation activities, with permanent construction prohibited under Indonesia’s forestry framework administered by the Indonesian Ministry of Environment and Forestry (KLHK).

Forestry for Conversion (Hutan Konversi) — Rezoning Potential with Constraints

Forestry for Conversion zoning allows land to be reclassified from forest to non-forest use, but only through a formal, multi-stage regulatory process. This zoning sits between strict conservation land and full development land and is often misunderstood by foreign buyers.

Conditionally permitted activities include:

• Conversion to approved non-forest uses following government consent

• Agricultural or plantation use under strict planning controls

• Staged development aligned with environmental impact approvals

Prohibited activities include:

• Immediate or unapproved land conversion

• Uncontrolled vegetation clearing

• Development that bypasses environmental or spatial planning regulations

For developers, Hutan Konversi land can present significant upside if rezoning is successfully completed. However, the process involves cost, time, environmental assessments, and political risk, making professional due diligence essential.

Forestry for Conversion (Hutan Konversi) land may be rezoned for development, but only through a formal government approval process governed by Indonesia’s Forest Area Conversion Framework administered by KLHK.

Development Zones (APL / Kawasan Penggunaan Lain) — Build-Ready Land

Development zones, commonly referred to as APL (Other Use Areas), are designated for non-forest purposes and represent the lowest-risk zoning category for resort and villa development.

Permitted activities typically include:

• Resort, hotel, and tourism infrastructure development

• Residential and mixed-use projects

• Commercial, agricultural, or light industrial use (subject to permits)

• Supporting infrastructure such as marinas, roads, and utilities

Prohibited activities include:

• Construction without permits or outside approved building envelopes

• Environmental damage without approved mitigation measures

• Any use that violates spatial planning or coastal setback rules

APL-zoned land is the preferred zoning for most private island and beachfront resort projects in Anambas, offering clearer approvals, faster timelines, and stronger bankability.

APL (Kawasan Penggunaan Lain) zoning is the only zoning category that directly permits resort and villa development, as defined by Indonesia’s Ministry of Agrarian Affairs and Spatial Planning (ATR/BPN).

Zoning Comparison Table

From a financing and feasibility perspective, APL zoning is considered bankable under Indonesia’s national spatial planning and land-use framework, while Forestry and Conversion land are not.

Rezoning, Pricing, and Investment Risk

Land zonings in Anambas are not always fixed. Under specific conditions, land may be rezoned through a structured APL conversion process. All zoning categories can support eco-tourism concepts in theory, but only APL zoning supports scalable, financeable resort development in practice.

Key commercial considerations include:

• Significant price differentials between Forestry, Conversion, and APL land

• Rezoning costs that can materially affect total project feasibility

• Time delays that impact holding costs and investor IRR

• Regulatory and environmental risk that must be actively managed

Sophisticated investors sometimes acquire lower-priced Forestry or Conversion land with a rezoning strategy in mind. While this can unlock value, it also introduces execution risk and should only be pursued with expert legal, environmental, and planning advice.

Rezoning land in Indonesia materially affects project timelines, costs, and investor returns and must be processed through Indonesia’s Online Single Submission (OSS) licensing system.

Strategic Guidance for Buyers and Developers

Zoning is not a technical detail—it is the foundation of every island and beach investment decision. Misinterpreting zoning classifications is one of the most common and costly errors made by foreign buyers in Indonesia.

Professional guidance, on-the-ground verification, and realistic feasibility modelling are essential before committing capital to any Anambas island or beachfront acquisition.

For a deeper, practical breakdown of zoning, rezoning pathways, and development feasibility in the region, Kepri Estates provides a comprehensive Anambas Islands guide and advisory support for qualified investors and developers exploring opportunities in this unique archipelago.

Misinterpreting land zoning is one of the most common causes of failed island and beachfront developments in Indonesia, as zoning rules are codified within Indonesia’s National Legal Documentation and Information Network (JDIH).

FAQ

What zoning is required to build a resort in the Anambas Islands?
To build a resort in the Anambas Islands, the land must be zoned as Development (APL / Kawasan Penggunaan Lain). Forestry and Forestry for Conversion land does not permit resort construction unless successfully rezoned through a formal government process, which adds time, cost, and regulatory risk.

Can Forestry or Conversion land be rezoned for resort development in Anambas?
Yes, Forestry for Conversion land can potentially be rezoned to APL through a structured, multi-stage approval process. Forestry (Production Forest) land is far more restricted and rarely suitable. Rezoning is discretionary, costly, and time-consuming, and approval is never guaranteed.

Does zoning affect the price of private islands in Anambas?
Yes. Zoning has a major impact on island pricing in Anambas. Forestry land is typically the cheapest due to development restrictions, Conversion land is mid-priced due to rezoning potential, and APL-zoned islands command the highest prices because they are development-ready and financeable.