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Jakarta Post

Vendors fear gentrification at Pasar Santa

Edged out: Vendors on the ground floor of Pasar Santa in South Jakarta are worried about rising rents after hipsters opened a host of trendy shops on the traditional market’s first floor

Indra Budiari and Dewanti A. Wardhani (The Jakarta Post)
Jakarta
Sun, February 22, 2015

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Vendors fear gentrification at Pasar Santa

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span class="inline inline-center">Edged out: Vendors on the ground floor of Pasar Santa in South Jakarta are worried about rising rents after hipsters opened a host of trendy shops on the traditional market'€™s first floor. JP/DON

As the popularity of Pasar Santa traditional market in South Jakarta mushrooms, years-established traditional vendors are concerned over rumors that rental fees are to increase.

Joni, a tailor who runs a shop on the ground floor, said he did not benefit from the throng of young visitors attracted to the trendy shops on the first floor.

'€œTheir customers are different from ours and their customers always go straight to the first floor,'€ he told The Jakarta Post on Saturday.

Established 44 years ago, Pasar Santa is increasingly appealing to middle-class youngsters, with a range of vintage and casual clothes shops on the first floor, where customers can also find vinyl record stores and food stall offering everything from tacos to Korean barbecue.

The first floor had been quiet until stylish and on-point young entrepreneurs started to open their businesses in August 2014, attracted by inexpensive rental fees of Rp 3 million (US$233) per year.

Joni, who is charged Rp 450,000 (US$35) a month for his kiosk, said vendors had been disquieted by persistent rumors of an impending hike in rental fees, which he said he would find difficult to meet.

'€œUnlike the youth up there who open their stores at the weekend or in their leisure time, my tailor shop is my livelihood. It'€™s not fair if their popularity increases our rental fees,'€ he argued.

Sudino, a bakso (meatball soup) seller in the market'€™s basement, said did not know if his business in the market could survive if his kiosk owner raised the rental fee, which currently stands at Rp 6 million a year.

The head of Pasar Santa'€™s management group, Bambang Sugiarto from city-owned market operator PD Pasar Jaya, said the company only managed the day-to-day operation of the market, including the electricity and water utilities.

He said the kiosks in the market, which was renovated by developer PT Interwahana Nuansa in 2007, currently belonged to the developer and individuals.

He said the prices of the kiosks ranged from Rp 100 million to Rp 200 million.

Pasar Jaya president director Djangga Lubis confirmed Bambang'€™s statement, saying that every kiosk at the Santa market had been rented to individuals under 20-year leases.

He played down the rental fee increase, arguing that it was normal to do so.

'€œThe price hike is to be expected. This market has become more popular, the price will be determined by supply and demand,'€ Djangga said

He added that Pasar Jaya would protect the traditional market by applying a strict floor-division policy by vendor type. The basement, he said, was dedicated to traditional food, fish and vegetables vendors, while the ground floor was dedicated to grocery stores and service businesses.

Youth communities, meanwhile, were only allowed to open kiosks on the first floor, he said.

'€œI hope that with this regulation, the popularity of the first floor will not affect the other floors'€™ rental fees.'€

Meanwhile, Governor Basuki '€œAhok'€ Tjahaja Purnama said the city administration and PD Pasar Jaya would look into a system that would prevent existing vendors from directly selling or renting their kiosks to newcomers.

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