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View all search resultsMixed signals on tiny homes could undermine housing program
The housing ministry's internal tug-of-war over the "mini" homes plan could cause confusion among investors and eventually derail the President's flagship program, experts warn.
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Two women tour a model of a subsidized “mini” house with a building area of just 14 square meters on June 12, 2025, in the lobby of the Nobu Bank building at Plaza Semanggi in South Jakarta. (ANTARA FOTO/Muhammad Iqbal)
T
he Public Housing and Settlements Ministry has sent mixed signals over a plan to build subsidized houses measuring just 18 square meters for President Prabowo Subianto’s flagship “3 million homes” program.
Amid questions about the livability of such a tiny house, experts are warning the conflicting statements from the ministry could leave developers uncertain about the program’s future direction and slow down much-needed homes to reduce the backlog, potentially derailing the President’s housing road map.
A draft decree leaked early this month revealed the ministry’s plan to reduce the minimum plot size for subsidized homes from 60 square meters currently to just 25 sq m and the minimum building footprint area from 21 to 18 sq m.
Housing minister Maruarar “Ara” Sirait appeared to champion the idea and has even tapped property conglomerate Lippo Group to help bring it to fruition, with the developer already displaying a mock-up of a 14 sq m “mini” home at one of its properties in South Jakarta.
“My intention [in drafting the regulation] is good, which is to reach more beneficiaries,” Ara said in a statement on June 2.
"I don’t think it would disadvantage anyone. I’m optimistic this policy will be received well."
But the proposal has sparked internal friction at the ministry.
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