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A Land Use Agreement lets you legally occupy and use someone else's land in Indonesia for a specific purpose and time period. These agreements typically outline what activities you can do on the property, how long you can use it, and what payments or compensation you'll provide to the landowner.

Under Indonesian law, these agreements must follow local zoning rules and get proper permits from regional authorities. They're commonly used for business activities like farming, mining, or building commercial spaces, and must respect both formal property rights and traditional adat land customs. The agreement protects both parties by clearly stating their rights and responsibilities.

Use a Land Use Agreement when you need to legally access or develop land that belongs to someone else in Indonesia. This is essential for projects like building commercial facilities, starting agricultural ventures, or setting up mining operations on private or communally owned property.

The agreement becomes particularly important when dealing with traditional adat lands, government-owned properties, or areas with multiple stakeholders. Getting this document in place early helps prevent disputes, ensures compliance with local regulations, and protects your investment. Many Indonesian banks and investors also require a valid Land Use Agreement before providing project funding.

• Standard Term Lease: Basic land use agreements lasting 1-5 years, typically for commercial or agricultural purposes
• HGU Agricultural Agreements: Specialized contracts for plantation or farming activities, valid up to 35 years
• Mining Land Use Rights: Agreements specifically structured for mineral exploration and extraction activities
• Traditional Adat Agreements: Customized formats that respect local customs and community rights while enabling business use
• Infrastructure Development Rights: Long-term agreements for major construction projects, often involving government land

• Property Owners: Individuals, companies, or traditional communities who hold land rights and grant permission for others to use their property
• Business Developers: Companies seeking land for commercial projects, industrial facilities, or agricultural ventures
• Legal Teams: Corporate lawyers and local legal consultants who draft and review agreements to ensure compliance
• Government Officials: Local authorities who approve permits and verify alignment with zoning regulations
• Traditional Leaders: Adat community representatives who must approve agreements involving customary lands

• Land Details: Collect exact property boundaries, certificate numbers, and current zoning status
• Ownership Verification: Gather proof of ownership, including any adat rights or existing claims
• Usage Plans: Document specific intended activities, development plans, and timeline
• Local Permits: Research required permits and approvals from regional authorities
• Payment Terms: Define compensation structure, payment schedule, and any profit-sharing arrangements
• Environmental Impact: Assess and document required environmental protections or restrictions
• Agreement Review: Use our platform to generate a compliant draft tailored to Indonesian requirements

• Party Information: Full legal names, addresses, and authorized representatives of all parties
• Property Description: Detailed land boundaries, certificate numbers, and existing structures
• Usage Rights: Specific permitted activities, restrictions, and development plans
• Duration Terms: Agreement start date, end date, and renewal conditions
• Financial Terms: Payment amounts, schedules, and any profit-sharing arrangements
• Compliance Clauses: References to relevant Indonesian land laws and local regulations
• Termination Rights: Conditions for early termination and dispute resolution procedures
• Signature Block: Space for all parties, witnesses, and notary validation

A Land Use Agreement differs significantly from a Shared Use Agreement in several key aspects, though both deal with property rights. While a Land Use Agreement grants exclusive rights to use land for specific purposes, a Shared Use Agreement typically involves multiple parties sharing access to a property or facility simultaneously.

• Scope of Rights: Land Use Agreements cover comprehensive land development and usage rights, while Shared Use focuses on coordinated access to existing facilities
• Duration: Land Use typically involves longer terms (years) with development plans, while Shared Use often covers shorter periods or ongoing shared access
• Legal Requirements: Land Use needs local government permits and often adat approval, while Shared Use mainly requires agreement between private parties
• Payment Structure: Land Use involves substantial lease payments or profit-sharing, while Shared Use typically uses cost-sharing or usage-based fees