General information, not legal advice. This guide sets out the general rules as I understand them. It has not yet been reviewed by an Indonesian notary, and the rules change. Before you sign or pay anything, confirm every point with your own independent notary (PPAT) or lawyer.
What it costs to build
Builders in Lombok price villas per square metre of built area. In 2026, published estimates fall roughly into these ranges:
| Finish level | Typical build cost | What you get |
|---|---|---|
| Standard to mid-range | about US$500–800 per m² | A solid villa with local materials and good-quality fittings |
| Luxury | about US$1,000–1,500+ per m² | Resort-quality design, finishes and engineering |
Ranges are from published 2026 estimates by Lombok builders and market reports. They vary a lot, so use them to sense-check quotes, not as a budget.
Simple builds cost about the same as in Bali. High-end finishes can cost more in Lombok, because specialist materials and skilled trades often come over from Bali or Java.
Costs on top of the build
- Design: architect and structural engineer fees, and drawings detailed enough for the permit
- Permits: zoning confirmation, the building approval (PBG), the certificate of fitness for use (SLF), and the consultant who prepares them
- Site work: clearing, levelling, retaining walls on slopes, and the access road
- Utilities: the electricity connection or solar, a well or water supply, and septic and drainage
- Pool and landscaping: often priced separately from the villa
- Furniture and equipment: furnishing a rental villa to guest standard is a real cost
- Supervision: an independent project manager or quantity surveyor if you're not on site
- Contingency: keep 10–15% in reserve. Costs almost always rise during a build.
Before you build: the land
Everything starts with the land, and with how you'll hold it. A foreigner can't hold freehold title or apply for a building permit in their own name. You'll usually build on a long lease, on Hak Pakai (right of use) land, or through an Indonesian company (PT PMA). Read can foreigners buy property in Lombok? first.
- The zoning in the regional spatial plan allows what you want to build, especially if you plan to rent to guests
- On leased land, the lease explicitly allows you to build, says whose name the permits will be in, and says what happens to the building at the end of the term
- There is legal road access, and the road is usable in the wet season
- You know the slope, the soil and the setbacks from the coast or a river
- Water and electricity can be connected, and you know roughly what that costs
Permits
Indonesia replaced the old building permit (IMB) with a system run through national online portals. For a villa, the sequence is usually:
- Zoning confirmation (KKPR): confirms that the planned use matches the spatial plan
- Environmental documents if the project needs them, which is more likely for larger or multi-unit projects
- Building approval (PBG): approves the design before you build. It is applied for by the land-rights holder or a company, not by a foreign individual.
- Certificate of fitness for use (SLF): issued after an inspection once the villa is finished, confirming that it matches the approved drawings
- Tourism business licence if you plan to rent the villa to guests
For a simple villa, the building approval often takes one to three months, though estimates vary widely. Ask your consultant for a timeline in writing, and don't start building before it's issued. Villas built without permits can struggle to get rental licences or to sell later.
How long it takes
Allow about a year to 18 months from buying the land to handover for a typical villa:
- Design and drawings: 1–3 months
- Permits: 1–3 months, often overlapping with the final design
- Construction: about 8–14 months, depending on size, finish and the builder
The wet season, roughly November to March, slows earthworks and concrete. Materials that come from Bali or Java can add delays.
Earthquakes
Lombok sits in an active seismic zone, and the 2018 earthquakes caused heavy damage across the north of the island. Make sure a structural engineer designs the structure for local seismic loads, and that the builder follows the drawings: reinforced concrete frames, proper footings and tied-in walls. Don't cut corners here to save money.
Choosing a builder
- Visit villas they've finished, ideally a couple of years old, and talk to those owners
- Get a detailed quote with a full materials specification, not just a price per m²
- Sign a contract with a fixed price, a schedule, and penalties for delay
- Pay in stages tied to finished work, never far ahead of progress, with a final payment held back until defects are fixed
- Check that the builder holds the right business licences and pays its workers' insurance
- Agree a written warranty for the structure, the roof and waterproofing
Building from overseas
Most of my buyers live abroad. If that's you, budget for an independent project manager who visits the site every week and sends photos and progress reports. Pay against their sign-off, not the builder's invoice alone. Most problems in Indonesian builds come from nobody watching.
Build or buy finished?
Building costs less per square metre and gets you exactly what you want. A finished or off-plan villa saves you about a year of managing a project from a distance, and the permits and the build are the developer's job. Read buying off-plan safely to compare the risks.
If you're looking for a plot, see the land at Tampah Hills. If you'd rather not build, see Tampah Sky.
Costs and permit rules change. Get current quotes from local builders and confirm the permit process with a local consultant or notary.