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    Home/Indonesia/East Kalimantan/Penajam Paser Utara/Sepaku/Pemaluan

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    Sepaku, Penajam Paser Utara, East Kalimantan

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    About Pemaluan

    Pemaluan – a settlement in Sepaku district, Penajam Paser Utara Regency

    Pemaluan is one of the settlements in Sepaku (Kecamatan Sepaku) administrative district, which belongs to Penajam Paser Utara Regency (Kabupaten Penajam Paser Utara) in East Kalimantan Province. Located in the eastern part of Indonesia on the island of Borneo, the area is part of the vast Kalimantan region, characterized by settlements of typically lower density and landscape dominated by wilderness. The settlement is situated at coordinates -0.9638473° north latitude and 116.5845767° east longitude. While Pemaluan itself is not among Indonesia's most well-known tourist destinations, the region's development and Indonesian infrastructure investments are gradually transforming the area's character.

    General overview

    Pemaluan belongs to Sepaku district and, as a smaller settlement, is part of Penajam Paser Utara Regency. Sepaku district has experienced significant development over the past decade, as the region's strategic location within East Kalimantan Province is particularly important for Indonesia's economy. East Kalimantan itself has a population of approximately 4.2 million (according to 2025 estimates), and the entire province is an essential part of the country's eastern economic network.

    The provincial capital, Samarinda, is the most populous city on the entire island of Borneo and serves as the engine of development for the entire region. In recent years, numerous infrastructure projects have been launched in the province, including the construction of the planned new capital, Nusantara, which is being built entirely on East Kalimantan territory. This large-scale development strongly influences the region's economic dynamics, and its indirect effects extend to Pemaluan and the surrounding area.

    Pemaluan is characteristically a smaller settlement inhabited by local communities. Such communities in Kalimantan are typically organized around agriculture, fishing, and local trade, and their distance from larger settlements often means that basic infrastructure—roads, electricity, water—is still under development. The vegetation characteristic of Indonesia's Borneo island—tropical rainforest and marshes—likewise determines the area's character and the lifestyle of its inhabitants.

    Real estate and investment

    Pemaluan's real estate market closely follows the trends in Penajam Paser Utara Regency and East Kalimantan Province as a whole. The region's real estate market is typically driven by infrastructure development and industrial projects, such as oil and gas activities. Over the past decade, growth in real estate investment interest has been observed in eastern Indonesia, including East Kalimantan, as major infrastructure projects (such as the construction of the Nusantara capital) attract domestic and international capital.

    According to Indonesia's general legislation, foreign individuals are prohibited from holding acquired property rights over land; however, long-term lease rights (up to 25-30 years) are possible, which can be arranged through Indonesian enterprises and designated Indonesian agents. Pemaluan and the immediate surrounding district are primarily of interest to local and Indonesian national investors, as property values here are still relatively lower than in more developed coastal regions.

    As infrastructure development progresses in Penajam Paser Utara Regency, property prices generally show an upward trend, making the region potentially attractive for those seeking longer-term investment opportunities. However, it is important to note that Pemaluan and Sepaku district are not yet as developed as Indonesia's coastlines or urbanized centers, so asset liquidity is more limited, and the timeframe for returns on investment may be longer.

    Safety and security

    East Kalimantan Province in general can be described as having a mixed security situation outside Indonesia's major cities (such as Samarinda). Rural and semi-urban areas in Indonesia are typically characterized by stronger community organization and self-organization, which generally results in a more positive security picture than in some major cities. Pemaluan and Sepaku district, as a smaller settlement system, are not among Indonesia's most dangerous zones.

    In rural Kalimantan communities such as Pemaluan, problems that typically occur are of a lighter nature (traffic accidents, minor property crimes), while violent crime is relatively rare. However, basic road infrastructure is still under development in many rural areas of Kalimantan, which means that the risk of traffic accidents may be higher due to weather conditions and road conditions. The presence of Indonesian authorities in such smaller settlements is generally less intensive, so maintaining public order is to a greater extent the responsibility of local communities themselves.

    Tourist attractions

    Pemaluan itself is not a classic tourist destination, and there are no verifiable public sources regarding specific tourist attractions related to the settlement. However, the settlement belongs to Sepaku district, which is increasingly becoming connected to Indonesia's eastern tourism network, particularly through infrastructure development related to the Nusantara project.

    Considering East Kalimantan region as a whole, numerous tourism potentials exist, primarily along the Mahakam River and its associated rainforest ecosystems. Such expeditions and jungle tourism, however, typically originate from major tourism infrastructure centers such as Samarinda. Pemaluan and Sepaku district are closer to these transportation routes than a settlement located in the country's interior would be, but currently it is not yet a developed tourist destination.

    From the perspective of local tourism, Pemaluan's value lies primarily in community-based tourism and ecological research—for those who wish to directly study original Indonesian rural life and Kalimantan's resources; however, this form has not yet developed into an organized industry in this settlement. Major regional cities (such as Samarinda) and more developed tourism infrastructure remain many kilometers away, so Pemaluan's discovery as a complete tourism destination is currently not yet a common practice.

    Summary

    Pemaluan is a smaller settlement in Sepaku district in Penajam Paser Utara Regency in East Kalimantan Province, in Indonesia's developing eastern region. The settlement is indirectly affected by major regional infrastructure projects, particularly the Nusantara program, which may influence real estate market and economic dynamics in the longer term. Currently, Pemaluan is not a prominent tourist or international business destination; however, it functions as a genuine example of rural Kalimantan communities in Indonesia, where infrastructure development, real estate market dynamics, and the nature of community life are central to national development processes.


    More about Sepaku

    Sepaku – Where Indonesia's New National Capital Is Being Built Sepaku is arguably the most strategically significant district in all of Indonesia at this particular moment in…

    Sepaku – Where Indonesia's New National Capital Is Being Built

    Sepaku is arguably the most strategically significant district in all of Indonesia at this particular moment in history – it is where Nusantara, Indonesia's new national capital, is being built. The decision announced by President Joko Widodo in 2019, confirmed by the Indonesian parliament in 2022 through the IKN Law, and now in active construction, represents the largest and most consequential development project in Indonesian history: the relocation of the national capital from Jakarta, which has served as the capital since independence, to an entirely new planned city in the forests of East Kalimantan. The Nusantara city masterplan covers approximately 56,180 hectares of Sepaku's territory, designed to house the government offices, presidential palace, parliament, supreme court and the entire administrative apparatus of the Indonesian state, along with eventually a million or more permanent residents. The construction of the Government Core Area (Kawasan Inti Pusat Pemerintahan) is visibly advanced as of 2024, with the Presidential Palace, ministerial offices and supporting infrastructure taking physical form in what was forest and palm oil plantation just five years ago.

    Tourism & Attractions

    IKN Nusantara itself has become a tourism destination – Indonesians from across the archipelago travel to Sepaku to witness the once-in-a-generation spectacle of a national capital being built from scratch. The IKN Authority has established a visitor centre and viewing areas where authorised visitors can observe the construction progress. The iconic designs of the new capital's landmark buildings – the Istana Negara (State Palace) with its Garuda wing design, the ministerial headquarters, the parks and ceremonial spaces – are visible in various stages of completion. The surrounding forest of Sepaku, which is outside the construction zone, retains the Bornean lowland forest ecology that made this part of Kalimantan ecologically significant. Mangrove forests along the coastal section provide birdwatching in the transitional zone between the new capital's development and the natural coastal environment.

    Real Estate Market

    The Sepaku property market is the most watched real estate market in Indonesia. Land within or adjacent to the IKN boundaries has been subject to a government land acquisition process, with compensation paid to existing landowners. Land outside the IKN boundary but within the IKN metropolitan area has experienced extraordinary price appreciation – some parcels have appreciated by 500–1000% or more from pre-announcement levels as investors, developers and speculators have competed for positions in what they believe will become the commercial and residential hinterland of Indonesia's new capital. The IKN master plan includes designated commercial and residential zones outside the government core, and these areas represent the primary investment opportunities for private sector development. Due diligence on the specific land status, zoning and acquisition history of any parcel in Sepaku is absolutely essential.

    Rental & Investment Outlook

    The IKN construction phase (ongoing until approximately 2030 for the initial government core) generates massive demand for contractor accommodation, logistics facilities, equipment storage, construction worker housing and support services. These near-term cash flow opportunities are available to investors who can move quickly and manage the operational complexity of a major construction zone. Longer-term, as the government core is completed and populated by the government workforce and their families, the demand for residential, commercial, educational and healthcare real estate in the designated development zones will be sustained over decades. The investment thesis is compelling but requires patience: IKN will be a decades-long development, and near-term returns will be construction-phase oriented while long-term returns depend on the capital's successful development as a functioning city.

    Practical Tips

    Access to IKN Nusantara construction areas requires official authorisation through the OIKN (IKN Authority) – do not attempt to enter restricted areas without this. The IKN Visitor Centre provides a legitimate and informative way to observe the development. For property investment in Sepaku, engage a qualified Indonesian property lawyer and land consultant with specific IKN expertise – the land law situation is highly complex, with government acquisition processes, zoning designations, and IKN-specific regulations that differ significantly from standard Indonesian property law. Prices for land outside the IKN boundary but marketed as "IKN adjacent" vary enormously and should be independently verified. Visit the OIKN website and the IKN law and regulations for the current official framework before committing to any investment decision.

    More about Penajam Paser Utara

    Penajam Paser Utara – Nusantara, Indonesia’s New CapitalPenajam Paser Utara (PPU) Regency lies in the southern part of East Kalimantan province, on the southern shore of Balikpapan…

    Penajam Paser Utara – Nusantara, Indonesia’s New Capital

    Penajam Paser Utara (PPU) Regency lies in the southern part of East Kalimantan province, on the southern shore of Balikpapan Bay. Its capital is Penajam. The region is the site of Indonesia’s new capital, Nusantara (IKN) – the country’s largest infrastructure project.

    Attractions and Activities

    Nusantara (IKN) construction site can be visited. Remaining Borneo rainforest with orangutans. Balikpapan Bay coastline. Nipah-Nipah mangrove forest and beach.

    Culture and Cuisine

    Paser Dayak and immigrant cultures blend. Cuisine is Borneo: ikan bakar, soto banjar, nasi kuning.

    Public Safety

    PPU is a safe region, but construction areas are restricted. Medical care: hospital in Penajam; Balikpapan (approx. 30 minutes by ferry) has advanced facilities.

    Practical Information

    From Balikpapan, approximately 30 minutes by ferry or via Balikpapan Bay bridge. The best time to visit is March to October. Accommodation: simple hotels.

    More about East Kalimantan

    East Kalimantan is Borneo's largest province, where the Derawan Islands' marine paradise, the Mahakam River's culture, and the new capital Nusantara converge. The region is…

    East Kalimantan is Borneo's largest province, where the Derawan Islands' marine paradise, the Mahakam River's culture, and the new capital Nusantara converge. The region is world-famous for diving, sea turtles, and the stingless jellyfish lake.

    Where is East Kalimantan?

    The province is located on Borneo's eastern coast, along the Celebes Sea. Balikpapan and Samarinda are the main cities, both with international airports. Indonesia's planned new capital, Nusantara, is currently under construction in the province's northern part.

    What to See?

    1. Derawan Islands – Marine Paradise

    The Derawan Islands are an archipelago with crystal-clear waters where sea turtles, manta rays, and sponges await. Kakaban Island's stingless jellyfish lake is unique: the jellyfish don't sting, and you can swim among them. Sangalaki Island is a nesting site for manta rays and sea turtles.

    2. Kutai National Park

    Kutai National Park is one of Borneo's oldest protected areas. Orangutans, Bornean elephants, and rare bird species live here. The park spans rainforests around Sangatta.

    3. Mahakam River

    Indonesia's third-longest river is the stage for Dayak and Banjar culture. River cruises offer sightings of dolphins, traditional villages, and floating markets. Tenggarong and Kutai Kartanegara are historically significant towns along the river.

    4. Nusantara – The New Capital

    Nusantara, Indonesia's planned new capital, is currently under construction in northern East Kalimantan. The implementation is in progress, and the region is becoming an increasingly important tourism and economic hub.

    5. Balikpapan and Samarinda

    Balikpapan is the oil industry center, but Kumala Beach and local gastronomy are also attractive. Samarinda is the gateway to the Mahakam River, from where river excursions depart.

    When to Visit?

    March–October is the dry season, ideal for diving at the Derawan Islands and river tours. The jellyfish lake is visitable year-round.

    How Long to Stay?

    5–7 days recommended:

    • 2–3 days: Derawan Islands, diving, jellyfish lake
    • 1–2 days: Mahakam River cruise
    • 1 day: Kutai National Park
    • 1 day: Balikpapan or Samarinda

    Renting or Investing in East Kalimantan?

    If you're considering renting or investing in property in East Kalimantan, these resources on our site can help you make informed decisions:

    • Indonesian Property FAQ – answers to the most common questions about renting and buying
    • Land Zoning Guide – understanding Indonesian land use regulations
    • Indonesian Real Estate Terminology – key terms explained
    • Property Guide – comprehensive guide to Indonesian real estate
    • Living in Indonesia – essential guide for expats
    • Balikpapan Guide – local insights and practical tips

    Official Resources

    For further information about East Kalimantan, these official sources may be helpful:

    • Indonesia Travel – official tourism portal
    • East Kalimantan Provincial Government – regional government information
    • Bank Indonesia – currency and exchange rate data
    • BMKG – weather and climate information
    • Directorate General of Immigration – visa regulations for foreign visitors

    Summary

    East Kalimantan is where marine experiences meet river culture. The Derawan Islands offer world-class diving, while the Mahakam River provides an authentic Borneo experience.

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