IKN civil servant housing sits at the heart of Indonesia’s bold capital relocation plan. Starting in 2026, the government will begin a phased mass migration of civil servants to Nusantara. Housing is the first building block. Without stable homes, families cannot move, work, or settle.
The government plans 47 residential towers with 2,280 apartment units, each measuring 98 square meters. These units are designed for civil servants and security personnel. Two additional housing projects worth Rp5.5 trillion are already in auction to expand capacity. By mid-2025, housing and offices can support up to 15,000 civil servants, signaling readiness for the next wave.
The Scale of the Great Civil Servant Migration
The Great Civil Servant Migration will not happen overnight. Presidential Regulation No. 79/2025 outlines a gradual move. Between 1,700 and 4,100 civil servants are scheduled to relocate in 2026. The full transition is targeted for completion by 2028.
This shift is already underway. By mid-2025, more than 1,200 civil servants had settled in Nusantara. Among them, 1,170 staff from the IKN Authority (OIKN) live in dedicated housing towers. The current capacity of 15,000 places pressure on ministries to move faster and begin full operational transfers.
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IKN Civil Servant Housing Drives Family Demand
IKN civil servant housing is not just about buildings. It is about families. Many civil servants will move with spouses and children. This creates immediate demand for services beyond government offices.
Education stands out first. Nusantara offers integrated public schools from primary to secondary levels. However, full private education options are still limited. As thousands of families arrive, demand for private schools, labs, activity rooms, and specialized learning spaces will rise quickly.
Retail demand will also surge. Indonesia’s retail market is projected to reach USD 56.87 billion in 2025, growing at a 5.6% CAGR. New urban hubs like IKN naturally attract supermarkets, dining, daily services, and lifestyle retail. Families settling into a new city rely heavily on nearby commercial options.
Tax Incentives Accelerate Private Amenities
The government knows these gaps exist. That is why it is offering strong incentives to private businesses willing to act early.
Under current regulations, companies contributing to IKN amenities such as gyms, cinemas, and clinics can receive up to 200% super tax deductions. Investors committing Rp10 billion or more in priority sectors may also qualify for 100% income tax holidays for up to 30 years.
Presidential Regulation No. 75/2024 further simplifies licensing for commercial and service businesses. This lowers entry barriers and speeds up development timelines.
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IKN Civil Servant Housing: A Strategic Moment for Market Entrants
With housing ready, families arriving, and incentives in place, Nusantara is entering a decisive phase. The civil servant housing project in IKN is unlocking demand for private education, retail, and everyday services faster than traditional city growth cycles.
For investors and operators seeking clarity in this transition, IKN civil servant housing data provides the clearest signal of where demand will appear first. To explore tailored market research and strategic guidance, contact Market Research Indonesia by Eurogroup Consulting. With 40 years of distinguished experience, Eurogroup Consulting excels in delivering strategic consulting services with a strong focus on market research in Indonesia and the wider region, helping clients succeed in rapidly evolving market landscapes.
