The thesis
This is the cleanest “set-and-forget” unit in the current shortlist. The operator does everything; you receive net-of-fees distributions. The cost of that simplicity is a 20%-of-income management fee plus 10% operational costs – meaning you are effectively owning a yield product structured as a REIT unit with a physical asset backing it.
Positioning
Right-sized for a first Bali allocation. Batu Bolong is Canggu’s most liquid sub-market and resale is materially easier than in peripheral Canggu corridors. Expect to exit within 60–90 days when the time comes.
Legal structure notes
25+25 lease with renewal is standard for Canggu apartment product. Confirm the renewal fee schedule and whether renewal is automatic or discretionary on the master landowner’s side. The latter is the risk to watch.
Yield modelling
Developer describes this as “absolutely problem-free ownership” – a phrase that should be interpreted as cash-flow stability, not legal or exit stability. Expect 7–9% net yield after the 20%+10% operator deductions at stabilised occupancy.
What is included
- Rooftop bar with outdoor cinema
- Full-service management handled by operator
- 10-minute walk to Batu Bolong beach
Risk factors
- Operator lock-in – you do not manage the unit; the operator does
- Renewal-fee schedule determines true cost of 50-year ownership
- Canggu Batu Bolong supply absorption is tightening – watch ADR through 2026
- Small unit footprint reduces flexibility if operator exits