Utilization of Communal Land (Ulayat) for Property Businesses with a Build-Up System through a Notary in Padang City

Abstract

Padang is a city in Indonesia in which the presence of Ulayat (Communal Land) is still existed in the middle of its community. However, the recent world’s economy development, especially in the field of property business, reveals a very significant improvement, so that it demans land availability. The present research uses normative judicial research method. The result of discussion from the problem studied in this research showing that the implementation of profit sharing agreement for housing reveals that after profit sharing agreement, ganggam bauntuak (a term for utilization distribution of communal land) that makes the essence and the existence of ulayat (communal land) becomes more forgotten. The implementation of profit sharing agreement for shophouse shows that after profit sharing agreement, it is more tendencious to be maintained and preserved. Then, to provide certainty guarantee in terms of cooperation between both parties, it uses an agreement before a Notary as the party that plays in making authentic deed which is highly essential, because it can provide legal inputs and advices for the parties involved for the sake of keeping the parties’ interests.  In Padang, the technical process of land registration is conducted by fulfilling terms and conditions that have been set in Circular Letter of Regional Head of National Land Agency of West Sumatera Province Number 500/ 88/ BPN-2007 Dated 8 February 2007. However, the implementation of right over land registration, both the first time registration or conversion and the data maintenance done in form of transferring, merging, and splitting,  it does not have significant difference when related to profit sharing cooperation system based on concept; everything is processed based on standard provision.