Why Bali’s Culinary Heritage Inspires Unique Home Ventures in Ubud
For the average Bali buyer or investor their search for a piece of paradise will inevitably fall into one of two categories - they will be looking at land for a beachside villa or trying to get in on the ground floor of a new luxury development. What is less well understood is that within the relatively affluent pockets of Balinese society there is an emerging and increasingly articulate interest in living in Ubud in a more authentic way, which has nothing to do with chasing yields or land prices and everything to do with celebrating culture and authentic living. A fantastic example of this emerging trend was highlighted by one of our chefs preparing a culinary master piece at a gala dinner to raise money for a very worthy charity. The chef, Gusti Nyoman Darta is a Ubud based multi faceted local Balinese artist, chef and holistic healer who has spent most of his life learning the art of Balinese cuisine that has been passed down from the royal courts of Ubud. What is remarkable is that he is not a professional in the normal sense of the word and that his involvement with the traditional cuisine of Ubud is largely through hereditary and cultural tradition which brings to the fore the growing interest and relevance of Ubud's rich royal cultural heritage to the residential real estate sector.
"What’s new?"
Gusti Nyoman Darta is no just a mythical figure in Balinese culture. He is actually a grandson of the famous painter I Gusti Nyoman Lempad, and he was brought up in the grounds of Puri Ubud, the old palace. He specialises in traditional cooking using only his memory and senses, which tells him what ingredient combinations work best; he also practices herbalism and as an artist, all in his current home which is located in central Ubud.
Inspired by this unique cultural collision, there is now a niche market evolving, where foreign buyers and real estate investors can afford to immerse themselves in a truly culturally rich local lifestyle. From families who relocate here with their children and need more than just a villa and a supermarket for a decent family life to digital nomads who wish to have a deeper connection to their new 'home' than just renting another air B and B or shared office space. Ubud can offer families a true Balinese experience incorporating the island's rich spiritual culture and deep community roots.
Why this matters for property buyers?
Properties in Ubud generally fall across a broad spectrum, but currently the modest two-bedroom estate villas within close proximity to the Campuhan Ridge Walk, where Darta intends to open his home restaurant, are changing hands for around IDR 3 billion (approximately USD 200,000). More elaborate estate villas can command sums upwards of IDR 10 billion (approximately USD 650,000).
Investment types:
- For those with a budget of USD 200k, it’s entirely possible to find simple leasehold (hak sewa) villas that can serve as a vacation project or even as a new career or lifestyle.
- Luxury Overseas Land For Sale - Asia - Island Property - Freehold Estates on Tropical Islands Afford Land or Buildings suitable for 5 star Boutique Hotels & Resorts - USD 500k+ - USD 500k+ buyers could secure freehold (hak milik) estates offering privacy and potential for boutique hospitality businesses.
Whispers in the walls aren’t the only things you need to worry about when buying a house from the custodians of the land. While it’s true that buildings occupied by Aboriginal people for thousands of years may harbour many secrets, the real test will come when you try to rent it out or sell it on or even stay there yourself. A small number of clients are keen to buy from Aboriginal communities believing it authentic and therefore will pay a premium rent or purchase price. So the house may well be tenable on a long term lease or have strong demand as a holiday rental.
Local terminology
The word “freehold” is rendered as “hak milik” by locals, which refers to absolute ownership of the land and premises. This is the preferred option for most investors, although availability is more limited and a high degree of care is recommended when purchasing freehold titles in Bali. “Leasehold” is rendered locally as “hak sewa” which represents a rental agreement of up to 25 to 30 years, which can on occasion be extended. Leasehold titles are generally quicker to obtain and require less hassle, but renters must always be aware that their agreement will require renewal prior to expiry.
Risks and considerations:
Bali: Cultural-Lifestyle Properties still have their challenges In recent years we continue to see strong interest for cultural-lifestyle properties in Bali, but it still comes with its drawbacks: Infrastructure in areas like Ubud and other inland locations is far from matching the quality of what the coastal regions have to offer. The seasonality of tourism is a factor to consider. In order to maximise the use and income of the property, reliable and honest property management is needed in order to avoid compromise on authenticity and quality. Our due diligence on land purchased for redevelopment includes confirming that all relevant IMB/PBG have been issued. We also ensure that any proposed business venture receives the required approvals and has the relevant banjar (village community) support.
Micro-location insights:
For those looking to buy property who prioritise culture, family living and community, Ubud is a great choice. It’s not the place to come if you’re looking for a night out as it’s much more about a relaxing holistic lifestyle focused on the arts, wellbeing and connecting with Bali culture. Beach loving party people are generally headed to Canggu or Seminyak.
Practical takeaways for buyers & investors:
- Lease renewal costs in a near Ubud cultural area can be quite high and you should factor these into your decision to lease land in this area, in case you later find yourself with a large hole in your finances.
- Explore the many properties that are close to the Campuhan Ridge Walk, making them perfect for lifestyle use and also ideal for conversion into boutique guesthouses.
- Get to know, and engage with, local cultural custodians and community leaders early on in your purchasing or business plan to create a positive relationship and to get their “seal of approval” for your venture.
- For families or retirees looking for a quiet more cultural less hectic pace of life, Ubud offers long term value through quality schools and wellness.
Final takeaway:
If Bali’s beaches represent the heart beat of the island, then Ubud is its soul. A purchase in Bali here will be more than just a structure, rather than being immersed in a historical place of timeless values, from which the buyer can derive not only benefit, but also an enriching way of life and access to highly specialized and lucrative niche markets, all far beyond the conventional scope of a typical real estate transaction. As Bali undergoes its transition, buyers who appreciate the importance of combining culture and community with their real estate investment, will not only derive satisfaction to their heart, but to their bank account as well.
