Sensitivity Analysis Of The Financial Feasibility In The Manchester Cluster Development, Royal Sentraland Real Estate, Makassar

Saragih, Godiva Marvella Narwastu (2025) Sensitivity Analysis Of The Financial Feasibility In The Manchester Cluster Development, Royal Sentraland Real Estate, Makassar. Other thesis, Institut Teknologi Sepuluh Nopember.

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Abstract

In recent decades, Indonesia's property market has seen significant expansion. In 2022, the real estate sector accounted for approximately 2.5 percent of the nation's GDP, surpassing contributions from the food service and business sectors. The market for real estate in Indonesia is projected to be valued at USD 64.78 billion in 2024, with forecasts indicating it could rise to USD 85.97 billion by 2029, reflecting a compound annual growth rate of 5.82%. The reality persists that in Indonesia's infrastructure development, economic losses are still prevalent due to underutilization. This study focuses on the financial feasibility of the Manchester Cluster Development within the Royal Sentraland Real Estate project in Makassar. By applying sensitivity analysis to critical financial indicators such as Net Present Value (NPV) and Internal Rate of Return (IRR), the research identifies key variables like construction costs, selling prices, and discount rates that significantly affect the project's profitability. The methodology involves a detailed process of data collection, focusing on both primary and secondary sources, followed by financial analysis using various feasibility parameters. The sensitivity analysis performed reveals that variations highly influence the financial viability of the Manchester Cluster in key factors such as costs and market conditions. The findings show a strong dependency of NPV and IRR on these fluctuations, making it clear that effective risk management strategies must be implemented to ensure profitability. In this final project, the most crucial aspect for the sensitivity analysis is revenue with the maximum allowable 4,79 % of the initial revenue of each year.

Item Type:	Thesis (Other)
Uncontrolled Keywords:	Sensitivity Analysis, NPV, IRR, Investment, Real Estate, Risk Mitigation, Royal Sentraland, Makassar.
Subjects:	H Social Sciences > HD Industries. Land use. Labor H Social Sciences > HJ Public Finance T Technology > TA Engineering (General). Civil engineering (General)
Divisions:	Faculty of Civil, Planning, and Geo Engineering (CIVPLAN) > Civil Engineering > 22201-(S1) Undergraduate Thesis
Depositing User:	Godiva Marvella Narwastu Saragih
Date Deposited:	26 Jan 2025 02:27
Last Modified:	26 Jan 2025 02:27
URI:	http://repository.its.ac.id/id/eprint/116866

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