Indonesian Government sold Mandalika to the Dubai Development Corporation for US$ 240 million in 2007. However, due to the global financial crisis in 2008 and funding dwindled, the Emirates had no choice but to sell Mandalika back to the Indonesian government for half of the buying price. Then-Indonesian President Susilo Bambang Yudhoyono officiated at the groundbreaking ceremony of the Mandalika resort development project on 21 October 2011. Six Memorandums of Understanding on the development of the site were signed in conjunction with the groundbreaking ceremony. The proposal to grant special economic zone status to Mandalika resort area was based upon Law No. 30/2011 of the regulations covering Special Economic Zones and included in Government Regulation Number 2/2011. Government of Qatar signed a memorandum of understanding in 2018 to invest $500 million in the area.
Development
The Mandalika Resort Development Project is planned to be undertaken in an area of about 1,200 hectares site in Kuta, Pujut subdistrict and has a projected value of US$3 billion, which include approx 7.5 kilometers of white-sand beaches. Plans have been detailed for hotel, villa and a high end resort projects. A Formula One circuit, a plenary room for concert events, a seaport for excursions and other ships, and an integrated Disneyland styled theme park, an underwater park, golf course, mangrove park, eco park, and a technical park have also been proposed. Mandalika resort area is managed by Bali Tourism Development Corporation, which has 5 beaches in southern part of Lombok, namely Kuta Beach, Serenting Beach, Aan Cape, Keliuw Beach and Gerupuk Beach. The area is 1,179 hectares will be divided in 3 zones:
luxury residentials in the west part
hotels, villas and public utilities in the central part
exclusive hotels and villas in the east part
Mandalika resort area is expected to have 2,000 hotel rooms and attract up to 2 million foreign tourists annually by 2019. Hotels under construction in the resort area are,
Pullman Hotel- 270 rooms, and its construction had begun in October 2017.
Royal Tulip Hotel- 198 rooms, was conducted on 26 March 2018.
X2 Hotel- 240 rooms,
Club Med Hotel- 350 rooms,
Grand Mercure Hotel- 342 rooms,
Aloft by Marriot Hotel, 173 rooms.
Paramount Lombok Resort and Residences is being constructed on a plot of land measuring 7.65 hectares. The hotel with 1500 rooms would be operated by hospitality firm Paramount Hotels and Resorts, which is expected to be completed in 2020.
Vinci Grand Projects, a subsidiary of France-based Vinci Group, is also interested in building the Mandalika Street Circuit, a venue for the world-class MotoGP race. The sports cluster and entertainment project, measuring 120 hectares, will include the construction of seven hotels, convention center, hospital, and other facilities for accommodation of international standard.As part of the conservation maintenance, the lush green hills that provide the stunning backdrop to the Mandalika Resort area will be set aside as a conservation area of over 3000 hectares. This area is home to many native species and will only be available for low impact activities such as cycling or hiking in order to minimize damage to the endemic flora and fauna. On 23 February 2019, it was announced that the yet-to-be-built circuit will host the returning Indonesian motorcycle Grand Prix in 2021. The track will have 4.32 kilometres length with 19 bends.
