Just months after Balinese authorities issued closure notices, the PARQ Ubud site has been repossessed and is set to be transformed into a tourism accommodation complex.
The PARQ Ubud complex was formally closed in January 2025, and the founder and director of PARQ was arrested in connection with the illegal transfer of land functions.
The site developed by PARQ and operated as PARQ Ubud has been acquired by International investor and long-term Bali-based entrepreneur Sergey Solonin.
The site is set to be converted into tourism accommodation, a shift away from the residential and lifestyle complex that the property had originally been developed as.
Solonin is the founder of Nuanu Creative City in Tabanan Regency and is the Chief Executive Officer, of Qiwi Group.
The World Economic Forum describes Qiwi Group as “the leading provider of next-generation payment services in Russia and the CIS with turnover exceeding $10 billion.” Reports state that the acquisition of the PARQ Ubud site has been completed in full compliance with all relevant Indonesian legal regulations and with the full support of government authorities.
In a statement, Solonin shared, “Bali’s growth must go hand in hand with preserving its cultural identity. We are committed to aligning our efforts with the government’s vision to ensure responsible development, benefiting both investors and local communities. This acquisition is the first step to show how this can be achieved.”
He added “One of our top priorities is to restore community trust and ensure that employment opportunities, especially for local workers, are not only maintained, but expanded. This is a place that belongs to the local community, and that is how it should be; beneficial to local residents.”
One of the goals of this new chapter for the property is to demonstrate that responsible and inclusive international investment can be implemented in Bali. The vision is reported to vision that emphasizes “cultural inclusivity, environmental sensitivity, legal transparency, and collaboration between communities.”
Solonin told reporters “We want this place to be a real example that investment in Bali can be done responsibly and inclusively, providing sustainable benefits for all stakeholders.”
More details of the plans and vision for the site will be released in due course as discussions remain underway.
PARQ Ubud often referred to colloquially as ‘the Russian Village’ was issued with closure notices in November 2024 after an investigation found that the property had violated a series of spatial planning and construction laws, as well as the unlawful conversion of land use.
Speaking at the time of the closure notice issuance the Regional Secretary of Gianyar, Dewa Alit Mudiarta, told reporters “This closure is temporary, until they can complete the basic licensing requirements, when our team visited them they did not have basic permits such as PBG (Building Construction Approval) and SLF (Certificate of Functional Suitability).”
Unable to meet the requests of authorities, the property was raided on the 20th of January 2025.
During the subsequent press conference Bali Police Chief, Daniel Adityajaya, confirmed that his teams had arrested Andre Frey, aged 53, the founder and director of PARQ Ubud who was found to own 34 certificates of ownership (SHM) for the plots of land that make up the PARQ Ubud site.
As stipulated in Indonesian law the the majority of the site was formally registered as Zone 1 Protected Rice Field Land (LSD) and Sustainable Food Agriculture Land (LP2B), and Zone 3, which is designated as plantation land, and a tourism zone.
In essence that meant that the property was built on land where it is not permissible to construct commercial properties without sufficient permits, licenses environmental impact assessments, and strict building controls.
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