Analysis of Investment in Istana Ababil Babat Lamongan Housing Using the BCR Method

Abstract

This study analyzed the financial feasibility of the Istana Ababil Babat housing project using the benefit-cost ratio (BCR) method. The project data included total construction costs, land acquisition costs, housing sales revenue, and maintenance expenditures. The analysis revealed a BCR value of 1.09, indicating that for every 1 Rupiah spent on development, 1.09 Rupiah of benefits are generated. This result suggests that the project is financially viable and provides positive returns. The findings highlight the efficiency of the project in terms of cost allocation and potential profitability. The study concludes that the housing project offers a favorable economic outcome and could serve as a reference for similar future developments.