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Alam Sutera Realty, a property developer, tripled its capital expenditure to Rp 3 trillion ($333 million) in 2012, tapping into the potential continuation of the property market boom next year.

Tri Ramadi, president director of Alam Sutera, said on Friday that he is planning to spend Rp 1 trillion to increase its land assets, Rp 800 billion for a project in Serpong and Rp 200 billion “for a few other projects in Bali.” No details of how the other Rp 1 trillion would be used were released.

The company had set spending this year at Rp 1 trillion.

To finance its capital expenditure, Tri said the company will use a combination of its own equity and debt, whether from bank loans or bond markets. He said Alam Sutera will continue with its plan for a rights issue, aiming for Rp 750 billion in the first quarter next year.

In November, the company announced in a prospectus that it was planning to issue 1.78 billion new shares, which makes up 10 percent of its total capital.

However, Tri said that he is waiting for the right time to go ahead with the plan, considering that global market conditions are far from stable. Aside from the rights issue, the company is also considering bond sales to help finance its expansion.

“I have the option to issue rupiah-denominated bonds or dollar-denominated bonds. However, there is a lot to consider, including the dollar’s fluctuation, and especially after Fitch Ratings gave Indonesia an investment grade,” Tri said.

After the rating agency raised Indonesia to investment grade on Thursday, foreign funds will start to flood the Indonesian market, giving the rupiah a huge boost against the dollar — a factor that might not be favorable for issuing dollar-denominated bonds, he said. Tri expects to raise money from the bond market early next year but did not offer any additional detail.

“A number of local banks have said that they are committed to help us raise funds, and an international underwriter will help with the bond,” he said. “We want long-term funding.”

Tri is very upbeat about the future prospects on the Indonesian property market after the investment grade and the passing of a land acquisition law on Friday.

“The investment grade will not only bring in funds, but more foreign direct investment, too. A lot of manufacturing will move into the country, creating jobs, income and helping the people’s purchasing power,” Tri said.

“For the revenue and profit target, I hope to maintain what Alam Sutera managed to achieve in the past few years.”

In the first nine months of the year, the company’s net income rose 79 percent to Rp 414.28 billion from the same period in 2010. Revenue in the January-September period was Rp 1.02 trillion, up from Rp 596.90 billion a year earlier.