OWNING A CONDOMINIUM IN THAILAND

In general, Thai law prohibits foreigners from owning land in Thailand. However, it is possible for a foreigner to own units in buildings registered as a “Condominium”. A condominium (or condo) is the form of housing tenure and other real property where a specified part of a piece of real estate (usually of an apartment house) is individually owned while use of and access to its common facilities is executed under legal rights associated with the individual ownership and controlled by an association of owners that jointly represent ownership of the whole piece. This association is what in Thailand is commonly referred to as a Juristic Person or Juristic Body.

Thai law allows qualified foreigners to own individual condominium units provided that the total area of foreign-owned (freehold) units within the condominium project does not exceed 49% of the total area of all units within the property.

The following foreigners qualify for condominium unit ownership:

• Individuals having permanent residence status in Thailand
• Individuals who have been permitted to enter Thailand under Board of Investment (BOI) privileges
• Juristic entities registered in Thailand but being classified as 'foreign' under the Land Act
• Juristic entities, which have been granted investment privileges by the BOI
• Individuals or juristic entities, which have brought foreign currency into Thailand for the purpose of purchasing the condominium unit (BOI)

Alternative Ownership Forms

Despite prohibitions on foreign ownership of land and condominiums in Thailand, steps may be taken to minimize the impact of the prohibitions. These include, for example:

• Forming joint venture companies with majority Thai ownership but adequate safeguards for the foreign minority interest.
• Long term leases (30 years) with rights to renewal.

For those who wish to acquire property in Thailand, Hvidsten Group recommends following the Thai Property Guide as published by the Thai-Swedish Chamber of Commerce.

THAILAND BOARD OF INVESTMENT (Head Office)
555 Vibhavadi-Rangsit Rd.,Chatuchak, Bangkok 10900, Thailand
Telephone: (+66) 2553 8111, Fax: (+66) 2553 8222
ww.boi.go.th