Pattaya is one of several cities in Thailand which gets a double economic boost from the strong combination of two industries—tourism and real estate. With the influx of retirees from different parts of the world most especially Europe and North America, the value of the real estate in Pattaya has steadily been increasing.
A foreigner who wants to acquire property in Pattaya has many excellent real estate development projects to choose from such as bungalows, villas, apartments and condo units. Generally speaking, foreigners have no legal rights to land ownership however there are several alternative routes they can pursue to make it possible. One of the ways is by leasing a plot of land from a Thai person or company for 30 years which is the maximum lease period permitted by law; another is by constructing a house or a building on a piece of land owned by a Thai girlfriend, spouse or close friend. Foreigners are granted the privilege to own structures and have these registered in their names therefore they can have a house or a building constructed and be its legal owner but not the land on which it stands. The third option is by purchasing the shares of a company that already owns the land. speak to a property lawyer before signing any documents!
In order to have ownership of a given piece of land, the majority of the shares of the limited company must belong to Thais or Thai companies. The last alternative is to establish a Thai limited company. A company set up for the purpose of being able to acquire land is one with separate classes of share and unequal voting rights among its shareholders. The law allows a foreigner to own the majority of voting rights in a Thai company provided he does not hold the majority of the equity shares. Thus even if a foreigner owns only 49% of the shares, he actually has the shares that give him control over the company which he will then use to acquire land. Real estate ownership can be facilitated by a competent and knowledgeable lawyer. Siam Legal International is a well-respected law firm that provides legal services to foreigners who want to acquire land in Thailand through the establishment of a Thai limited company. Our attorneys also handle due diligence and all the important processes involved in a real estate transaction. If you need wise counsel regarding your plans about buying land in Pattaya, our lawyers are the best people to talk to.