Right of Superficies

Could this be the future of selling property to foreigners in Thailand?

We all know the problem — foreigners can’t own land. So they either buy through a company, marry a Thai, or walk away.

But what if there’s a better way?

Our team has been working on a structured property holding formula that actually gives a foreign buyer REAL security and upside — without breaking any laws.

Here’s how it works:

House Structure “Property”  is registered in the foreigner’s name outright with the Right of Superficies

(“Right of Superficies” is the legal right to own a building on land that belongs to someone else. In German its called “Erbbaurecht” in Dutch “Recht van Opstal”, French ” Droit de Superficie”)

Land is leased via Agreement for 30 years— ONE upfront payment, or Yearly Lease Fees(*)

Everything documented with a Superficies Agreement and Land Lease Agreement at the Land Department

(*) If the Property is in a Housing Estate there will be additional clauses in the agreement  covering; Annual Common Area Fees, Yearly Property Taxes, Waste Water Taxes and maybe other Fees/Taxes.

What’s Covered:

Inheritance in case of death

Right to Sell the Property via the   “Right of Superficies” within Lease Period (to Foreigners)

Right to Sell the Property & Land Lease Agreement to Thai Persons (or Thai Company), if land value covered

Unused lease years are REFUNDED in case sold to Thai Persons or Thai Company

Land appreciation is INCLUDED; transparent base price formula based on Baht/Sq. Wah — any profit above it, is YOURS

Renew Lease after X years to extend rights period

Note: As of writing of this article it is not yet clear if the “Unused Lease Years”, “Land Appreciation”, “Renew Lease” clauses will be approved by Lands Department to be within a Superficies Agreement or Land Lease Agreement. Otherwise a third private agreement has to be setup, out of Lands Department to cover this.

The Advantage:

Piece of mind knowing you own the Property, no Landlord involved, do what you want with it

No more Rent, save money from day one. As an example: a 47,000/month pool villa will save you nearly ฿5M over 9 years — money that was previously going nowhere

Our Office thinks that this model could work for a lot of properties in Thailand and actually ATTRACT serious foreign buyers and investors who are currently sitting on the fence.

Would you buy on these terms?

Agents — do you think this is sellable?

Lawyers — any holes in this structure?

Drop your thoughts by email Let’s build something better together.

Anyone with suggestions/remarks about this setup can email our team at info@thailandproperty.com all emails be will be handled in confidentiality.

Example calculations in the Cards below.