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No. Under Thai law, foreigners cannot own land directly. However, foreigners can lease land for up to 30 years with an option to renew. A registered long-term lease at the Land Department is the most secure legal mechanism for foreigners to use and control land in Thailand.

Under Section 538 of the Thai Civil and Commercial Code, any lease exceeding 3 years must be registered at the local Land Department to be enforceable. An unregistered long-term lease is only enforceable for the first 3 years. Registration protects the lessee's rights even if the land is sold to a new owner.

The maximum lease term under Thai law is 30 years (Section 540, Civil and Commercial Code). While renewal clauses are commonly included, they are considered a new agreement and must be separately registered. Thai courts have inconsistently enforced automatic renewal clauses.

Yes, if the lease agreement explicitly grants construction rights. The lessee is typically responsible for obtaining all building permits from local authorities. It is critical to clearly define in the lease what happens to the buildings when the lease expires — options include removal, transfer to lessor without compensation, or transfer with fair compensation.

This depends entirely on what is specified in the lease agreement. Three common arrangements are: (1) the lessee removes all structures and restores the land, (2) structures become the lessor's property without compensation, or (3) the lessor compensates the lessee at fair market value. Our agreement lets you choose the option that best protects your interests.

The Land Department charges a registration fee of 1% of the total rent for the entire lease term. Additionally, stamp duty of 0.1% applies. For example, a 30-year lease at 100,000 THB per year (total 3,000,000 THB) would incur a registration fee of 30,000 THB plus 3,000 THB stamp duty. These costs are typically shared equally between lessor and lessee.

Renewal clauses are common but carry risk. Thai courts have been inconsistent in enforcing pre-agreed renewal terms. A renewal is essentially a new lease agreement that must be separately registered. For maximum protection, ensure your renewal clause is clearly worded and consider obtaining a separate written commitment from the lessor.

If your lease is properly registered at the Land Department, it is enforceable against any subsequent owner. The new owner must honor the existing lease terms. This is one of the key reasons why registration is essential for long-term leases.