Leasing Part Of A Land Plot, Legal Or Not?

[ChampagneSuper]

Anyone know if it's legal and above board, or not, to lease part of a land plot (Chanote title, under a rai), by drawing the sub-division by hand/CAD on the land paper or copy ? I've heard of the odd large resort developments that sell leashold but do not have individual land titles, I wonder how they do it?

Cheers,

CS

[stgrhe]

This method is very common among Western developers here in Thailand because they want to circumvent the conditions of the Land Allocation Act. The amendment to the Land Allocation Act addresses this issue but many developers seem to ignore the requirement.

If a development has more than nine plots the developer must seek a land allocation permit. The development must also include a public area (typically around 5% of the total area) as green area, clubhouse, pool, arena, or playground.

Personally I would never lease a piece of land in such a development. Most Thai developers split the land into different legal titles. When you lease from a development ensure a land allocation permit has been granted in addition to the other permits.

[InterestedObserver]

To be completely legal such a lease, if for greater than tree years, would have to be registered at the local land office and included on the back of the title deed (Chanote). Any hand drawn subdivision documents would quickly be uncovered as bogus.

[katabeachbum]

This method is very common among Western developers here in Thailand because they want to circumvent the conditions of the Land Allocation Act. The amendment to the Land Allocation Act addresses this issue but many developers seem to ignore the requirement.

If a development has more than nine plots the developer must seek a land allocation permit. The development must also include a public area (typically around 5% of the total area) as green area, clubhouse, pool, arena, or playground.

Personally I would never lease a piece of land in such a development. Most Thai developers split the land into different legal titles. When you lease from a development ensure a land allocation permit has been granted in addition to the other permits.

its more than 8 plots, so 8 is the maximum with local authorities and without all the hazzle of bkk environmentalplans, phonelines for everyone etc

going from 8 to 9 plots increases the project price with several mill baht, and delays at least one year

Edited September 11, 2010 by katabeachbum