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Setting Up A Land Lease`


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My wife owns a plot of land which we plan to develope as our home, we already own two condos, a house and some agricultural land plus a house in the UK.

However, the land we are going to build on is planned as our permanent home and my wife has agreed that the best way to deal with title and security for me is for me to take out a lease on the land.

Has anyone actually done this and if so what was the procedure.

We'll probably use a BKK law firm to advise and do the checking.

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My wife owns a plot of land which we plan to develope as our home, we already own two condos, a house and some agricultural land plus a house in the UK.

However, the land we are going to build on is planned as our permanent home and my wife has agreed that the best way to deal with title and security for me is for me to take out a lease on the land.

Has anyone actually done this and if so what was the procedure.

We'll probably use a BKK law firm to advise and do the checking.

Some months back someone posted a pretty good lease agreement, but I can't find it by search. Your lawyer will draft the lease within Thai law, but also to incorporate any specific requirements you may have, such as rent to be paid, option required, responsibility for repairs, etc. If you ask the lawyer to prepare a draft lease, I would be happy to check it for any foreseeable problems before it is signed and registered by the Land Department.

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Here is the lease that was posted on here, i saved it to my pc, so i cannot give credit to the original poster....but good on him anyway.

This is a good starting point for your requirements...make sure you get it in thai and its registered at the land office...otherwise its only good for 3 years...but im sure you know that already

LEASE AGREEMENT

AGREEMENT MADE AT_______________

_________________________________

_________________________________

DATE_____________________________

This Lease Agreement is between________________________________________

__________________________________hereafter known as the Lessor and

____________________________________________________________________

__________________________________hereafter known as the lessee

It is hereby agreed as follows

1. The Lessor agrees to lease and the Lessee agrees to rent a single storey home and land ,located at_______________________in accordance to Land Title Deed No.______________________Land Number_______________________________

Book number_________________________Page number____________________

Tambon__________________________Total Land Size_____________Sq Wah

hereinafter known as the "Said Premises" for a rent period of 30 years.

2.The Lessee agrees to a one time advance payment for the entire rent period in the amount of________________Baht (_______________) to the Lessor on the date of this Agreement.The Lessor and the Lessee agree to register the leasing terms and conditions at the District Land Office within 7 days after making this agreement. The rent begins on the date of registration at the District Land Office.

3. Both parties agree that the Lessee shall have an option to renew this lease for an additional 30 years, for rental terms and conditions as mutually agreed by both parties.

4. After the date of this agreement the Lessee shall have the right to live in and conduct legal and socially acceptable businesses in the Said Premises during the term of this Lease Agreement.

5. The Lessee agrees to take care of and to preserve the Said Premises as one would do to his/her own and maintain the upkeep of and also attend to repairs of the Said Premises which may be caused by accidental or intentional actions of the Lessee or the Lessee,s subordinates.

6.The Lessee may assign or sublet the Said Premises to other Parties. Should there be the need to make official registration or other legal proceedings,the Lessor agrees to give consent and to assist the Lessee in providing proper documentation and shall not ask for any returns from the Lessee. The Lessee agrees to pay for any fee and other expenses that may arise from such proceedings,

7. The Lessee agrees not to damage or deface the Said Premises or make structural alterations or additions thereto without the written consent in writing of the Lessor and all structural alterations shall be in accordance with government and municipal guidelines. The Lessee agrees to pay any costs involved while the Lessor agrees to provide necessary documentation in obtaining such official permits.

8.Should the Lessor wish to sell the Said Premises, the Lessee shall have the first option to purchase from the Lessor or the option to find other party to purchase from the Lessor. Should the Lessee be unable to find such party to purchase from the Lessor the Lessor may sell Said Premises as he/she so wishes. The Said Premises shall not be sold or Title transferred during the Lease period. Debts accrued by the Lessor to outside parties shall not effect the lease terms.

9.Should Thai laws allow non-Thai citizens to purchase properties, the Lessor shall give the first right to purchase the Said Properties to the Lessee as a special condition.

10. The terms and conditions of this Lease Agreement obligate the heirs of both parties to fulfill to the letter and shall not be altered without mutual consent.

11. The Lessee shall be responsible for paying Building Tax (Rong Ruen Tax) and Land Tax for the duration of the lease period.

12.On the day the Lease Agreement is made, the Lessee shall inspect the Said Premises including all the fixtures and fittings therein to be of good and tenantable condition and accepts lease responsibility henceforth.

13. Should the Lessor be unable to carry out the terms and conditions stated above the Lessee have the right to ask for compensation five times the rent amount and the special condition amount that the Lessee has prepaid.

14 In the event of the Lessee untimely death while the Lease Agreement is still in effect,the rights and obligations of the Lessor shall be transferred to________________________________________________adress________________________

______.

Both parties having read and fully understanding its contents,agree to comply with all the terms and conditions. Ttherefore both parties have hereunder affixed their signatures in presence of two witnesses on the date at the place first written above.

___________________The Lessor

___________________The Lessee

___________________Witness

___________________Witness

:o:D

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My wife owns a plot of land which we plan to develope as our home, we already own two condos, a house and some agricultural land plus a house in the UK.

However, the land we are going to build on is planned as our permanent home and my wife has agreed that the best way to deal with title and security for me is for me to take out a lease on the land.

Has anyone actually done this and if so what was the procedure.

We'll probably use a BKK law firm to advise and do the checking.

I have taken a registerred 30 year lease + another 30 year option lease on the land owned by my partner and on which we have build a shop and will build our house.

It is stated in the lease that the first 30 years lease is prepaid and that I have the right of building on the land and its full use.

The lease should be in both Thai and english and registerred at the land office and enterred on the original chanode (better be a 'red' chanode, i have been told)

A lawyer piloted us through the process for a modest fee of 15.000 baht all-in

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  • 1 month later...

Would you care to provide the contact details for the lawyer - "A lawyer piloted us through the process for a modest fee of 15.000 baht all-in

"

Cheers

My wife owns a plot of land which we plan to develope as our home, we already own two condos, a house and some agricultural land plus a house in the UK.

However, the land we are going to build on is planned as our permanent home and my wife has agreed that the best way to deal with title and security for me is for me to take out a lease on the land.

Has anyone actually done this and if so what was the procedure.

We'll probably use a BKK law firm to advise and do the checking.

I have taken a registerred 30 year lease + another 30 year option lease on the land owned by my partner and on which we have build a shop and will build our house.

It is stated in the lease that the first 30 years lease is prepaid and that I have the right of building on the land and its full use.

The lease should be in both Thai and english and registerred at the land office and enterred on the original chanode (better be a 'red' chanode, i have been told)

A lawyer piloted us through the process for a modest fee of 15.000 baht all-in

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My wife owns a plot of land which we plan to develope as our home, we already own two condos, a house and some agricultural land plus a house in the UK.

However, the land we are going to build on is planned as our permanent home and my wife has agreed that the best way to deal with title and security for me is for me to take out a lease on the land.

Has anyone actually done this and if so what was the procedure.

We'll probably use a BKK law firm to advise and do the checking.

how old are you? will you still be around after 30 years? if so, you might want to check out a usufruct or "Sit thi gap gin ta lord shee vit" in thai, it's like a lifetime lease and you do not need to pay registration tax, just a small fee.

30 year lease extension will probably only work of you are still happily married and your spouse still owns the land.

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My wife owns a plot of land which we plan to develope as our home, we already own two condos, a house and some agricultural land plus a house in the UK.

However, the land we are going to build on is planned as our permanent home and my wife has agreed that the best way to deal with title and security for me is for me to take out a lease on the land.

Has anyone actually done this and if so what was the procedure.

We'll probably use a BKK law firm to advise and do the checking.

how old are you? will you still be around after 30 years? if so, you might want to check out a usufruct or "Sit thi gap gin ta lord shee vit" in thai, it's like a lifetime lease and you do not need to pay registration tax, just a small fee.

30 year lease extension will probably only work of you are still happily married and your spouse still owns the land.

There have been many debates regarding "usufruct". In order to clarify the position in French Law, from which the Thai Code was taken by french and belgian lawyers, website www.deltaalpha.com/terms/usufruit.html will explain such. Thai judges have upheld the 30 year restriction as in (a) first paragraph.

In other words it's only life if you live less than 30 years. :o

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how old are you? will you still be around after 30 years? if so, you might want to check out a usufruct or "Sit thi gap gin ta lord shee vit" in thai, it's like a lifetime lease and you do not need to pay registration tax, just a small fee.

30 year lease extension will probably only work of you are still happily married and your spouse still owns the land.

There have been many debates regarding "usufruct". In order to clarify the position in French Law, from which the Thai Code was taken by french and belgian lawyers, website www.deltaalpha.com/terms/usufruit.html will explain such. Thai judges have upheld the 30 year restriction as in (a) first paragraph.

In other words it's only life if you live less than 30 years. :o

I know you have writen that before Dragonman and I expected you to comment on my statement. I have your point in mybook, but this is directly from the Civil and Commercial code:

Section 1418. A usufruct may be created either for a period of time or for the life of the usufructuary.

If no time has been fixed, it is presumed that the usufruct is for the life of the usufructuary. If it is created for a period of time, the provisions of Section 1403 paragraph 3 shall apply mutates mutandis.

In any case the usufruct comes to an end on the death of the usufrutuary.

that seems pretty clear about the lifetime part.

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Here is the lease that was posted on here, i saved it to my pc, so i cannot give credit to the original poster....but good on him anyway.

This is a good starting point for your requirements...make sure you get it in thai and its registered at the land office...otherwise its only good for 3 years...but im sure you know that already

LEASE AGREEMENT

AGREEMENT MADE AT_______________

_________________________________

_________________________________

DATE_____________________________

This Lease Agreement is between________________________________________

__________________________________hereafter known as the Lessor and

____________________________________________________________________

__________________________________hereafter known as the lessee

It is hereby agreed as follows

1. The Lessor agrees to lease and the Lessee agrees to rent a single storey home and land ,located at_______________________in accordance to Land Title Deed No.______________________Land Number_______________________________

Book number_________________________Page number____________________

Tambon__________________________Total Land Size_____________Sq Wah

hereinafter known as the "Said Premises" for a rent period of 30 years.

2.The Lessee agrees to a one time advance payment for the entire rent period in the amount of________________Baht (_______________) to the Lessor on the date of this Agreement.The Lessor and the Lessee agree to register the leasing terms and conditions at the District Land Office within 7 days after making this agreement. The rent begins on the date of registration at the District Land Office.

3. Both parties agree that the Lessee shall have an option to renew this lease for an additional 30 years, for rental terms and conditions as mutually agreed by both parties.

4. After the date of this agreement the Lessee shall have the right to live in and conduct legal and socially acceptable businesses in the Said Premises during the term of this Lease Agreement.

5. The Lessee agrees to take care of and to preserve the Said Premises as one would do to his/her own and maintain the upkeep of and also attend to repairs of the Said Premises which may be caused by accidental or intentional actions of the Lessee or the Lessee,s subordinates.

6.The Lessee may assign or sublet the Said Premises to other Parties. Should there be the need to make official registration or other legal proceedings,the Lessor agrees to give consent and to assist the Lessee in providing proper documentation and shall not ask for any returns from the Lessee. The Lessee agrees to pay for any fee and other expenses that may arise from such proceedings,

7. The Lessee agrees not to damage or deface the Said Premises or make structural alterations or additions thereto without the written consent in writing of the Lessor and all structural alterations shall be in accordance with government and municipal guidelines. The Lessee agrees to pay any costs involved while the Lessor agrees to provide necessary documentation in obtaining such official permits.

8.Should the Lessor wish to sell the Said Premises, the Lessee shall have the first option to purchase from the Lessor or the option to find other party to purchase from the Lessor. Should the Lessee be unable to find such party to purchase from the Lessor the Lessor may sell Said Premises as he/she so wishes. The Said Premises shall not be sold or Title transferred during the Lease period. Debts accrued by the Lessor to outside parties shall not effect the lease terms.

9.Should Thai laws allow non-Thai citizens to purchase properties, the Lessor shall give the first right to purchase the Said Properties to the Lessee as a special condition.

10. The terms and conditions of this Lease Agreement obligate the heirs of both parties to fulfill to the letter and shall not be altered without mutual consent.

11. The Lessee shall be responsible for paying Building Tax (Rong Ruen Tax) and Land Tax for the duration of the lease period.

12.On the day the Lease Agreement is made, the Lessee shall inspect the Said Premises including all the fixtures and fittings therein to be of good and tenantable condition and accepts lease responsibility henceforth.

13. Should the Lessor be unable to carry out the terms and conditions stated above the Lessee have the right to ask for compensation five times the rent amount and the special condition amount that the Lessee has prepaid.

14 In the event of the Lessee untimely death while the Lease Agreement is still in effect,the rights and obligations of the Lessor shall be transferred to________________________________________________adress________________________

______.

Both parties having read and fully understanding its contents,agree to comply with all the terms and conditions. Ttherefore both parties have hereunder affixed their signatures in presence of two witnesses on the date at the place first written above.

___________________The Lessor

___________________The Lessee

___________________Witness

___________________Witness

:o:D

Is that agreement available in Thai already. Anyone have any links to thai sites with rental agreements already posted in thai and English? Would be handy if there was a place.

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Hi,

The lawyer's name is Khun Pairush Teerachaimahit

He has a Law firm in Chiang Mai not far from The airport on the ring road. I have found him to be very professional and with very reasonable fees. He was recommended to me by a friend who runs a guest house in the Chiang Mai area and who used his services to set-up the legal frame for the business, property, etc.

The link to his (not very good) web page is

http://www.chiangmailawyer.com/

He travelled 250km to be on hand to register the lease contract at my local regitration place and does the smae for clients around North Thailand.

Hope this helps

Would you care to provide the contact details for the lawyer - "A lawyer piloted us through the process for a modest fee of 15.000 baht all-in

"

Cheers

My wife owns a plot of land which we plan to develope as our home, we already own two condos, a house and some agricultural land plus a house in the UK.

However, the land we are going to build on is planned as our permanent home and my wife has agreed that the best way to deal with title and security for me is for me to take out a lease on the land.

Has anyone actually done this and if so what was the procedure.

We'll probably use a BKK law firm to advise and do the checking.

I have taken a registerred 30 year lease + another 30 year option lease on the land owned by my partner and on which we have build a shop and will build our house.

It is stated in the lease that the first 30 years lease is prepaid and that I have the right of building on the land and its full use.

The lease should be in both Thai and english and registerred at the land office and enterred on the original chanode (better be a 'red' chanode, i have been told)

A lawyer piloted us through the process for a modest fee of 15.000 baht all-in

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how old are you? will you still be around after 30 years? if so, you might want to check out a usufruct or "Sit thi gap gin ta lord shee vit" in thai, it's like a lifetime lease and you do not need to pay registration tax, just a small fee.

30 year lease extension will probably only work of you are still happily married and your spouse still owns the land.

There have been many debates regarding "usufruct". In order to clarify the position in French Law, from which the Thai Code was taken by french and belgian lawyers, website www.deltaalpha.com/terms/usufruit.html will explain such. Thai judges have upheld the 30 year restriction as in (a) first paragraph.

In other words it's only life if you live less than 30 years. :D

I know you have writen that before Dragonman and I expected you to comment on my statement. I have your point in mybook, but this is directly from the Civil and Commercial code:

Section 1418. A usufruct may be created either for a period of time or for the life of the usufructuary.

If no time has been fixed, it is presumed that the usufruct is for the life of the usufructuary. If it is created for a period of time, the provisions of Section 1403 paragraph 3 shall apply mutates mutandis.

In any case the usufruct comes to an end on the death of the usufrutuary.

that seems pretty clear about the lifetime part.

Hi steve. This is where the whole idea of relying on 2100 year laws goes out the door. Perhaps people didn't expect to live more than 30 years in those days. The French law also states as you have quoted, but you will see from the passage of french law on the website, it is contradicted in para.1 (a). I suppose in translating from Latin to French to Thai to English something has got lost :o

I can only quote what has been decided in France and Thailand over the years, that para1(a) will have precedent in law. Unless of course it is a Government usufruct, when they do what they like :D Most lawyers in Thailand, by my looking at their websites, are aware of these rulings. But I doubt if many particularly understand usufructory laws.

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