5-6% rental yield in Bangkok

[smutcakes]

No I wouldn't know that companies can buy land within industrial estates . i was always of the belief that foreign owned companies could not own any land in Thailand , if they can then I just learned something new there . Maybe it's just a rule reserved for huge businesses as what's stopping any of us from

Buying land and turning it into an industrial park and then renting the units out legally ? Are you sure your not talking about small parts companies that provide materials to said businesses ?

No, any foreign company can buy land freehold in Industrial estates which are Governed by the Industrial Estate Authority of Thailand (IEAT). Some Industrial areas are known as zones, parks (eg Nava Nakorn) etc this is because they are not under the IEAT.

IEAT used to develop and manage their own Estates, but over recent times, they normally go along with private developers like Amata & Hemeraj. Land on these estates is not for rent, only sale.

In most Industrial Estates, the developers of them normally build Ready Built Factories. These can be leased out, normally by companies that manafacturer components for the large industrial users that act as the anchors to the estates.

I had no idea this was the case ! Thanks for putting me right .

How did Honda and Toyota buy 1000s of rai ? Would all this land be within an industrial park ? So many questions sorry this is all new to me .

Honda & Toyota are probably not the best examples given how long they have been here, and how much influence they can exert. However not all of their land is in Industrial Estates. Toyota & Honda both own a huge plants on Sukhumvit Road where the green line will extend past Erawan Elephant Shrine. The chances are they bought these through one of their local companies, or have BOI approval to purchase land through one of their foregin companies. Honda also have a very large facility at Rojana Ayutthaya Industrial Park, which is not an Industrial Estate.

When you get to their size, they are not likely to have difficulties with the Thai partner, and after 1997 many of the Thai partners had troubles, which allowed them to further strenghten their position. In most cases even though the Thai partner has the required % ownership, they have agreed reduced voting rights in exchange for increased dividends. They know they could not run the company, so why would any partner interfere and get rid of their golden egg.

[F4UCorsair]

Rent! Rent!! Rent!!

You seem to be missing the point F4UCorsair........possibly because you don't have any money to invest, in anything more than last nights bar bill.

They are not talking about buying Vs Renting they are talking about investment, in Real estate re stock market etc.

However ---"Rent! Rent!! Rent!!"--Quote, means that investing in condos is a safe bet with a lot of people around with your mentality, that will be renting for life..

What an offensive twerp you are oxo. You would have no idea of my financial position, and I often wonder why a nobody chooses to wade in with an offensive comment.

I saw NO mention of real estate investment versus stock market, so perhaps you should be reading the OP again??

The point I make is that anybody who invests in a foreign country, with few, or NO safeguards, for foreign investors is a mug, and to rent is the only way to go. That goes for whether you are deciding whether to rent versus buy, or buy and lease.

I suggest you take a course in interpersonal relations, and perhaps you will make less, uninformed, mindless, offensive comments, and ridiculous assumptions to, and about, people whom who do not know..

Have you informed Honda, Toyota and all the masses of other foreign companies that they are mugs?

Everyone's situation is different as well as peoples ability to protect themselves. Pretty far reaching comment that anyone here is a mug who does not rent.

No I haven't informed Honda, etc., and won't be doing so.

You may have missed that I wrote of ANYBODY who buys, versus any COMPANY who buys. My guess is that foreign companies of the calibre of large automotive companies would operate under a separate set of rule than the small time investor. They would form local limited companies, shareholders, etc. My knowledge of how large companies do it in Thailand is limited, and will remain so, because I have no interest.

I do reiterate, however, that for an individual, with few/no safeguards for property ownership, that renting is the way to go. I see many threads here advising against owning, and losing on resale, putting property in a nominee's name, etc., made by people with greater knowledge than I have on property in Thailand.

Edited February 27, 2016 by F4UCorsair

[smutcakes]

Have you informed Honda, Toyota and all the masses of other foreign companies that they are mugs?

Everyone's situation is different as well as peoples ability to protect themselves. Pretty far reaching comment that anyone here is a mug who does not rent.

No I haven't informed Honda, etc., and won't be doing so.

You may have missed that I wrote of ANYBODY who buys, versus any COMPANY who buys. My guess is that foreign companies of the calibre of large automotive companies would operate under a separate set of rule than the small time investor. They would form local limited companies, shareholders, etc. My knowledge of how large companies do it in Thailand is limited, and will remain so, because I have no interest.

I do reiterate, however, that for an individual, with few/no safeguards for property ownership, that renting is the way to go. I see many threads here advising against owning, and losing on resale, putting property in a nominee's name, etc., made by people with greater knowledge than I have on property in Thailand.

You can own Condominium's 100% in your own name, Is this not property? How many people do you know/heard of have had their Condominium taken away from them? Where is the risk in that, compared to buying anywhere else in the world?

[thaihome]

...

When you get to their size, they are not likely to have difficulties with the Thai partner, and after 1997 many of the Thai partners had troubles, which allowed them to further strenghten their position. In most cases even though the Thai partner has the required % ownership, they have agreed reduced voting rights in exchange for increased dividends. They know they could not run the company, so why would any partner interfere and get rid of their golden egg.

Foriegn companies are allowed to open branch offices in Thailand that operate the same as Thai companies but parent company retains full ownership. No Thai partners required. Asia Honda Motor Co, Ltd is such a company. I worked for 10 years in Thailand for a US company will same structure.

TH