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Criteria for Granting Land Ownership Rights to BOI-Promoted Foreign Entities

On the 8th of August 2022, The Board of Investment of Thailand issued an important announcement, numbered 6/2565, concerning the criteria for granting land ownership rights to foreign entities that have been promoted for investment purposes and intend to establish office and residential premises. This announcement took effect from the 13th of June 2022 onwards.

The purpose of this announcement is to facilitate the business operations of foreign entities that have received investment promotion, in accordance with the provisions of Section 27 of the Investment Promotion Act B.E. 2520. The Board of Investment, therefore, deems it necessary to establish the following guidelines and conditions for the consideration of granting permissions:

1.   Foreign entities that have received investment promotion and have a registered capital of no less than 50 million Baht are eligible to hold land ownership rights for the establishment of office and residential premises. The specific criteria and conditions are as follows:

   1.1   Land for office premises shall not exceed 5 rai.

   1.2   Land for residential premises of executives or experts shall not exceed 10 rai.

   1.3   Land for residential premises of workers shall not exceed 20 rai.

   1.4   The office and residential premises may be located within the same area as the location of the business premises or separately.

It should be noted that in exceptional circumstances where there are special reasons and justifications, the Board of Investment may consider granting permissions on a case-by-case basis.

2.   It is required that the land be disposed of or transferred within one year after the expiration of the investment promotion status.

3.   The Board of Investment has authorized the issuance of additional guidelines as deemed appropriate, such as the type of business and distance from the business premises.

Please note that this summary is provided for informational purposes only and should not be construed as legal advice. For specific legal inquiries or detailed information, we recommend consulting one of our legal professionals familiar with the laws and regulations of Thailand.

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